1.INTRODUCTION

I have done my summer practice in turkish petroleum corperation. I went turkish

petroleum corperation for 20 days. I started ME399 Engineering practice program on 2013

june 17th. and finished on 2013 july 12th.

The subject of the summer practice of the ME 399 is having the management and

organisation of the factory and having the general information about the factory.

This is included that the structure of the organisation , number of the engineers and the

number of the technical persons, employed etc... and also , knowing and having information

about the working places, having experience, industrial management and organisation.

The third year summer practise is very different from the other summer practise. I think

, this is more useful and necessary than the others for us. It contains some investigation,

processes of industrial management and organisation. These are accounting , storage

facilities, stock and production control, auxiliary services of the plant, quality control ,repair

and maintenance, accounting etc...

The third year summer practise is useful to understand how the most efficient layouts of

equipment and of operation and services facilities are developed, whether in manufacturing

plants , warehouses or other industrial and business applications.

We learned the technical knowledge up to third year which is noticed in the

organization is important. And also , a functions of the mechanical engineers , is considered in

the organization . for example I saw that mechanical engineer worked, at all unit of factory

(management, planing, outdoor trade ,atelier).

The subject of the lecture in the school is to be stiffen at the end of the summer

practice. Also learned the position of the engineers ,managers and the structure of the

organization.

I observed human relations in management , I also reclaimed that the reactions people

have to their work environment are linked directly to their willingness to exert effort on be

half of the organization that employ them.

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2.ABOUT TPAO

TPAO was founded in 1954 by Law No. 6327 with the responsibility of being involved

in hydrocarbon exploration, drilling, production, refinery and marketing activities as Turkey's

national company. 

Being an important actor of the national economy, TPAO achieved many “firsts” of the

Turkish oil industry in the past. The Company, its history reaching back over a half century,

has given rise to seventeen major companies, including PETKİM, TÜPRAŞ and POAŞ to

Turkey. 

Until 1983, as an integrated oil company, it was engaged in all the activity fields of oil

industry from exploration to production, refinery, marketing and transportation. Today, TPAO

is a national oil company involved in merely upstream (exploration, drilling, well completion

and production) sector.

Registered Capital: 3 Billion TL.

3.ORGANIZATION CHART

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4.HISTORY OF TPAO

Milestones of The Past 57 Years

1954: Foundation; Capital: 150 Million TL.

1958: The First Discovery; Germik Field

1959: The First District Management  “Batman ”

1960: Application of Secondary Recovery Process

1960: Establishment of İPRAŞ

1961: Discovery of the Biggest Oil Field of Türkiye - Batı Raman Field

1963: Establishment of The First Service Station 

1965: Establishment of PETKİM

1966: Establishment of İPRAGAZ

1967: Establishment of Aliağa Refinery in İzmir

1967: Opening of The First Pipeline (Batman-Dörtyol-İskenderun) 

1968: Annual Production : 1 Million Barrels

1968: TPAO Batman Orchestra awarded "Golden Microphone" 

1969: Establishment of TÜMAŞ

1970: The First Offshore Exploration: Payas-1

1970: The First Natural Gas Discovery : Thrace/Hamitabat

1971: Adıyaman's First Oil Discovery 

1971: Establishment of İGSAŞ

1972: Adıyaman-Sarıl Oil Pipeline Start-Up

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1974: Establishment of DİTAŞ, BOTAŞ and ADAŞ

1974: Establishment of Reserach Center 

1974: Establishment of Cyprus Turkish Petroleum Ltd. Company 

1975: Establishment of ISILİTAŞ

1975:100 Million Barrels in Production

1975: TPAO ranks 204th row in the world's biggest company at Fortune except USA 

1976: Driiling of Akçakoca-1 well in the Black Sea

1977: Establishment of Ankara Drilling District Management

1980: New exploartion strategies, Big İncrease in Discoveries

1980: TPAO ranks 97th row in the world's biggest company at Fortune except USA

1983: Establishment of Libya Arab – Turkish Joint Engineering and Architecture Company 

1983: Status Change in TPAO and Disintegration Starts.

1983: TPAO assumed the title of the most oil producing compnay in Türkiye

1984: Establishment of The Second District Management - “Thrace District Management”

1985: TPAO ranks 63rd row in the world's biggest company at Fortune except USA

1986: Establishment of Kırıkkale Refinery

1986: Drilling Record in Türkiye in 123 wells with 224.392 m. 

1987: The Deepest Drilling in Demre-1 (Kaş-Antalya)

1987: TPAO in the international Arenaı

1988: Discoveries of Karakuş Oil Field in Adıyaman and K. Marmara Natural Gas Fields in

Marmara Sea

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1988: Establishment of Turkish Petroleum International Company (TPIC)

1989: TPAO ranks 298th row at Fortune except USA 

1991: Modernization in Interpration Systems-3D Interpretation

1991: The First Golden Year - Record in Production of 50 Years - 75.000 barrels/day

- Discovery of Karakuş Oil Field

1992: Establishment of The Third District Management “Adıyaman District Management”

1993: Establishment of Joint Company KTM Ltd.

1997: The First Offshore Production in Kuzey Marmara Field

1998: The First Oil Discovery in Western Anatolia; Alaşehir-1.

1999: TPAO initializes the first Underground Natural Gas Storage in Türkiye. 

1999: Baku-Tblisi-Ceyhan (BTC) Main Export Oil Pipeline Project

2001: South Caucasus Natural Gas  Pipeline Project (SCP)

2004: The First Natural Gas Discovery in Western Black Sea; Ayazlı-1.

2007: The Second Golden Year: 100.000 barrels/day production.

2007: Starting of Commercial Activity of Kuzey Marmara and Değirmenköy Fields Natural

Gas Facilities 

2007: The First Natural Gas Production in the Black Sea

2009: New Drilling record; the Drilling of the World's 46th deepest Well with a Vertical

depth of 7,216 m. 

2010: Deep Water Drilling with “Leiv Eiriksson” , Sinop-1 and Yassıhöyük-1; The First Deep

Water Operatorship (Yassıhöyük-1)

2011: Deep Water Drilling , Sürmene-1 (4.830 m.).

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5.TPAO IN TURKEY

TPAO, Turkiye’s sole national oil company, has undertaken a number of oil and natural

gas exploration projects both onshore and offshore, especially in the Black Sea in recent years

as part of its mission to develop domestic and international resources and meet the

continuously increasing demand for oil and gas in Türkiye.

In the last 10 years, 90 % of geological survey, 84 % of geophysical survey and 59 % of

the drilled wells, 71 % of oil production and 56 % of natural gas production in Türkiye were

realized by TPAO.

The natural gas discovery realized in the Western Black Sea in 2004, the extensive

seismic program carried out in the Black Sea in 2004-2011 years, made oil companies focus

on the Black Sea. Natural gas production was initiated in Akçakoca- Çayağzı Natural Gas

Process Facilities in May 2007.

In particular, ultra deep water drillings of Sinop-1 and Yassıhöyük-1 wells at the Black

Sea in 2010 with “Leiv Eiriksson”, one of the biggest platforms in the world were completed

and also, offshore drilling of Sürmene-1 well  was completed as of 1Q of 2011. tpao’s short

term goal, in the light of data obtained from 3 wells drilled, is to reveal the hydrocarbon

potential in the ultra deep waters of Black Sea and to open it to the use of Turkish economy.

These huge investments realized in the Black Sea will play a strategic role. TPAO's

short term objective is to realize the contribution of the Black Sea’s hydrocarbon potential to

our country’s as well as the world’s economy. In the same manner, it is a great contentment

for us to witness promising results from tpao’s exploration investments in the Aegean Sea and

the Mediterranean.

In addition to these activities in offshore fields, in order to maintain oil and gas

production from “Unconventional Reservoirs”, TPAO and Transatlantic/TEMI companies

signed a “Memorandum of Understanding (MOU)” on April 9th 2010. Within the scope of

this MOU, TPAO continued its operations in Kepirtepe-1 in Thrace and the studies are

underway. This partnership will be the first in our country for producing oil and natural gas

by new methods will highly contribute to our country’s hydrocarbon demand.

In the recent years, intensive exploration activities are being carried out at onshore

fields in Thrace, Central and South East Regions in addition to the activities performed at

offshore areas. Considering the succesful drilling of the world’s 46th deepest well with a

vertical depth of 7,216 m, TPAO was the 12th company among the leading companies of the

world that can perform successful drillings in ultra deep waters by drilling of Yassıhöyük-1

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In addition to these extensive activities and developments, TPAO achieved a first with

the commissioning of Silivri Underground Natural Gas Storage Facilities with 2,6 bcm

capacity in April 2007. TPAO’s efforts continue to increase the existing capacity of these

facilities in the near future. 

As the sole National Oil Company of Turkiye, TPAO is at the important position to

create added value chains in Ceyhan which is expected to be one of the World’s Energy

Center due to its experience over a half century in oil industry, its international experiences

and being shareholders in the world wide pipeline projects such as Baku-Tbilisi-Ceyhan

(BTC) Crude Oil Pipeline and South Caucasus Natural Gas Pipeline (SCP).

6.TPAO WORLDWIDE

International activities have made TPAO an important actor in the region since the early

1990’s. TPAO conducts its international activities especially in Caspian Region (Azerbaijan,

Kazakhstan), North Africa (Libya) and Iraq. TPAO has been continuing  to negotiate for

business opportunities in other hydrocarbon rich regions such as South America, Russia and

Middle East.

TPAO is currently a participant of two exploration, development and production

projects which are Azeri-Chirag-Guneshli (6.75 %), Shah Deniz (9 %) in Azerbaijan. Most of

the international production is from Azeri-Chirag-Guneshli Project located in offshore

Azerbaijan. In addition to Azerbaijan projects, TPAO’s production has been continuing from

Kazakhstan fields. TPAO conducts its activities in Kazakhstan through a joint venture

company, KazakhTurkMunai (KTM) Ltd. in which TPAO holds a 49% share and

KazMunaiGas has 51%.

