Identifier
Created
Classification
Origin
09ASHGABAT1388
2009-10-30 10:26:00
CONFIDENTIAL
Embassy Ashgabat
Cable title:
TURKMENISTAN OFFERS PROPOSAL TO CHEVRON
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C O N F I D E N T I A L ASHGABAT 001388
SIPDIS
STATE FOR SCA/CEN; EEB
ENERGY FOR EKIMOFF/BURPOE/COHEN
COMMERCE FOR EHOUSE
E.O. 12958: DECL: 10/30/2019
TAGS: EPET ECON PGOV EINV BTIO TX
SUBJECT: TURKMENISTAN OFFERS PROPOSAL TO CHEVRON
REF: ASHGABAT 1353
Classified By: Charge Sylvia Reed Curran for reasons 1.4 (b) and (d).
C O N F I D E N T I A L ASHGABAT 001388
SIPDIS
STATE FOR SCA/CEN; EEB
ENERGY FOR EKIMOFF/BURPOE/COHEN
COMMERCE FOR EHOUSE
E.O. 12958: DECL: 10/30/2019
TAGS: EPET ECON PGOV EINV BTIO TX
SUBJECT: TURKMENISTAN OFFERS PROPOSAL TO CHEVRON
REF: ASHGABAT 1353
Classified By: Charge Sylvia Reed Curran for reasons 1.4 (b) and (d).
1. (C) Chevron Vice President for Business Development told
Charge on October 29 that the Turkmen had proposed that
Chevron take over gas processing in the country, thereby
supplanting the Russians. He said that this proposal had
been offered during a meeting he had earlier that day with
State Agency for Management and Use of Hydrocarbon Resources
Director Yagshygeldi Kakayev and Turkmengaz State Concern
Chairman Nury Muhammedov. Kakayev said the Turkmen wanted
Chevron to take over gas processing from Gazprom and to
handle marketing for Turkmen gas. Kakayev promised that if
Chevron would work on this, there would be the possibility to
expand operations here. The Chevron executive told Charge
that he wanted to take the Turkmen up on this proposal, and
his company would prepare a confidentiality agreement.
2. (C) The Kakayev/Muhammedov meeting was the main meeting
the visiting Chevron executives had during this visit to
Turkmenistan. There also had been a courtesy meeting with
Deputy Chairman for Oil and Gas Baymyrat Hojamuhammedov on
October 28 on the margins of an event at the hippodrome.
Chevron had not been able to meet with Berdimuhamedov,
because they were unable to be in Ashgabat on October 26 when
the President was receiving foreign business leaders.
3. (C) COMMENT: This is big news. Although Chevron
previously had pushed to work onshore, their willingness to
show flexibility (by accepting Berdimuhamedov's invitation to
visit for Independence Day and accepting the gas processing
proposal) could pay off in a big way (reftel). Taking over
for Gazprom will be a major and lucrative project. If
Chevron were to successfully take over gas processing from
Gazprom, it would allow the Turkmen to lessen Russia's
influence on its gas sector, and the Turkmen would most
likely be very grateful to Chevron for that. As Kakayev
said, this could be a stepping stone to expanded cooperation
with Chevron. Most interesting of all, this seems to mean
that the Turkmen are not reaching a deal with Gazprom on gas
anytime soon. END COMMENT.
CURRAN
SIPDIS
STATE FOR SCA/CEN; EEB
ENERGY FOR EKIMOFF/BURPOE/COHEN
COMMERCE FOR EHOUSE
E.O. 12958: DECL: 10/30/2019
TAGS: EPET ECON PGOV EINV BTIO TX
SUBJECT: TURKMENISTAN OFFERS PROPOSAL TO CHEVRON
REF: ASHGABAT 1353
Classified By: Charge Sylvia Reed Curran for reasons 1.4 (b) and (d).
1. (C) Chevron Vice President for Business Development told
Charge on October 29 that the Turkmen had proposed that
Chevron take over gas processing in the country, thereby
supplanting the Russians. He said that this proposal had
been offered during a meeting he had earlier that day with
State Agency for Management and Use of Hydrocarbon Resources
Director Yagshygeldi Kakayev and Turkmengaz State Concern
Chairman Nury Muhammedov. Kakayev said the Turkmen wanted
Chevron to take over gas processing from Gazprom and to
handle marketing for Turkmen gas. Kakayev promised that if
Chevron would work on this, there would be the possibility to
expand operations here. The Chevron executive told Charge
that he wanted to take the Turkmen up on this proposal, and
his company would prepare a confidentiality agreement.
2. (C) The Kakayev/Muhammedov meeting was the main meeting
the visiting Chevron executives had during this visit to
Turkmenistan. There also had been a courtesy meeting with
Deputy Chairman for Oil and Gas Baymyrat Hojamuhammedov on
October 28 on the margins of an event at the hippodrome.
Chevron had not been able to meet with Berdimuhamedov,
because they were unable to be in Ashgabat on October 26 when
the President was receiving foreign business leaders.
3. (C) COMMENT: This is big news. Although Chevron
previously had pushed to work onshore, their willingness to
show flexibility (by accepting Berdimuhamedov's invitation to
visit for Independence Day and accepting the gas processing
proposal) could pay off in a big way (reftel). Taking over
for Gazprom will be a major and lucrative project. If
Chevron were to successfully take over gas processing from
Gazprom, it would allow the Turkmen to lessen Russia's
influence on its gas sector, and the Turkmen would most
likely be very grateful to Chevron for that. As Kakayev
said, this could be a stepping stone to expanded cooperation
with Chevron. Most interesting of all, this seems to mean
that the Turkmen are not reaching a deal with Gazprom on gas
anytime soon. END COMMENT.
CURRAN