Turkey secures another supply agreement for US LNG as it diversifies supply chain

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WHAT WE’RE TRACKING TODAY

TODAY: Turkey secures another long-term supply pact for US-sourced LNG

Good morning, nice people. If you are feeling like the finish line keeps moving, you aren’t alone.

Leading the news this morning: Ankara’s Botas signed a major LNG pact with Woodside, marking its second long-term agreement for US-sourced gas. The agreement is not only about Ankara’s energy security — Turkey already has a big surplus for re-exports — but also about its effort to buy political goodwill in Washington as Turkey navigates what’s next for its Russian energy ties.

ALSO- We also take a deep dive into how MENA ports managed to bulletproof themselves in 2025 against a year of global trade chaos.

Watch this space-

AVIATION — Jazeera Airways moves first: Jordan Airport Company (Jac) is close to securing the first low-cost carrier (LCC) to operate in the soon-to-be-launched Amman City Airport after inking an MoU with Jazeera Airways. The airport — formerly Marka International — is set to launch flights next month, marking its return to commercial operations for the first time since 1983 after recent government upgrades.

This will give the Kuwaiti LCC a head start over competitors — which have reportedly been in talks with Jac to secure slots in the airport — including Air Cairo, Wizz Air, Ryanair, and Flynas.

REMEMBER- Jac’s strategy for the airport will be LCC-focused: With a capacity to accommodate 1 mn passengers annually and infrastructure well-suited for narrow-body jets, Jac is positioning the airport as a low-cost, short-haul alternative to Queen Alia International. The Jordanian airport operator is expected to offer lower operational fees to attract LLCs, while pitching the airport as a secondary hub suitable for domestic and feeder regional flights.

TRADE — Egypt might supply Lebanon’s Deir Ammar Power Plant with natural gas under an MoU inked between the two countries’ oil ministries, according to a statement. The agreement is the latest in Egypt’s efforts to become a regional energy hub and signals the government’s seriousness about the country once again becoming a net exporter of natural gas.

There are some logistical hurdles to overcome: The gas will likely be pumped through the Arab Gas Pipeline that links Egypt to Jordan’s Aqaba before heading to Syria, then Lebanon. However, for flows to proceed, rehabilitating portions of the pipeline would be necessary, The National reported, citing the Lebanese Energy Minister Joe Saddi. A feasibility study assessing the costs of rehabilitation could be concluded within the next four months, Saddi added.

Market watch-

Oil prices eased slightly this morning — despite ongoing concerns over Ukraine-Russia supply risks, Reuters reports. Brent crude futures dipped by USD 0.21 to trade at USD 61.73 / bbl as of 01:50 GMT, while US West Texas Intermediate (WTI) slipped by USD 0.19 to USD 57.88 / bbl.

FROM SAUDI- The Kingdom might cut crude oil export prices to Asia for the third consecutive month in February, unnamed sources told Reuters, citing weaker demand in spot markets amid rising supply. Refiners expect a drop in Arab Light prices of USD 0.10-0.30 per bbl, lowering premiums to USD 0.30-0.50 above the Oman/Dubai benchmark, extending the USD 0.60 per bbl loss from January.

By the numbers: Arab Extra Light crude may fall by USD 0.10-0.20, while Arab Medium and Arab Heavy grades could remain unchanged or dip by USD 0.10.

Estimates of oil prices have been in limbo as Opec+ spent the better half of the year unwinding cuts, and the International Energy Agency has been warning of a glut. Check our recent Year in Review story on the diverging outlooks for oil markets in 2026.

Data point-

13% — this was the y-o-y growth rate for Egyptian food industry exports in the first 11 months of 2025, pushing the value of the sector’s exports to a record USD 6.3 bn, up from the USD 5.6 bn recorded in 2024. The sector now accounts for 14% of Egypt’s total non-oil exports, holding its position as the country’s third-largest export category.

This means demand for cold-chain logistics has also likely gone up, sharpening the case for cold-chain investments in the country. You can dig deeper on why cold-chain storage in Egypt could be a smart investment in our explainer here.