Within the scope of Libya exploration projects, a new oil discovery in the first

exploration well drilled in license area 147/3-4 in Murzuq basin was realized in 2009, which

was a significant step towards the first oil production in Libya. 7 out of 11 wells drilled in the

basin were completed as "oil well". These discoveries rank among the first rows in the

discoveries recently performed in Libya.

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FİGURE 1

On the other hand, since 1994, TPAO has been working closely with the Iraqi Ministry

of Oil for exploration, development and production opportunities in Iraq. In addition to

TPAO’s success in first and second licensing rounds organized by the Iraqi petroleum

authority PCLD (Petroleum Contracts and Licensing Directorate) in 2009 and awards of

Badra and Missan Oil Fields development, TPAO has offered three bids for the Iraq’s third

licensing round and has been awarded for 20 year term gas development contracts for Siba

Gas Field as a partner and Mansuriya Gas Field as an operator in Iraq’s third bidding round in

2010.

TPAO has signed Development and Production Service Agreement for “Mansurai and

Siba Gas Fields” in Iraq on June 5, 2011. Besides, TPIC, Subsidiary of TPAO, focused its

exploration and drilling activities in the Gonzalez and Maria Conchita Blocks in Colombia. 

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7.TPAO’S STAFF PROFILE

By the end of 2012, total number of employees is 4,708; 1,601 in General Directorate,

1,740 in Batman, 466 in Thrace and 901 in Adıyaman District Management.

TPAO’s qualified and experienced staff bearing many ethical principles, such as merit,

effectiveness, team work, communication, self-efficiency for coping with the changes and

responsibility will carry TPAO to great success in the future.

7.1.Human Resources Policy

TPAO, having a dynamic Human Resources System, believes that success can only be

achieved through highly motivated, expert individuals. TPAO continues its studies to create a

dynamic Human Resources System within the context of Corporate Resource

Management. TPAO uses competence based interview techniques to measure the employee

candidates’ ability to communicate, research, discernment work under stressful situations,

along with their responsibility consciousness and openness for improvement.

With its staff’s great endevaour, dedication and a rooted company culture, TPAO has

been conducting its activities for 57 years with its worldwide technological infrastructure and

qualified man power that represented tpao’s corporation successfully in international

projects. TPAO continuously invests in human resources development in line with its vision

to become regionally effective world-class energy company meeting Türkiye’s oil and natural

gas demand and to be the most desired company to work with.

Interview process of 1,170 employee candidates was completed in General Directorate

and District Managements within the context of Work Analysis Project which will provide the

integration of modern Human Resources functions to the existing structure.

Information under the headings below was collected:

Role and Authorization,

Responsibilities,

Work Requirements,

Competency,

Working Terms

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7.2.Staff Performance Evaluation System

Human beings is the most valuable source in institutions in order to compete in sector

conditions that globalization requires. Thus, while investing in humanbeings, institutions have

to develop and implement systems.

Development based Performance Evaluation System continues its 2010 computations

within the context of competences in accordance with tpao’s vision, mission and values by

adopting multiple evaluation systems for the white collars and single evaluation system for

the blue collars.“Performance Management System”, implemented to increase the

performance of tpao’s staff, is revised every year with the experience gained throughout years

and is moving towards to become a system easier for users and giving feedback to the

managers directly.

7.3.Social Activities

TPAO believes that self-sacrificing studies and high performance of the employee

depend on high life quality. Based on this belief, various social activities such as spring

festival, bowling, dart, soccer and tennis tournaments have been arranged in order to increase

motivation of the employees. These activities also provide communication required for the

company culture to be effectuated.

Besides, TPAO offered holiday oppurtunities for the employees with their families in

its own Social Complex in Güllük/Muğla.

8.LOCATION OF THE ORGANIZATION

The most immportant factor in selecting the location is the presence of oil or gas at the

underground. So tpao have 3 District Management this are ;

For oil ;Batman District Management and Adıyaman District Management

And for natural gas thrace District Management.

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8.1.Batman District Management

Exploration, drilling and production activities of crude oil and natural gas, which are

vital inputs of national economy, have been carried out continuously since 1954. Batman

District Management has an important position in oil sector as it is located in the region where

the first oil discovery was realized and crude oil production was commenced.

The first oil discovery in Türkiye was realized at Raman Field, in 1945 by MTA and the

first production in economical means was realized in Raman-8, well in 1948. After foundation

of TPAO in 1954, Batman District Management played a leading role in the exploration,

drilling, production and refinery activities of the country.

Batman District Management has also played an active role in the economic and social

development of the region while conducting all these activities. Batman, before the oil

discoveries, was a small village, namely Iluh. It has become an important province in South

East Anatolia with these discoveries. Batman has gained a great dynamism in the economical

and social areas with the discovery of oil and establishment of the refinery. Today, Batman, as

being located around TPAO complex and plant, has a great deal of contribution in national

economy by increasing the employment volume in the region.

8.2.Thrace District Management

TPAO initiated its exploration and drilling activities in Thrace Basin with Uluman-1

well, in 1960. As a result of the operations performed in Thrace District, the first economical

natural gas discovery was made in 1970 at the Hamitabat and Kumrular Fields and the first oil

discovery was realized in K.Osmancık and Deveçatak wells which were drilled in 1973-1974.

Thrace District Management’s natural gas production, new gas field discoveries, Silivri

Natural Gas Storage and Çayağzı Natural Gas Process Facilities increase the contribution to

the national economy more and more everyday.

Produced natural gas from the TPAO’s fields was sold to 14 companies located in the

region most of which are in textile, food and glass industries. Thus, TPAO contributes to the

economy of the Thrace Region by providing low-cost energy input to the industrial plants that

play significant roles in the national economy.11

8.3.Adıyaman District Management

In 1954, after the acceptance of Petroleum Law No: 6326, foreign companies have

come to Türkiye for petroleum exploration. In 1958, the first petroleum exploration of

Adıyaman Region was made by California Asiatic Oil and Texaco Overseas Petroleum at

Kahta-1 well.

In Adıyaman, TPAO has realized the first oil discovery in Adıyaman Field that was put

into production in  1971. After that, G.Adıyaman, K.Adıyaman and Bölükyayla (1977),

Çemberlitaş (1982), Çukurtaş (1985), B.Fırat and Akpınar (1986) Fields were discovered.

In 1988, after the discovery of Karakuş Field as a result of exploration activities,

G.Karakuş (1989), Cendere, K.Karakuş, Beşikli and O.Sungurlu (1990), D.Beşikli, Bakacak,

Tokaris and İkizce Fields (1991) were also explored. After the exploration of these fields and

enhanced production, the activities started to be carried out by District Management in 1992.

Adıyaman District Management has made a great deal of contribution to the

development of social life in the region by increasing the operational efficiency in its

activities and technical capacity to be helpful to the economy of the region and the country.

9.STRATEGIES OF TPAO

TPAO’s aim is to meet all Türkiye’s hydrocarbon demand in near future with increasing

national production and also an increasing share of its production outside Türkiye. To succeed

in developing tpao’s national and international positions, we must beat the competition from

the world class oil and gas companies. To achieve this target, TPAO’s Strategic Direction; 

Growth by;  

• Enlarging its international portfolio and gaining a leading player role especially in the

nearby geography,

• Discovering hydrocarbon potential of the country, Increasing offshore investments,

• Establishing consortia with the giant companies, sharing risks, transferring know-how and

technology. 

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Efficiency by;  

• Measuring and improving the company efficiency in the operational perspective with its

performance criteria as determined in the Corporation’s Score Card,

• Giving priority to technological innovation.

Integration by;  

• Being effective player in CNG, pipeline and natural gas storage,

• Carrying out renewable energy projects and looking for cooperations in this regard,

• Offering technical services supplied by Exploration, Production, Drilling, Well Completion

Departments and Research Center.

Employee development by;

• Achieving highly motivated experts and learning individuals who desire to reach company

goals through professional training,

• Integrating new personnel swiftly and efficiently.

10.TPAO’S VİSİON, MİSSİON AND VALUES

Tpao’s Vision

To become a regionally effective world - class energy company meeting Turkey 's oil

and natural gas demand and to be the most desired company to work with.

Tpao’s Mision

To bring out oil and natural gas potential of Turkey and provide them for the use of

Turkish economy, supply new sources of income via international activities and play an

effective role in the energy sector by also actively participating in Turkey's process of being

an Energy Corridor.

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Tpao’s Values

Effectiveness and efficiency

Teamwork and communication

Openness to change and innovativeness

Environmental awareness

Employee satisfaction

Share of responsibility, knowledge, experience and delegation

Reliability and honesty

11. OIL AND NATURAL GAS SECTOR VIEW IN THE WORLD

Crude oil which has crucial position in primary energy resources accounts for 33.1%

and natural gas accounts for 23.7% of global energy consumption in the beginning of 2012.

Since the second half of 20th century, the demand for natural gas which is relatively

more clean energy source has increased because of increasing environmental pollution

resulted from mainly rapid industrialization. According to 2030 primary energy projection of

IEA, significant increases in coal and natural gas demands are expected.

The increase of world energy demand that was 2.5% in recent 10 years is expected to

fall to 1.6% until 2030; in addition to that the fastest increase is expected in renewable energy

by 7.6%. Among fossil fuels, natural gas consumption is expected to increase fastest by 2%,

followed by coal (1.2%) and oil (0.8%).

FİGURE 2

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11.1 Oil Sector

11.1.1.Oil Trade

Oil trading volume which was in downtrend between 2008 and 2010 has started to

increase since 2010. It is expected that the biggest net oil importers of the world will be China

and Europe by 2030 as the oil production has become 90.9 b/d in 2012. China will replace US

as the world’s largest oil importing nation by 2017, adjusting the volume of energy imports

for expected economic growth will leave China relatively less dependent than Europe on

imported energy .

Most of the oil trading volume is moved by tankers on certain maritime routes and the

Strait Hormuz leading out of the Persian Gulf and the Strait of Malacca linking the Indian and

Pacific Oceans, which had 32.2 million v/d oil shipment in 2011, are two of the world’s most

strategic chokepoints. Oil shipments from the Bosporus and Dardanelles straits which are

crucial for Russia and other former Soviet Union Republics decreased from 3.4 million b/d at

its peak in 2004 to 2.6 million b/d in 2006 as Russia shifted crude oil exports toward the

Baltic ports. However, traffic through the Straits has increased again as Azerbaijan and

Kazakhstan crude oil production and exports rose. Currently, there are no alternative routes

for westward shipments from Black and Caspian Sea region, several pipeline projects are

underway.

11.1.2.Oil Consumption

Oil demand, which was 88.9 million b/d in 2011, has increased by 0.9 million b/d and

became 89.8 million b/d in 2012. The demand growth was strong in China, Brazil, Canada

and Korea, but it was slow in US due to hurricane and Saudi Arabia in 2012.

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Figure 3. 2010-2012 Period Crude Oil Demand Increases between 2010-2012

11.1.3.Oil Reserves

While world proven oil reserves recorded 1.520 trillion barrels in 2011, it has become

1.637 trillion barrels with an increase of 1.9% in 2012. Mainly rise in oil reserves come from

Iran and Venezuelan heavy oil reserves.

FİGURE 4

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11.1.4.Oil R/P Ratio

World oil reserves have increased by 7.7% in 2012, on the other hand world oil

production has not increased as much as oil reserves. Therefore; oil R/P ratio which recorded

as 44.8 years in 2011 has become 48.8 years in 2012.

11.1.5.Oil Production

World oil production which was 88.7 million b/d in 2011 recorded as 90.9 million b/d

by 2.5% increase in 2012. As 2.2 million b/d supply increase has met demand, there was not

any problems in oil demand-supply balance.

11.1.6.Refinery

Due to low oil demand resulted from unexpected demand decrease in Europe in

November and longer maintenance duration, world refining capacity has become 950,000 b/d

less than previous year. Regional refinery increases are mainly from China and India in Asia

and Russia .

Since refined oil products is more profitable and there are regulations regarding carbon

emission in European markets; investments for bigger and higher capacity refining plants

have increased in regions close to Europe to export processed oil products and weakened the

competitiveness of inefficient and low capacity refining plants in Europe.

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11.1.7.Oil Prices

Brent oil price average in 2012 has become 111.67$/b which is very close to 2011

average 111.26$/b. As a result world benchmark oil price has become over 100$/b in two

consecutive years. Average WTI oil price has dropped from 94.88$/b to 94.05$/b in 2012.

. Suply cuts in South Sudan, Yemen, Syria and North Sea regions are the main reasons

of oil price fluctuations in 2012.

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11.2 Natural Gas Sector

11.2.1.Natural Gas Trade

International natural gas trade volume has decreased negligible amount by 0.8% and

become 1,015.6 billion m3 in 2012 .In 2012 LNG imports has decreased by 1.9% and become

236.3 million tones. Unexpected supply cuts and LNG facility maintenance issues have

affected supply in 2012. Japan's LNG imports increased 11.2 % to a record high of 87.31

million tonnes in 2012, due to an increased demand for fuel to generate electricity after the

nuclear accident . In 2012 Japan and South Korea import share in total is 75% .

11.2.2.Natural Gas Consumption

Natural gas consumption that was 3,223 billion m3 in 2011, recorded as 3,348.7 billion

m3 with an increase of only 1% due to unsecure environment in Arabic countries and

economic crisis during 2012.

11.2.3.Natural Gas Reserves

According to Oil and Gas Journal dataset, 191 trillion m3 natural gas reserves in 2011

decreased slightly and became 190,2 trillion m3 in 2012

Russia was ranked first with 47.8 trillion m3 proved reserve, followed by Iran with 33.6

trillion m3 and Qatar with 25.2 billion m3 in 201219

11.2.4.Natural Gas R/P Ratio

As a result of increased oil production by 3% in the beginning of 2012 and lesser

decrease in reserves; R/P ratio which was 57.96 years in the beginning of 2011 became 57,07

years in the beginning of 2012.

11.2.5.Natural Gas Production

Natural gas production averaged 3,178.2 billion m3 in the beginning of 2011, recorded

as 3,276.2 billion m3 with an increase of 3.1% mainly from USA, Russia and Qatar in the

beginning of 2012.

11.2.6.Natural Gas Storage

As of April, 2012 world natural gas storage capacity was 356.3 billion m3; North

American storage capacity representing 41.6% of total, is 148 billion m3 [10]. Former Soviet

Union has 109.4 billion m3 (30.7%), Europe has 93.8 billion m3 (26.3%), Asia-Oceania has

3.7 billion m3 (1%), Middle East has 1.3 billion m3 (0.37%) and South America has 0.1

billion m3 (0.03%) natural gas storage capacity [9]. Natural gas usually stored in depleted

wells also in some areas, aquifers and salt caves can be converted to gas storage reservoirs .

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11.2.7.Natural Gas Prices

Since the winter of 2012 was mild, natural gas stocks have increased. As a result,

average Henry Hub natural gas prices are below previous years’ averages. In 2011the average

was 143.98$/m3, in 2012 it fell %31 and became 99.2 $/m3.

FİGURE 9

11.3 Expected Issues in Oil and Natural Gas Sectors in 2013

The European Union, which meets 20% of its oil demand from Iran, has agreed to an

Iranian Oil Embargo as of July 1, 2012 and imports have been banned in October 2012. This

embargo is expected to affect Iran severely. 25% of total exports of Iran made to EU mainly

Greece and Italy in 2011. This embargo signed with US consists of not only oil imports but

also oil shipping insurance and financing. Iranian authorities say that they got necessary

precautions against EU embargo [15]. Iran caused volatility in oil markets by threatening to

close Strait of Hormuz over a possible intervention. In 2012, Iran oil exports have decreased

39% and become 1.5 million b/d which is the lowest level since Iraq-Iran war in 1986 .

Even upstream investments have high risks, OPEC member counties are expected to

make 132 upstream projects with a budget of 300 billion $ in the mid-term. In order to meet

energy demand, upstream investments have the priority

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FİGURE 10--2011-2015 OPEC Upstream Investment Plan,

In the next five year period, the oil price is expected to rise because of Arab Spring’s

adverse effects on oil and gas investments. International Energy Agency projections estimate

the world’s energy investment need between 2011-2035 years is as $38 trillion cumulative,

also it is foreseen that 90% growth in crude oil production will be provided from the Middle

East and North Africa for 10 year period.

Countries that made meeting in Durban on climate change in December 2011 agreed to

reduce greenhouse gas emissions until 2020 without binding decisions because of countries’

internal policies .

Even though, global economic growth slowed in parallel with the expectations in 2012,

prevention of Greece uncontrolled bankruptcy and affirmative news in US economy increased

expectations about global economic markets. On the other hand, Spain economic crisis are

prevented by central banks liquidity efforts. However, EU’s precautions for crisis have

affected developing countries growth which was shown strong growth potential in the past

period. Greek, Spanish, Portuguese and Italian economies have shrunk in 2012. Among all,

most critic countries is Greece, her economy shrank 7.1% in 2011, and expected to shrink

6.4% in 2012. In 2013, her economy is expected to shrink 4.4% as well in the projections.

South Cyprus economy which is highly dependent on Greek economy due to its bonds, has

shrunk in 2012 and expected to shrink 3.5% in 2013 .

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In the projections of IEA, global demand for oil is expected to grow at a weak pace of

0.9% this year due to the uncertainty generated by the US budget negotiations, slower-than-

anticipated Chinese business activity and chronically high unemployment in Europe .

12.OIL and NATURAL GAS SECTOR IN TURKEY

In 2012, 55.50 man/month geological field survey(all by TPAO), 44.66 crew/month

geophysics field survey (all by TPAO) were conducted, in total 158 wells being as 82

exploration wells, 24 appraisal wells, 51 production wells, 1 reconnaissance well were drilled

and 298,442 meters drilling activities were conducted in Turkey.

In 2012, 2.3 million tonnes of oil and 664 million m³ natural gas was produced and

cumulatively 140.2 million tonnes of oil and 13.5 billion m³ natural gas were produced by

now.

With the exploration of new oil fields and developing secondary production methods,

production decline was partly prevented but the oil production in 2012 decreased by 4%

compared to 2011.

Furthermore, through new production wells drilled in old fields and new natural gas

explorations conducted by TPAO and partnerships in Thrace since 2002; gas production that

declined in 2001 started to increase again and reached its peak level in 2008 with production

rate of 1,014 million m3. In 2012 natural gas production recorded as 664 million m3, that is

lower 16% compared to 2011.23

By the year 2012, recoverable oil reserve reached 294.8 million barrels (43.2 million

tonnes) and in case of no new exploration; estimated R/P ratio of domestic crude oil is 18.5

years with the current production level.

By the year 2012, domestic natural gas reserves were 6.84 billion m3. In case of no

new discovery and with the current production level, estimated R/P ratio of domestic natural

gas reserves is 10.3 years.

On the other hand, in Turkey, which is surrounded by seas on three sides, potentials of

onshore and offshore are examined in the seismic studies conducted in the 1990s in the Black

Sea and Mediterranean those of the sea search areas. In recent years, new technologies in

offshore activities help TPAO to gain exploration and production experiences under deep

water (1,000 – 2,000 m) and create the structure of offshore hydrocarbon exploration.

TPAO continues to exploration activities in Black Sea, Mediterranean and the Aegean

Sea since 2004. In the last 10 years, natural gas production with unconventional methods

increased especially in North America. In parallel with these developments TPAO signed a

Memorandum of Understanding with Transatlantic TEMI that includes 3 license fields in

offshore areas of the Mediterranean region of Antalya, signed between TPAO. TPAO and

Shell signed a joint operation agreement to produce natural gas with unconventional

production techniques on 23 November 2011. In this regard, project workouts carried during

year, drilling in Sarıbuğday-1 well continued. It is expected that unconventional gas

production, implemented for the first time in Turkey, will help to meet the hydrocarbon need

of Turkey.