***YOU’RE READING EnterpriseAM Logistics, the essential MENA publication for senior execs who care about the industry that connects producers and retailers to global markets. We’re out Monday through Thursday by 9:15am in Cairo and Riyadh and 11:15am in the UAE.

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Turkey secures second long-term supply pact for US LNG

Turkey seals another long-term supply pact for US LNG: Turkey’s state energy firm Botas has finalized a nine-year LNG supply pact with Woodside Energy for 5.8 bn cubic meters (bcm) of LNG a year starting in 2030. This marks the fifth major long-term agreement Botas has signed in 18 months, following pacts with ExxonMobil (2.5 mtpa), Shell (4 bcm/y), TotalEnergies (1.6 bcm/y), and Mercuria (4 bcm/y).

Why it matters: Turkey is hedging against Russia dependency

Turkey is working to diversify its energy sources as it comes under US and EU pressure to end its energy ties with Russia, its largest supplier over the last two decades, accounting for 37% of the Turkish market share in 2025.

The agreement could also be seen as part of Ankara’s effort to gain favor with the Trump administration as it pushes for LNG supremacy as part of its “America First” energy agenda. It is also part of Turkey’s commitment to take up nearly 1.5k LNG cargoes from the US over the next 15 years as part of what Turkish Energy Minister Alparslan Bayraktar said is an effort to raise bilateral trade volumes to USD 100 bn — effectively positioning Ankara as a major customer for American energy exports.

This intentional trade diplomacy doesn’t only cover energy. Placing big jet orders from US-based manufacturer Boeing was on the rise as countries scrambled to appease Trump amid the US tariffs bonanza. Turkey’s flagship carrier placed an order for up to 75 Boeing 787 Dreamliners in September, and is considering another order for up to 150 737 Max jets.

What now? Well, the real question is whether buying that much LNG from the US would be enough to get the US off Ankara’s shoulders on several geopolitically sensitive issues, including its missiles and energy relations with Russia.

ICYMI- This is Turkey’s second long-term offtake for US LNG, after securing a 20-year contract for US LNG from Swiss-based commodity trader Mercuria earlier in September.

What’s next? Turkey is likely to sustain its Russia energy relations

Turkey’s endgame for Russia’s energy imports is yet to be fully clear, but the temporary extension will give it more buffer time to ramp up its supply diversification efforts before it considers closing the tap on Russian gas or, perhaps, even pursue further extensions, but on more favorable terms.

Remember the “Turkish blend” remarks? Earlier in October, Bayraktar boasted Turkey’s role in supplying Europe with natural gas through the Tanap pipeline in the Caspian Sea, adding that Ankara will be exporting surplus to Europe in what he described as the “Turkish blend” — created by mixing gas from different countries. The remarks, which are actually in line with new EU regulations on hydrogen and natural gas, raised concerns that Turkey may use this “Turkish blend” model to sneak Russian oil into the EU.

Background

Turkey appeared to be gearing up to let its Russia natural gas contracts for some 16 bcm expire this year, but the Turkish government extended its agreement with Gazprom for an extra year for an even larger volume of 22 bcm. This came despite securing 15 bcm worth of short and long-term gas supply pacts in September.

Ankara wants to cement its role as a re-exporter of natural gas to Europe, as it consumes less gas than its total capacity allows. Turkey’s natural gas consumption remains steady at approximately 50 bcm per year. Its robust infrastructure — consisting of five LNG import facilities — yields a spare import capacity of 25-30 bcm per year.

REMEMBER- The EU is weighing sanctions on Turkish terminals, such as an under-the-radar terminal operator called Turkis Enerji, suspected of funneling Russian fuel into Europe through back channels.