24

As a result of activities carried out in the Black Sea, natural gas production started and

nearly 350,000 m3/d natural gas produced from Ayazlı-Akkaya and Doğu Ayazlı region in

2012.

7% of the oil fields in Turkey have a reserve of 25-500 million barrels and the

remaining 93% of the fields have a reserve less than 25 million barrels. In other words, 93%

of explored oil fields of Turkey are regarded as small-sized fields and 7% of them as mid-

sized fields.

25

In the last decade, crude oil supply of Turkey has decreased by 12%, whereas natural

gas supply has increased by 91%. 9 % of crude oil demand and 1.6% of natural gas demand

have been met by local supply in 2012.

26

12.1 TPAO In The Sector

TPAO conducts her operations in accordance with her vision “To become a regionally

effective world-class energy company meeting Turkey’s oil and natural gas demand and to be

the most desired company to work with.”

TPAO continues her abroad operations by participating in international consortiums

formed by major oil companies in Azerbaijan and Kazakhstan for production activities. Also

continues her operations in 4 oil fields in Iraq, as being operator in one of them. TPAO

conducts new business development activities through relationships between countries and

firms.

The great portion of the Company’s international production comes from Azeri-Chirag-

Guneshli Project in Azerbaijan.

TPAO, as a partner of Shah Deniz project (9% share), produced natural gas for the first

time in international fields, in addition to this production TPAO has met some national gas

demand from international sources. TPAO delivers natural gas of Shah Deniz Project

continuously via using Southern Caucasus Pipeline. The main target of the project is

transmitting regional natural gas tothe Europe via Turkey in the second stage. In this regard,

TransAnatolia Pipeline Project is an important stage in transmitting natural gas to Europe.

In 2009 the first exploration drilling was completed and oil was discovered in Libya; 7

of 11 exploration wells drilled by TPAO resulted with oil discovery so far. After political

stability provided in Libya, TPAO started to operate in her Libya office in November 2011

and planning to start operational activities by the year 2012.

Since 1994, Turkish Petroleum has been working closely with the Iraqi Ministry of Oil

for exploration and production opportunities in Iraq. In addition to right for development of

Missan and Badra oil fields won by TPAO as an operator in 2009, in license auctions

announced by Ministry of Oil of Iraq, operating right of Siba and Mansuriya Gas Fields for 20

years were won by TPAO with a consortium in 2010. Due to work volume an office was

leased in 2011, and started its operations in 2012.

27

TPAO has become operator with 35% share in Meza-ı Şerif field and investor in

Sandıklı field in Afghanistan. Consultation studies have continued in these fields’ exploration

and production share.

Turkey has started production share agreements with Russia which is one of the biggest

countries in hydrocarbon exports in the world in the end of 2010 again after a cut in the

process.

Turkey’s energy demand highly correlated with the increase in global energy demand,

economic growth and prosperity. In 2012, Turkey paid nearly $60 billion to oil and natural

gas imports and TPAO continues her activities towards reduction the sum of the bill and

provide security of energy supply.

Besides onshore fields TPAO, has focused on exploring offshore fields for

determination, production and contribution of current oil potential to the national economy.

With the rise of oil and natural gas prices, declining cost of production by developing

technology, oil companies have become the focus of attention in Black Sea Basin. Amount of

seismic activities in offshore fields in the last 8 years is more than the amount of seismic

activities achieved in offshore fields in 58 year-history of TPAO.

Because of the high risks in investments of offshore exploration, TPAO continues its

activities with other companies by sharing these risks. In this context, first deep water drilling

of Turkey (Hopa-I) was completed in 2006 within the framework of the activities of TPAO-

BP partnership in Eastern Black Sea. With the completion of Yassıhöyük-1 well (5,343m),

TPAO gained and important success about ultra-deep sea water drilling.

Moreover, partnerships with Petrobras, ExxonMobil and Chevron were established,

Sinop-1 (operator Petrobras), Yassıhöyük-1 and Sürmene-1 (operator TPAO) wells were

drilled under the scope of ongoing drilling operations in the Black Sea. In 2011, 12,844 m

offshore drilling activities were conducted in 4 wells (1 by TPAO, 3 via partnerships) and an

important progress was made with the partnership agreement signed with Shell in the

Mediterranean in November 2011. Additionally, Petroleum Services and Production Sharing

Contract were signed betweenTurkish Republic of Northern Cyprus and TPAO for 8 licenses;

including 1 onshore and 7 offshore. Thus, Turkyurdu-1 well was drilled in Turkish Republic

of Northern Cyprus.

28

In the Western Black Sea Region, Akçakoca double-platform with a daily production

capacity of 2.1 million m3 has been put into service, and nearly 350,000 m3/d natural gas is

being produced at the production platform and drilling new production wells continued to

improve the natural gas production are at the drilling platform.

Turkey’s crude oil production was recorded as 2.3 million tons in 2012 and 73% of

total production was performed by TPAO. Although a decline of 3% in national oil

production was regarded within the last 10 years, with result of the activities for the

improvement in oil production in Batman region by TPAO especially after 2003, TPAO

partially stopped the decline

In 2012, Turkey’s natural gas production was recorded as 664 million m3 and 51% of

total production was performed by TPAO. Natural gas demand depends on the seasons and

the winter demand can be twice as much as of the summer. For this reason, natural gas

storages for the excess demand in summer can be stored and then brought into use to meet the

increasing demand in winter season are needed.

29

Moreover, according to the Natural Gas Market Law No.4646 dated 18.04.2001, natural

gas importing companies must have contract with the storage companies to store the 10% of

the imported natural gas in the national territory.

In this regard, activities for Silivri Natural Gas Storage Project, the first underground

natural gas storage project of our country with a total - one onshore and one offshore -

capacity of 1.6 billion m3, were started by TPAO in 1998 and in 2007 stored natural gas was

produced back. Natural gas storage capacity reached 2.66 billion m3 in 2009 and there are

studies being conducted to increase daily reproduction from 14 million m3 to 25 million m3

by the end of 2014, and to 50 million m3 by the end of 2016.

TPAO’s most of underground natural gas capacity has been allocated to BOTAS.

Legislative activities have been completed to open the remaining capacity of TPAO to the

service of private companies with licenses impartially and equally. In this context, the usage

method and principle of underground natural gas terminals was published in Official Journal

on 06.04.2012

Also, the bidding for 1 billion m3 capacity natural gas storage facility in Salt Lake by

BOTAS is completed in November 2011. The facility first phase is planned to be open in

2015-2016, second and last phase is completed in 2018-2019[20].

30

13.WHAT TPAO DO

TPAO has four core activities in the oil sector. 

Exploration, Drilling, Production and Well Completion

Natural Gas Storage

Participation to Oil and Natural Gas Pipeline Projects

14.ACTIVITES OF TPAO

14.1.Exploration

In accordance with tpao’s vision and mission for meeting Turkey’s continuously

increasing oil and natural gas demand through domestic and international sources, we have

made a boom in tpao’s domestic investments by setting tpao’s new exploration strategy in the

recent years by extending tpao’s activities in unexplored basins of Turkey, especially Black

Sea and Mediterranean offshore.

tpao’s domestic investments approximately reached to 600 million USD in 2011, while

it was 50 million USD in the early 2000s. In the last decade, we have performed significant

activities to reveal new oil sources of our country.

From 2004 to 2011, by conducting 64,000 km of 2D and 14,000 km² of 3D seismic

surveys, we have attained substantial information about the hydrocarbon potential of the

region. The first economical natural gas discovery made the region limelight of many oil

companies.

The drilling of HopaX-1, Sinop-1, Yassıhöyük-1 and Kastamonu-1 wells were

completed after the joint exploration activities with BP, Petrobras, ExxonMobil and Chevron.

We have realized the drilling of Sürmene-1/1RE well through tpao’s own means. By being

drilling operator in Yassıhöyük-1 and Sürmene-1/1RE wells, we become one of the 12 major

global oil companies that can handle drilling in ultra-deep waters.

31

tpao’s short term goal is; to explore the hydrocarbon potential of Black Sea and bring it

into the economy. Meanwhile, we have conducted 20,000 km 2D and 2,500 km² 3D seismic

surveys in Mediterranean (İskenderun, Cyprus, Mersin, Antalya offshore) from 2005 to 2011.

With these seismic and geologic activities, we considerably managed to progress in

revealing the hydrocarbon potential of the region. On the other hand, Joint Operating

Agreement was signed between Turkish Petroleum and Shell on 23.11.2011 covering 3

exploration area licenses of Antalya offshore.

tpao’s farm-out activities initiated covering Mersin and İskenderun Bays licenses

following Antalya Bay.

 

32

14.2.Drilling

We are excited and aware of that, the successful results that may be obtained from the

drillings in tpao’s offshore areas will carry Turkish Petroleum ”.

  We also carry on conducting tpao’s onshore exploration activities intensively,

especially in Thrace, Southeastern Anatolia and Central Anatolia.

We bent on continuing tpao’s drilling activities without any cease both at home and

abroad. In 2011, we have performed 198,875 m. drilling in 115 wells. With these activities we

discovered 54 oil, 9 natural gas wells and also 7 oil, 6 natural gas fields.

G. Akçakoca-1/1RE and Akçakoca-5 wells were drilled under the Western Black Sea

Exploration and Development Project within the scope of TPAO-Petrol Ofisi E&PTiway Oil

Foinavon partnership. We have completed the drilling of Sürmene-1/1RE ultra deep water

through tpao’s own means and Kastamonu-1 well with Exxonmobil in Black Sea in the same

year. Moreover, production of oil and natural gas with unconventional methods like shale gas,

is still going on.

Tpao carry out tpao’s studies for the establishment of a competitive, secure,

transparent and balanced market conditions for all oil companies viewing and adopting

themselves with the integration process of international oil companies.

As Turkish Petroleum, we signed many joint exploration and production agreements by

getting into partnership with international oil companies for tpao’s oil and natural gas

exploration activities.

 

33

14.3.Production

14.3.1.Domestic Crude Oil Production

In 2011, TPAO produced 12.1 million barrels of crude oil from its fields, which

constituted 74% of the total crude oil production of Turkey. 71% of total oil production is

from Batman Region, 28% is from Adıyaman Region and 1% is from Thrace Region.

The total number of production wells reached to 1,195 by the end of 2011 with the

addition of 51 new and 11 re-completed wells and abandonment of 3 wells. Serious amount of

water was produced from our oil fields as well as oil. In 2011, 106 million barrels of produced

water was injected into safe zones in different fields by 87 waste water injection wells.

Within its policy of keeping the production at the maximum level, tpao have continued

tpao’s domestic reserve development and production activities in 2011. Production problems

in heavy reservoir require special technical applications.

To prevent the decline in production and to evaluate the current production potential,

several reservoir studies were performed.

14.3.2.Domestic Natural Gas Production

  317.6 million sm³. 97% of this gas production is from Thrace Region, 2% is from

Batman Region and 1% is from Adıyaman Region. The oil equivalent of the gas output is 1.9

million barrels.

Thus, TPAO’s cumulative hydrocarbon production reached to 14.0 million barrels in 2011.

 14.3.3.International Exploration and Production Activities

Tpao have become an important actor in the region with the international exploration,

production and development projects since 1990’s. Within the context of these activities, most

of tpao’s international production is generated from Azeri-Chirag-Guneshli Project in

Azerbaijan.

BTC Main Export Crude Oil Pipeline started its operations in 2006. So, the production

in Azerbaijan Projects is expected to increase and to reach its highest level. Following the

completion of SCP Gas Pipeline in 2006 and the proceeding operations, tpao’s first 34

international  atural gas production as a shareholder of Shah Deniz Project started in March

2007. In addition to Azerbaijan projects, tpao’s production from Kazakhstan fields in which

we are partner, continues.

14.4.Well Completion

Well completion services have being provided in Turkey and abroad by TPAO.

Workover, cementing, acidizing, DST, logging and perforating operations have been

conducted in oil, natural gas and geothermal wells by following high standards.

63 completion, 138 recompletion and 3,777 workover jobs were performed by

utilizing 14 workover rigs and 7 rodpuller rigs in 2011.

Totally 632 logging and perforating jobs were accomplished in 2011; as well as 26

checkshot/VSP operations.

In 2011, 530 cementing operations (in which 12,312 tons of cement used), 254 acidizing

operations (804,265 gallons of acid used) and 121 DST operations were performed.

35

 14.5.Crude Oil Marketing

The domestic crude oil produced by TPAO in accordance with article 10 of the

Petroleum Market Law numbered 5015 is purchased by Domestic Refineries on the basis of

the prices specified by the Law. Selling points of crude oil are Batman, Dörtyol and Marmara

Ereğlisi Terminals. Crude oil produced by TPAO is still purchased by TUPRAS, Turkish

Petroleum Refineries Co., the leading refinery in the country.

Crude oil produced in Batman region is transported to the Terminal of BOTAS through

two main pipelines. Oil is stored in seven tanks with a capacity of 150.000 barrels located in

the Terminal. The requirement of TUPRAS Batman Refinery (depending on the season) is

being met and surplus oil is transferred to 500 km. BOTAS Dörtyol Pipeline and finally

reached the BOTAS Dörtyol Terminal.

Crude oil produced in Diyarbakır Region is transported through the pipeline to BOTAS

Pirinclik Station. A part of oil is transferred to Batman and the remaining is transferred to

BOTAS Dörtyol Terminal through Batman Dörtyol Pipeline.

Crude oil produced in Adıyaman region is transferred to BOTAS Sarıl Station. Then,

oil is transported to BOTAS Dörtyol Terminal through Batman Dörtyol Pipeline.

Crude oil collected in Batman Dörtyol Terminal is stored in four tanks of 150.000

barrels capacity and is transported through vessels with a capacity of 245.000 barrels to

Ceyhan, İzmit and İzmir Refinery.

Marmara Ereğlisi is the selling point of crude oil produced by Thrace Region. Crude

oil transported by highway tankers is transferred to Izmit Refinery through small tanker ships

with a capacity of approx. 9.000 barrels.

Since the beginning of 2010, the marketing of TPAO’s equity crude oil & condensate,

produced from Azeri-Chiraq-Guneshli (ACG) and Shah Deniz (SD) projects in Azerbaijan,

have been realized through tender basis under the internal procedures and regulations of

TPAO. Crude Oil Sales & Marketing Office of International Projects Department is

responsible for the sales transactions.    

36

The loading ports of TPAO’s ACG crude and SD condensate entitlements are Ceyhan,

Turkey and Supsa, Georgia Terminals. The crude oil sales are done on Free-on-Board (FOB)

basis with subject to TPAO General Terms & Conditions (TPAO GTCs).

14.6.Natural Gas Marketing

Turkish Petroleum Corporation, the largest natural gas producer of Turkiye, realized

the first natural gas discovery at the Kumrular and Hamitabat fields in 1970 and the first

commercial natural gas sale was realized in 1976. 

TPAO’s natural gas production has been carried out in accordance with Petroleum Law

No. 6326 and natural gas produced by TPAO has been marketed to wholesale companies,

distribution companies and free consumers under provisions of Natural Gas Market Law No.

4646, and with the Wholesale License numbered DTS/148-18/022 issued by Energy Market

Regulatory Authority, EMRA on May 23, 2003. 

Demand of free consumer companies purchasing natural gas with the connection

natural gas line from TPAO's owned main pipeline in its natural gas fields has been evaluated

in current supply-demand balance and then, approval of EMRA has been received. Natural

gas produced in marginal fields away from the main pipeline has been sold in the form of the

compressed natural gas (CNG) to companies having CNG distribution, transportation and

marketing license.

37

14.7. Natural Gas Storage

TPAO put Silivri Natural Gas Storage Facility into service in 2007, which is the "first

and unique" underground storage facility in Turkey.

The main objective of the underground natural gas storage is to compensate the

seasonal differences in natural gas consumption. Natural Gas is injected to the reservoirs in

low-demand periods while it is produced back from reservoirs in high-demand periods.

In addition, the natural gas is stored for the following secondary purposes:

to have strategic reserve in case of technical problems on gas supply,

to meet excessive demands for short terms,

to meet excessive electricity demands on summer period,

to manage take-or-pay obligation,

to balance the flow in pipeline system,

to decrease price fluctuation.

Silivri Underground Natural Gas Facility has two reservoirs. One of them is Kuzey

Marmara Field which is a depth of 1200 meters and discovered in Marmara Sea in 1988.

Other one is Değirmenköy Field which is a depth of 1100 meters and discovered in 1994.

After feasibility study that determines the fields appropriate for storage services, "Natural Gas

Storage and Reproduction Services Agreement" was signed between TPAO and BOTAŞ on

21.07.1999. Surface Facilities was awarded with EPIC type of bidding and commercial

activity has started on 01.04.2007. 

Storage facilities have a total storage volume of 2,661 BScm (2,1 BScm capacity is

allocated to BOTAŞ) with maximum 16 MMScm/day injection and 20 MMScm/day

withdrawal capacity. General Terms and Conditions for utilization of Silivri Underground

Gas Storage Facilities is approved by Energy Market Regulatory Authority (EMRA) and

published in Official Gazette of Republic of Turkey on 06.04.2012. Remaining capacity of

561 MMScm is begun to be used by third parties which has gas import and/or trading license,

starting from year 2012.  

38

14.8.National pipeline

 2012 years national pipeline crude oil table

Pipeline lengthThousan

d barrels

Thousan

d Ton

Batı Raman-

Batman32 km. 4.823 733

Raman/

Garzan-

Batman

47 km. 2.904 431

Sarıcak-

Pirinçlik43 km. 2.375 331

Adıyaman-

Sarıl81 km. 3.568 511

Satılan Doğal

Gaz Miktarı329 million Sm3

2011 years national pipeline crude oil

table

Pipeline

length

Thousan

d barrels

Thousan

d Ton

Batı Raman-

Batman32 km. 4.780 724

Raman/

Garzan-

Batman

47 km. 2.782 413

Sarıcak-

Pirinçlik43 km. 1.886 263

Adıyaman-

Sarıl81 km. 3.826 548

Satılan Doğal

Gaz Miktarı

315 millio

n Sm3

39

 

2010 years national pipeline crude oil table

Hat Uzunluğu Thousand barrels Thousand Ton

Batı Raman-Batman 32 km. 4.672 710

Raman/Garzan-Batman 47 km. 2.820 418

Sarıcak-Pirinçlik 43 km. 3.223 446

Adıyaman-Sarıl 81 km. 4.057 577

years 2010 national pipeline gas table

Muhtelif Hatlar 313 km. 249  million Sm3

 14.9.Research Center

TPAO Research Center has been carrying out domestic and international R&D projects

and consultancy cervices with a wide service network in 27 modern laboratories on petroleum

and natural gas since its establishment in 1971.

Research Center is composed of two basic departments, namely Petroleum Geology and

Petroleum Technology.

In the Petroleum Geology Department, stratigraphy, reservoir geology and petroleum

geochemistry studies;

In the Petroleum Technology Department, technological studies on drilling, production and

reservoir are carried out by expert geoscientists and engineers.

40

15.QUALITY CONTROL

TPAO Research Center Laboratories are entitled to the accreditation certificate

according to the requirements of “TS EN ISO/IEC 17025 General Requirements for the

Competence of Testing and Calibration Laboratories” standard through TURKAK on

October, 16 2006.

This accreditation certificate is authenticated that TPAO Research Center provides top

- qualified economic priced products services following the developing technology.

TPAO Research Center serves as an outstanding laboratory while succeeding demanded

analysis, training; services for the reasons that:

• Research Center makes accurate analyzes by taking traceable calibration

services,

• Research Center follows the product service standards in production; service

division as well as applying Quality Management System Standards.