Beyond the berth: How MENA ports hedged against global volatility in 2025

From port operators to value-add enablers: A number of forces have prompted regional port operators to pivot away from broad reliance on handled volumes toward a deep integration of logistics and industrial services in 2025. The trend — in the making well before Israel’s genocide in Gaza triggered global shipping disruptions — saw ports increasingly linking their berths directly to industrial processing and customs-bonded manufacturing and logistics areas. This retrospective review looks at how Egypt, Saudi Arabia, and the UAE recalibrated their maritime strategy to hedge against global volatility.

From disruption to sovereign control: The transition from 2024’s volume shocks to 2025’s recovery was most visible in Saudi Arabia. After transhipment volumes fell sharply in 2024 — including an 83% drop at King Abdullah Port — the Kingdom pushed ahead with its plans to build its own integrated ecosystem.

The launch of Folk Maritime in 2025 moved this strategy forward. As Folk Maritime’s CEO Poul Hestbaek told EnterpriseAM earlier this year, the young PIF-owned outfit is focused on establishing a regional feeder network that connects Jeddah directly to the Indian subcontinent. By creating a regional liner that bypasses the reliance on global mainliners still diverting around the Cape of Good Hope, Saudi Arabia added a layer of insulation protecting its trade lanes. This was further bolstered by Mawani adding new loops, such as the partnership with Global Feeder Shipping to link Jeddah to Shanghai, Sokhna, and Aqaba.

Over in the UAE, ports did not just sustain their volumes — they even expanded thanks to 2025’s tariffs bonanza. With a mature industrial and logistics infrastructure integrated into ports, the UAE provided a neutral area for producers in locations that are under tariff scrutiny.

This meant that UAE shippers also had a good year. For example, AD Ports Group’s maritime and shipping segment saw its top line jump 30% y-o-y in the first 9M of 2025 on the back of a 40% y-o-y surge in container volumes during the same period.

A CONTRARIAN VIEW — Egypt perhaps provided the year’s clearest evidence that industrial integration can buffer against maritime disruption despite the major headwinds that hit the Suez Canal’s traditional toll revenue since 2024 (despite improvements in 2025). The Suez Canal Economic Zone — which oversees broader logistics projects on the Gulf of Suez and Suez Canal — saw its revenues hit a record EGP 11.6 bn for the 2024-25 fiscal year, a 36% increase y-o-y, despite the significant dip in canal transit fees.

Other Egypt-based ports played up their efficiency edge: Port Said Port leveraged the low-volume trend of Suez Canal transits to up its efficiency game, jumping 13 spots from last year to rank third globally and first in the region in the World Bank’s container ports index.

What to look for in 2026?

Watch out for the anticipated launch of Iraq’s Grand Faw Port. Iraq is hoping the port will be key piece to the USD 17 bn Iraq Development Road, a 1.2k intermodal network linking the Gulf to Turkey — which ultimately may become as a direct competitor to the Suez Canal.

The northern Arabian Gulf will also get a mega port, Kuwait’s Mubarak Al Kabeer, by late 2026. The port — also developed by Chinese partners — is expected to be a competitor to Iraq’s Grand Faw for trade volumes and will also ultimately be linked to the GCC’s rail project.

Egypt’s SCA snaps up USD 22 mn grant for its first diving support vessel

Suez Canal seals USD 22 mn grant for services fleet-

The Suez Canal Authority (SCA) secured a USD 22 mn grant from the Japan International Cooperation Agency (Jica) to obtain its first diving support vessel. The dual-fuel-engined vessel will be built in Japan and help the SCA strengthen navigational safety, towing capacity, and emergency response across the canal.

The SCA has been expanding its service vessel fleet to handle more complex operations in the canal as it prepares for an uptick in maritime transit traffic next year. Jica’s backing came after the SCA announced contracts worth EGP 4.2 bn (c. USD 85 mn) to add 10 new tugboats to its fleet, a senior government official told EnterpriseAM last week.

Dubai is building the region’s data-center economy by design, not scale

Dubai is building the region’s data-center economy by design, not brute force, JLL’s Data Center Lead Priyanka Nagpal said on Live, Work & Play in Dubai (watch, runtime: 30:00). Rather than chasing headline MWs, the emirate is prioritizing connectivity, government regulation, and infrastructure that can support cross-border data flows as AI scales and data-localization rules tighten.