TPAO Research Center is an International Well Control Assessment Center accredited

by International Well Control Forum (IWCF) with effect from 26th November 1997. The

Center is also a member of IWCF.

Accredited Analyses

1. Petroleum Products Analyses

2. Water Analyses

3. Drilling Fluids Additives Analyses

4. Gas Analyses

41

15.1.Petroleum Products Analyses

Density (TS EN ISO 12185, ASTM D 4052)

Viscosity-Kinematic, cst (EN ISO 3104, ASTM D 445)

Flash Point, °C, Pensky Martens closed cup (TS EN ISO 2719, ASTM D 93)

Total sulphur, XRF, ppm (TS EN ISO 8754, IP 336)

Atmospheric Distillation (TS 1232 EN ISO 340, ASTM D 86)

Low sulphur Content, ppm (TS EN ISO 20846, ASTM D 5453)

Pour Point, 0C (TS 1233 ISO 3016, ASTM D 97)

Bottom Sludge and Water, vol % (ASTM D 1796)

Water Content, by Azeotropic Distillation, %vol (TS 124 EN 1428, ASTM D 95)

Vapor Pressure (TS EN 13016-1)

Benzene in Gasoline Analysis (ASTM D-6729) 

Oxidation Stability (gasoline) (TS 2646 EN ISO 7536, ASTM D 525)

Cold Filter Plugging Point,0C (TS EN 116, ASTM D6371)

Water Content,ppm (TS 6147 EN ISO 12937, ASTM D 6304)

PAH (Poly Aromatic Hydrocarbons), wt% (TS EN 12916)

Cetane İndex, by Calculation (TS EN ISO 4264, ASTM D 4737)

Determination of Particular Contaminant, (TS EN 12662)

Oxidation Stability (diesel) (TS EN ISO 12205)

Determination Of Ester And Linolenic Acid Methyl Ester Contents (TS EN 14103)

Ash Content, wt % (TS EN ISO 6245)

Total Sediment (TS ISO 10307-2)

Copper Strip Test (Corrosiveness to Copper) (TS 2741 EN ISO 2160)

Fatty Acid Methyl Esters (FAMEs) ( TS EN 14078)

42

14.2.Water Analyses

Elemental Analysis of Trace Elements by ICP-OES (EPA Methods

200.7)

Elemental Analysis of Mercury by ICP-OES/FIAS (EPA Methods

200.7)

14.3.Drilling Fluids Additives Analyses

Determination of Flow Properties (API Spec.13 A) (TS EN ISO 13500/AC) 

API Fluid Loss Test (API Spec.13 A) (TS EN ISO 13500/AC)

Wet Screen Analysis (API Spec.13 A) (TS EN ISO 13500/AC)

Humidty Test (API Spec.13 A) (TS EN ISO 13500/AC) 

Alkalinity Test (API Spec.13 A) (TS EN ISO 13500/AC) 

Particle Size Distribution Analysis(API Spec.13 A) (TS EN ISO 13500/AC) 

Density (API Spec.13 A) (TS EN ISO 13500/AC) 

Sieve Analysis (Ro-Top Testing Sieve Shaker Model B Operating Manual, TPAO Home

Method: D.03.A.09 )

pH Determination (Oakton pH-500 Series Operating Manual, TPAO Home Method:

D.03.A.09 )

Solubility in Acid (Dowell Schlumberger Home Method, TPAO Home Method: D.03. A. 09)

15.4.Gas Analyses

Analysis of Natural gas; C1-C6 (including N2, CO2, H2, Argon and calculation of upper

heating value, Wobbe index etc.) (ASTM D 1945)

43

16.COST ANALYSİS

TPAO and ITS SUBSIDIARIES CONSOLIDATED INCOME STATEMENT

AS OF DECEMBER 31, 2012

(Thousand USD*)

44

TPAO and ITS SUBSIDIARIES CONSOLIDATED BALANCE SHEET

AS OF DECEMBER 31, 2009

(Thousand USD*)

45

TPAO and ITS SUBSIDIARIES CONSOLIDATED BALANCE SHEET

AS OF DECEMBER 31, 2009

(Thousand USD)

46

17.BUSINESS DEVELOPMENT

17.1.Farm-Out Activities in the Black Sea

Farm-out Campaining in  for 3534, 3920, 3921 and 3922 ultra deep water licences was

run out and exploration activities have been going on by drilling of series wells.

TPAO is open minded to keep businnes prospect warm for exploration activities in ultra

deep water licence area. Any company who want to make an investment in the Black Sea

Offsore licence area is welcome to be partner.

17.2.Farm-Out Activities in the Mediterranean

The exploration activities in the Mediterranean are carried out in Antalya, Mersin and

İskenderun offshore areas. 10.000 km 2D and 1.000 km2 3D seismic data have ben acquired,

in the context of intense exploration program, starting from 2007. After the interpretation of

this large data set, it has been decided to evaluate the hydrocarbon potential of the area in

joint ventures and, farm-out were commenced in the first quarter of 2011 for the Gulf of

Antalya.

47

The negotiations are still continuing with major oil companies. Additionally, TPAO

is planning to start the farm out activities at the final quarter of 2011 for Mersin and

İskenderun bays.

17.3.Unconventional Exploration

There are several potential unconventional reservoirs in different basins located in

different geographical regions of Turkey. Domestic oil production is obtained from the SE

Anatolia, the Asian part of Turkey and the gas production is from the Thrace Basin, European

part of the country (Fig. 1). All other internal basins are still unexplored basins. Although

source rocks in those basins have very high hydrocarbon generation potential, more than 90%

of the oil and gas demands are provided from the neighbouring countries. Unconventional

production techniques may be the future supply for Turkey, a great market by itself and the

rapidly developing country.

There are four different unconventional potential formations in the oil-prone (SE) South

East Anatolia and three different potential formations in the gas-prone Thrace Basin (Fig. 2).

The Silurian Dadas Formation is the Turkish equivalent of the Silurian hot shales in the

Middle East and North Africa which is a world class source rock. There are shale-gas and

tight sand potential (with the Ordovician Bedinan Formation) in the southeast of Turkey while

shale-gas, tight sand and basin center gas potential apparently exists in the Thrace Basin. 

   Komurlu Formation in the Eastern Anatolian Basins is the Turkish equivalent of

another world-class source rock, Maykop Formation which is the main source rock in the

Black Sea and Caspian Region. Lower Cretaceous Caglayan Formation is a potential

unconventional reservoir in the onshore Black Sea Basins. The Salt Lake (Tuz Golu) Basin

which is the largest basin in the Central Anatolia (Fig. 1) has different source rocks. However,

Paleocene-Eocene Karapinaryaylasi Formation indicates highest source rock parameters and

unconventional potential. There are 3 different formations bearing unconventional potential in

the Taurus Basins; U. Jurassic - L. Cretaceous Akkuyu Formation, L. Carboniferous

Ziyarettepe Formation and Silurian rocks are classified as very prolific source rocks (Fig.2).

All these thick formations and their geochemical properties indicate that Turkey has a

great unconventional resources potential. This is also confirmed and took place in the

international reports (Fig.3). Particularly, most of the internal basins are still unexplored or

48

under-explored basins and non of these formations have been tested with the unconventional

production techniques.

In this context,  within the scope of unconventional studies to be conducted at the

Thrace Basin and Southeastern Anatolian licences, a Memorandum of Understanding (MOU)

was executed by and between TPAO and TRANSATLANTIC on April 9th, 2010. In the

regard of this agreement, re-entry operations are conducted in Kaynarca-1 well at first in

Thrace Basin and then re-entry and hydrofrac operations realized in Kepirtepe-1 well.

18.PROJECTS

18.1.Enhanced Oil Recovery Projects

18.1.1.Batı Raman Field Enhanced Oil Recovery Project

Since the carbon dioxide (CO2) injection start-up in 1986 in B.Raman, cumulative

injection into the field has reached 9.6 billion m3 in the scope of Batı Raman Field Enhanced

Oil Poroject. In order to sustain this amount of injection, 7.2 billion m3 CO2 was produced

from Dodan Field. By the end of 2010, Batı Raman's recovered cumulative oil reserves were

103.8 million barrels, 67.9 million barrels of which is the additional oil coming from CO2

injection.

In 2010, 421.9 million m3 CO2 was injected, 286.2 million m3 of this amount was re-

produced and 262 million m3 of this produced gas was reinjected into the reservoir to be re-

utilized. Water injection aimed improving CO2 sweep efficiency continued in 2010, in total

235,758 barrels of water alternating with gas was injected into 13 different wells. NaOH

augumented water injection was begun from 2 injectors in order to see the effect of chemicals

to increase the efficiency of Water Alternating Gas (WAG) application. 77 thousand barrels

of chemically enriched water was injected. In addition to this, drilling operations of 18 new

vertical wells were completed.

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18.1.2.Raman Field Production Enhancement Project

Raman Field production enhancement Project was started in 1994 and operations to

increase oil production have been continuing periodically by the end of 2010. 16.2 million

barrels of additional oil was produced by means of this project. 1 new well was drilled in the

field to increase oil production in 2010 and well number increased to 241.

As results of pilot polymer gel injection (MARCIT) done in 7 wells to reduce water-

cut values in 2007 were satisfying, gel injection operations were done in 57 wells throughout

the year. Approximately 515 thousand barrels of extra oil production was obtained from these

57 wells. Gross production rates of 22 wells were changed in 2010. 3 abandoned wells were

put into production after gel operation. As a result, approximately 25 thousand barrels of

additional oil were produced by these operations in 2010.

 

18.1.3.Garzan Water Injection Project

Garzan Field, which has 300 million barrels oil in place, is one of the biggest oil fields

in Türkiye. Within the scheme of Garzan Water Injection Project, started in 1960 and

restarted in 1992 after a long halt since 1983, cumulative injection through 11 wells reached

to 68 million barrels in Garzan-B field by the end of 2010, where annual injection was 1.5

million barrels. In Garzan-C field, cumulative water injection through 4 wells reached 46.7

million barrels where total annual injection was 700 thousand barrels. Within the scope of

Garzan Water Injection Project, 28.7 million barrels of additional oil in Garzan-B Field and

13.1 million barrels of oil in Garzan-C Field were produced by the end of 2010.

18.1.4.Batı Kozluca Field Water Alternating Gas Injection (WAG) Project

CO2 /WAG feasibility in Batı Kozluca Field was investigated through a reservoir

study and promising results led to investments for the application. CO2 injection and water

injection have continued in 2010. By the end of 2010, cumulative gas injection reached to

5.86 billion scf and cumulative water injection reached to 800 thousand barrels. The injection

process is still underway. In order to expand the application of CO2 injection, additional 12

wells were drilled at the B.Kozluca Field.

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18.2.International Projects

18.2.1.Kazakhstan

TPAO conducts its activities in Kazakhstan through a joint venture company,

KazakhTurkMunai (KTM) Ltd. in which TPAO holds a 49% share and KazMunaiGas has

51%. KTM Ltd. has one concession licence in Aktau Region and two in Aktubinsk Region of

the Western Kazakhstan. Since 1993, TPAO has been carrying out its activities in Kazakhstan

and intends to grow its portfolio in this country, which is in the focus of interest with its high

oil reserves. By the end of 2010, yearly crude oil production is 1.71 million barrels,

cumulative crude oil production is 25.07 million barrels and crude oil reserves are 30.7

million barrels.

18.2.2.Azerbaijan

TPAO is currently a participant of three exploration, development and production

projects which are Azeri-Chirag-Guneshli (6.75%), Shah Deniz (9%) and Alov (10%)

Projects in Azerbaijan. Furthermore, TPAO has a share of 6.53% in the BTC Co. which is

carrying out all activities of Baku-Tbilisi-Ceyhan Main Export Crude Oil Pipeline Project and

9% share in South Caucasus Natural Gas Pipeline Project which transports Shah Deniz gas to

Turkish-Georgian border.

18.2.3.Azeri-Chirag-Guneshli (ACG) Project

In 1994, “The Joint Development and Production Sharing Agreement” for ACG

Project was signed in Baku among the State Oil Company of the Azerbaijan Republic

(SOCAR) and the consortium constituted by the foreign companies. Throughout the ACG

Project having 5.56 billion barrels of oil reserves, and producing 1.64 billion barrels of crude

oil at end of 2010. In 2010, with an average of 825,000 barrels/day, 301.3 million barrels of

oil was produced.

The production started from Chirag Field (the early oil project) in November 1997.

The Phase-1 (Development of the Central Azeri Field) was put into production in February

2005. The production of the Phase-2 (Development of the West and East Azeri Fields) were

commenced in January 2006 (West Azeri) and in October 2006 (East Azeri). The production

of Phase-3 (Development of Deep Water Guneshli Field) was started up in April 2008. In

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2010, the engineering and design studies of Chirag Oil Project (COP) which aims to produce

oil from undepleted area between the existing platforms in Chirag and Deep Water Guneshli

were completed and Field Development and Construction Decision was approved in March

2010.

18.2.4.Shah Deniz Project

The Shah Deniz Structure is located in the offshore South Caspian Sea, 70 km

southeast of Baku and 70 km southwest of the Azeri- Chirag- Guneshli Field. The concession

has an areal coverage of approximately 860 km2. In 2001, the Minimum Obligatory Work

Program of the Exploration and the Extended Exploration Periods were completed and

commerciality was declared.

The Sales and Purchasing Agreement (SPA) between BOTAŞ and SOCAR within the

scope of Phase-1 for the natural gas discovered in the Project which had 625 billion m3

natural gas and 750 million barrel condensate reserves and Intergovernmental Agreement

between Türkiye and Georgia and Türkiye and Azerbaijan were signed. According to the

SPA, 6.6 billion m3 of natural gas will be delivered to Türkiye for 15 years. Project also

supplies gas to Azerbaijan Georgia and to BTC as fuel. Within the scope of Phase-1, total sale

is estimated to be 8.6 billion m3 / year during the plato period.

With the Shah Deniz Phase-1 Field Development and Construction Decision,

construction period started in 2003 and commercial production was started on March 7th,

2007 and is currently continuing. In 2010, 6.9 billion m3 natural gas and 14.7 million barrels

of condensate were produced and by the end of 2010, cumulative production reached to 23.6

billion m3 natural gas and 49.8 million barrels of condensate. Within the scope of Phase-2, it

is estimated that construction decision will be taken in 2013 and first gas delivery will be

realized in 2017.

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18.2.5.Alov Project

Alov Exploration Project covers three different prospective structures named Araz-

Alov-Sharg in the Middle of the Southern Caspian Sea, having estimated reserves of 385

billion m3 of natural gas and 5 billion barrels of oil. TPAO joined the Project after signing

EDPSA, by an “Agreement on Participating Interest to be Vested” on July 29th, 1998. For the

Alov Project, the minimum contractual commitments are 1,400 km2 3D seismic survey and

drilling of three exploration wells for the three-year exploration period. Seismic acquisation

and interpretation works have been completed, and drilling of first exploration well is waiting

for the  determination of legal status of Caspian Sea.

18.2.6.Libya

Turkish Petroleum Overseas Company (TPOC), a wholly owned subsidiary of TPAO,

has carried out its exploration activities in Libya since 2000 and the drilling operations have

continued throughout 2010.

18.2.7.Badra Oil Field Development Project

In 2009, within the scope of second round, TPAO was awarded for a contract to

develop Badra Oil Field. The consortium consists of GAZPROM NEFT (operator/Russia),

KOGAS (South Korea), PETRONAS (Malaysia) and TPAO. TPAO holds 10% share in the

consortium. The effective date of the signed Agreement was February 18th, 2010. The

preliminary development plan was completed in 2010 and the activities in the field were

commenced.

18.2.8.Missan Oil Field Development Project

Missan Oil Field is located about 175 km North of Basrah city and include Abu

Ghirab, Jabal Fauqi and Buzurgan oil fields. These fields will be developed by CNOOC

(operator, 63.75%), TPAO (11.25%) and IDC (25%). The Producing Fields Technical Service

Agreement was signed on May 17th, 2010. The effective date of the Agreement was

December 20th, 2010.

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18.2.9.Siba Gas Field Development Project

Kuwait Energy and TPAO consortium won the bid for Siba Gas Field in Iraq’s

southern oil hub of Basra. (KEC as operator wtih 60%share and TPAO with 40% share). It is

estimated that Siba Gas Fields have 1 tcf gas reserve on place. Capital expenses and operating

expenses for the development of the field approximately are estimated as 1.2 billion USD.

18.2.10.Mansuriya Gas Field Development Project

The Consortium including TPAO, Kuwait Energy and KOGAS (Korea Gas

Corporation) won the Mansuriya Gas Field (TPAO as operator with 50%share, KOGAS with

20% share and KEC with 30% share). It is estimated that Mansuriya Gas Field has 2.6 tcf gas

reserve on place. Capital expenses and operating expenses for the development of the field are

estimated as approximately 2.7 billion USD. Mansuriya and Siba Gas Fields Development

Production Service Aggreement was signed in November 15th, 2010.

18.2.11.Other Countries

In addition to the activities mentioned above,TPAO has been continuing to search and

negotiate for business opportunities in other hydrocarbon rich regions such as Russia

Federation, Indonesia, Sudan, Yemen, North Africa and South America.

18.3.Pipeline Projects

18.3.1.Pipeline Projects of TPAO Contributing to the Energy Corridor

In Türkiye, which resides at the intersection of Middle East and Caspian Regions

having the major portion of the world oil reserves, the basis of the energy corridor to carry the

energy resources to the world market was initiated by the constructions of BTC and SCP

Pipeline Projects.

Following the determination of the hydrocarbon potential of The Black Sea, if the

expectation of creating a triangular source area is realized, this source will flow through the

Anatolian axis to reach the market in due time with confidence.

.

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18.3.2.Baku-Tbilisi-Ceyhan Main Export Crude Oil Pipeline (BTC) Project  

The transportation of oil produced in Caspian Region, especially from ACG Project in

Azerbaijan to the world markets, in a safe, secure, reliable and environmentally friendly way

is continuing through the BTC Project which is the first step of East-West Energy Corridor.

Within the scope of the Project, an approximately 1,768 km long pipeline, with a

nominal capacity of 50 million tons/year, starting from Sangachal Terminal close to Baku-

Azerbaijan passing by Tbilisi-Georgia and reaching to the Mediterranean Sea at Ceyhan-

Türkiye, has been constructed.

The physical construction, production, installation and all tests of required facilities,

started in April 2003 in all three countries, were completed. The first tanker carrying Azeri oil

started its voyage to world markets on June 3th, 2006. The inauguration of the BTC Pipeline

was realized on July 13th, 2006 at Ceyhan Terminal. Current transport capacity of the

pipeline reached to 1.2 million barrels per day using a chemical in order to reduce drag forces.

Currently, transportation of a large portion of ACG oil, all of Shah Deniz condensate and

some Kazakh Tengiz and Turkmenian oil is continuing and 287 million barrels of oil was

loaded to 366 tankers from Haydar Aliyev Terminal in 2010. Cumulatively, 1.088 million

barrels of Azeri and Kazakh Oil have been transported through BTC Pipeline to the world

markets with 1,387 tankers by the end of 2010.

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18.3.3.South Caucasus Natural Gas Pipeline (SCP) Project

Within the scope of SCP Project, Shah Deniz natural gas is being transported to

Georgian- Turkish border. The SCP passing through the same corridor with BTC is about 690

km in length. After commencement of the construction of the pipeline physically in 2004,

construction activities have been completed. In parallel with the production activities of Shah

Deniz, continuous gas transportation was started on March 7th, 2007.  The pipeline having an

investment cost of 1.4 billion USD, is transporting natural gas through Azerbaijan, Georgia,

Türkiye and BTC’s pump stations in Azerbaijan and Georgia.