Geography is the edge: Dubai’s dense web of submarine cable landing stations linking Europe, Africa, and Asia has turned it into what Nagpal called a “digital bridge,” allowing operators to serve multiple jurisdictions without sacrificing latency, and positioning Dubai as a key driver of regional growth.

PLUS- When AI rewrites the plumbing, Dubai adapts: Power-hungry workloads are pushing higher rack densities and forcing new approaches to cooling and efficiency, widening the field beyond hyperscalers, Nagpal said. Renewables are part of the emirate’s pitch, anchored by the Mohammed bin Rashid Al Maktoum Solar Park, now in its seventh phase.

Background-

Background: Dubai’s design-first strategy is already translating into concrete buildout. UAE data-center capacity is forecast to jump 165% by 2028, according to previous Emirates NBD research. Recent moves we’ve covered include:

du + NextGenAI: launching an AI supercluster for sovereign and enterprise workloads;
du: an AED 2 bn hyperscale facility with Microsoft as anchor tenant;
Khazna Data Centers: 200+ MW in the pipeline under a USD 1.3 bn UAE expansion ;
G42: Stargate campus, targeting 200 MW by mid-2026 with US partners and part of a wider USD 5 GW US-UAE Abu Dhabi data center cluster;
Alibaba Cloud: a second Dubai data center to meet regional demand.

Calendar

2026

JANUARY

19-23 January (Monday-Friday): World Economic Forum Annual Meeting, Davos, Switzerland.

21-22 January (Wednesday-Thursday): IOSA Operator Workshop, Dubai, UAE.

FEBRUARY

3-4 February (Tuesday-Wednesday): Middle East Bunkering Convention, Dubai, UAE.

4-5 February (Wednesday-Thursday): Breakbulk Middle East, Dubai, UAE.

4-5 February (Wednesday-Thursday): MRO Middle East, Dubai, UAE.

9-11 February (Monday-Wednesday): Future Warehouses & Logistics, Dubai, UAE.

10-12 February (Tuesday-Thursday): Sustainable Aviation Future MENA, Dubai, UAE.

12 February (Thursday): Technical Seminar on Marine Biofuels, London, UK.

15-17 February (Sunday-Tuesday): World Advanced Manufacturing Logistics Summit and Expo, Riyadh, Saudi Arabia.

17-19 February (Tuesday-Thursday): World Legal Symposium (WLS), Warsaw, Poland.

20-22 February (Friday-Sunday): Dubai Freight Camp, Dubai, UAE.

24-25 February (Tuesday-Wednesday): Green Shipping Summit, Athens, Greece.

25-27 February (Wednesday-Friday): Air Cargo Africa, Nairobi, Kenya.

25-27 February (Wednesday-Friday): Air Law Treaty Workshop Tanzania, Dar es Salaam, Tanzania.

MARCH

5-6 March (Thursday-Friday): CargoIS Forum, Miami, United States.

9-13 March (Monday-Friday): WCA Worldwide Conference, Singapore.

10-12 March (Tuesday-Thursday): World Cargo Symposium, Lima, Peru.

18-19 March (Wednesday-Thursday): IntraLogisteX, Birmingham, United Kingdom.

18-19 March (Wednesday-Thursday): Green Marine Transport Conference, Amsterdam, The Netherlands.

26 March (Thursday): Gulf Ship Finance Forum, Dubai, UAE.

APRIL

12-15 April (Sunday-Wednesday): Saudi Smart Logistics, Riyadh, Saudi Arabia.

16-17 April (Thursday-Friday): Global Supply Chain and Logistics Summit, Amsterdam, The Netherlands.

MAY

19-21 May (Tuesday-Thursday): Ground Handling Conference (IGHC), Cairo, Egypt.

12-14 May (Tuesday-Thursday): Aviation Energy Forum (AEF), Paris, France.

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