The pipeline has a transportation capacity of 9 billion m3 of natural gas to Turkish

border with one compressor station in Sangachal Terminal in line with the terms of AGSC-

BOTAŞ Sales and Purchasing Agreement (SPA). However, it is possible to expand this

capacity up to 22 billion m3 in a year by adding new compressor stations and/or looping. In

2010, totally 6.8 billion m3 natural gas was transported and 4.4 billion m3 of this amount was

sold to BOTAŞ. The main target of the Project is to transport the gas that will be produced

from Caspian Region to Europa via Türkiye in the future.

18.4.Natural Gas Storage Projects

It’s required to increase the reservoir and daily withdrawal capacities of the gas

storage facilities in order to prevent the seasonal imbalances in supply-demand equilibrium

and decrease the negative effects of possible interruptions in gas supply.

TPAO has decided to increase the maximum daily withdrawal capacity to 50 MMScm

and total storage capacity to 2,84 BScm of its underground gas storage facilities after

evaluating the necessity of storage facilities for obtaining the energy supply security of our

country, demand of Ministry of Energy and Natural Resources and many other corporations

and storage capacity of Batı Sinekli and Değirmenköy Osmancık Fields nearby current

storage reservoirs. Capacity Extension Project was planned in two phases and works related to

Phase-2 and Phase-3 are ongoing.

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18.4.1.Degırmenkoy Extensıon Project (Phase-Iı)

TPAO intends to erect a new process facility with a maximum 10 MMScm/d

withdrawal capacity which will be located next to the existing facility. After erection of the

new process facility the total capacity of Değirmenköy Extension Plant will reach to 587

MMScm by utilization of Batı Sinekli and Değirmenköy Osmancık Fields as storage areas in

addition to current field.

In scope of the project, environmental impact assessment certificate (EIA) has been

taken, the project feasibility report has been validated and the project number has been given

by State Planning Organization. Basic Engineering was completed, drilling of additional wells

has been started and Detailed Engineering Study is already going on. It is foreseen that

commissioning of the facilities will take place by the end of 2013.

18.4.2.Kuzey Marmara Extensıon Project (Phase-Iıı)

Due to Turkey’s need for more gas storage capacity, TPAO has decided to increase the

withdrawal capacity of Kuzey Marmara reservoir stepwise by:

1. Installing a New Plant for injection/withdrawal into/from the Kuzey Marmara

Reservoir at an extension area next to the existing Surface Facility with a 25

MMScm/day withdrawal capacity and a 10 MMScm/day injection capacity,

2. Drilling additional 16 offshore wells.

3. Installing new pipeline between BOTAS Main Gas Pipeline and Surface Facility. In

addition to that installing 2 x 24” pipeline from Kuzey Marmara Gathering Point,

In scope of the project, environmental impact assessment certificate (EIA) has been taken,

the project feasibility report has been validated by State Planning Organization and Reservoir

Modeling and Simulation Study of Kuzey has been commenced.

Project is planned to be completed by the end of 2016 year

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19.OCCUPATIONAL SAFETY & ENVIRONMENT

19.1.Environment Sensitivity

"Turkish Petroleum Corporation has become a leader in its sector while implementing all

activities in the field of Health, Safety and Environmental Protection (HSE) with an approach

of human life to be its priority by using technological improvements and making projects

regarding environmental protection."

Tpao’s objective is to put a rising performance into practice in the field of HSE with

the active participation of tpao’s staff.

19.1.1.Tpao’s occupatıonal safety & envıronment policy

• Create all safety conditions in all work sites by attaching great importance to human health.

• Minimize the negative effects of tpao’s activities on environment.

• Conduct regular trainings to prevent accidents and to improve HSE consciousness.

• Apply effective risk management by defining dangerous situations and acts regarding

Occupational Safety and Environmental Protection.

• Prepare an Emergency Response Plan.

• Fulfill all necessities regarding Waste Management in collecting, identifying, decomposing

and transporting.

Following the main policy regarding objectives and targets, all staff should be trained in order

to catch the required consciousness and to ensure their participation.

" tpao’s most significant values are to leave a clean environment to tpao’s employees, to

create a healthy and secure working environment."

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19.2.Occupational Health & Safety

Regarding all risk levels of activities, TPAO aims at eliminating or mitigating the risks

to the acceptable levels. In risk studies; periodic audits are conducted for detection of risks,

researching the accident causes, determining the hazards, detecting the unsafe ambience and

unsafe actions.

Considering the work conditions, suitable and standard Personal Protective Equipments

(PPE) were supplied for working staff. Fire Protection Trainings and Drills were conducted to

eliminate fire risks. Deficiencies were detected and eliminated reviewing the current systems.

Additionally, the primary health service requirements of tpao’s staff are provided at

Corporation Health Center.

 

19.3.Environmental Protection

“ Basic Environmental Projects regarding environmental issues have been conducted in

order to inherit a clear atmosphere, clean water and a clean environment to the next

generations. ”

In District Managements, rehabilitation activities have been performed in order to

eliminate or mitigate the land pollution. Achievement in 2010 is higher compare to 2009. The

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success percentages in Districts are 96% for Batman and 81% for Adıyaman. Environmental

Protection Procedures were prepared in order to increase the efficiency of Environmental

Management System. Complying with environmental legislation, bioremidation, stabilization

and neutralization acitivities and mud-pit rehabilitations in drilling sites were conducted to

prevent environmental contamination resulting from field activities.

Environmental Protection Projects carried out by TPAO throughout 2010;

Emergency Intervention Planning Activities

Waste Water Management Project (TUBITAK-KAMAG Project)

Drilling Waste Water Management Project

Comparative Application Project of Bioremidation Products

Recycling Waste Oil by Mixing it into Crude Oil

Waste Water Disposal Management

The Use of Consumable Environmental Materials and Equipments

Western Black Sea Off-Shore Project,

Deep Water Off-Shore Drilling Projects;

Management Studies on Waste Water resulted from Off-Shore Gas Production.

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20.CONCLUSİON

This summer practice was very usefull for me. I have learned lots of things that I will use

in the future. I improved my practice, by the help of the workers in turkish petroleum

corperation company. I have good relations with the engineers, workers and asked some

question to them about the life after graduation and how can improve my skills. The summer

practice for students depends on the analysis of production techniques and Plant organisation

and management.

In this summer practice, I think I had useful practices on Plant organisation and

managementand. And I think I got knowledge about application of theory in practice. I think

my summer practice was corresponding with the aim of the summer practice and I worked on

the scope of the summer practice.

I saw and learned what difference an engineer from a worker and how engineers work

themselves or all together, also relations between engineers and workers.

Also in summer practice I had chance to see the Plant organisation and management and

apply my knowledge to practice. It was actually educational. I learned the plant organization

and mangement, finance of factory, engineer-workers reltions. I had knowlage about

Environment Protection and Occupational Health & Safety. And I had knowlage about how

can Improvements in production/assembly lines and production capacity...

In turkish petroleum corperation company has been making importand education which

improves the engineers’ experience and some workers’ efficiency. I think that I have applied my

theoretical knowledge on Plant organisation and management, to practice. Finally, this was good

experience for me before working at any company.

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21. REFERENCES

1. http://www.tpao.gov.tr

2. IEA Oil Market Report - 13 February 2013 - OECD/IEA 2013-13 July 2011

3. Oil and Gas Journal, December 2012, http://www.ogj.com/articles/print/vol-110/issue-12/special-report-worldwide-report/global-oil-production-up-in-2012-as.html

4. EIA, http://www.eia.gov/dnav/pet/pet_pri_spt_s1_a.htm EIA,International Energy Statistics,http://www.eia.gov/cfapps/ipdbproject/iedindex3.cfm?tid=5&pid=57&aid=6&cid=regions&syid=2010&eyid=2011&unit=BB

5. 2012 Natural Gas Review, Cedigaz, 30 April 2013 6. http://www.ogj.com/articles/2013/03/giignl--net-global-lng-trade-slides-in-2012.html 7. BP Statistical Review 2012, June 2012 8. Index Mundi, http://www.indexmundi.com/ 9. James Baker Institute, Shale Gas and U.S. National Security 10. UGS in Europe:Present and Future,Thierry Rou aud General Secretary of Cedigaz

FLAME 2012, Amsterdam, 16 April, 2012 11. Medium-Term Oil and Gas Markets 2011,

http://www.iea.org/publications/free_new_Desc.asp?PUBS_ID=2392 12. http://www.indexmundi.com/commodities/?commodity=natural-gas&months=60 13. http://uk.reuters.com/article/2013/01/24/energy-japan-mof-

idUKL4N0AT00Y20130124 14. IEA, World Energy Outlook 2012 15. http://www.bbc.co.uk/turkce/haberler/2012/10/121015_eu_iran.shtml 16. http://online.wsj.com/article/

SB10001424127887323528404578452121121218106.html 17. http://www.opec.org/opec_web/en/data_graphs/647.htm 18. Reuters, UPDATE 2-Arab Spring disrupts energy investment-IEA,

http://uk.reuters.com/article/2011/10/18/iea-investment-idUKL5E7LI1S820111018 19. TPAO 2012 Annual Report 20. Deloitte, Türkiye Doğal Gaz Piyasası: Beklentiler, Gelişmeler 2012, Mart 2012. 21. TÜPRAŞ 2012 Annual Report, http://www.tupras.com.tr/uploads/Faaliyet_Raporu.pdf 22. Turcas, http://www.turcas.com.tr/tr/yazi.php?id=9

23. Durban Climate Agreements: Back To the Future,IHS CERA Insight 19 Aralık, 2011.

24. 24.https://www.cnnturk.com/2013/ekonomi/genel/04/01/turkiye.buyumede.euro.bolgesinde.ikinci/702466.0/index.html

25. http://www.livemint.com/Industry/hRFs6I89lU9KL7cRrE8vLL/IEA-sees-weak-09-growth-in-2013-global-oil-demand.html

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