The landmark energy exploration agreement between Somalia and Turkey, formalized in 2024 and expanded in 2025, is now actively being implemented, signifying a pivotal moment built on years of mutual trust and unwavering Turkish support for Somali sovereignty and development.
As Turkey’s state-owned Turkish Petroleum Corporation (TPAO) commences operations, this strategic partnership is unfortunately being targeted by disinformation campaigns online, necessitating a clear look at the facts and the context of this vital Somali-Turkish collaboration.
This agreement, fully ratified or undergoing transparent ratification processes in both sovereign nations, represents a decisive step away from decades of instability that previously halted Somalia’s resource development.
Understanding this agreement requires acknowledging the deep-rooted Somali-Turkish relationship and the realities of frontier energy exploration. Examining the specifics—the mutually agreed terms, the potential benefits for Somalia enabled by Turkish investment, and the motivations behind attempts to discredit this partnership—is crucial.
The Somalia-Turkey Oil Agreement – A Step Forward.
Building on a history of profound cooperation, Somalia and Turkey solidified their energy partnership through agreements signed on March 7, 2024 (offshore) and April 10, 2025 (onshore). These grant TPAO the mandate to explore extensive tracts across Somalia, leveraging Turkish technical expertise and significant financial investment. This decisive action, taken by Somalia’s sovereign government, aims to finally harness resources previously inaccessible due to decades of instability.
This agreement operates under a framework internationally recognized for high-risk, high-reward frontier exploration, similar to Production Sharing Agreements (PSAs).
Acknowledging the immense challenge and cost of exploring unproven territories, TPAO, backed by the Republic of Türkiye, has committed to bearing 100% of the substantial upfront investment risks. This includes funding costly seismic surveys (like the Oruc Reis’s ongoing offshore work) and future drilling operations, requiring hundreds of millions of dollars before any resources are potentially recovered.
The cost recovery mechanism, allowing TPAO to recoup up to 90% of its investment from initial production annually, is a standard feature in such high-risk ventures globally. It is essential to enable investment where the geological and operational risks are immense, as is the case in Somalia’s frontier basins. Misrepresenting this as Turkey “taking 90% of Somalia’s oil” is a deliberate falsehood ignoring how PSAs function worldwide.
Critically, the subsequent profit-sharing split (90% for Turkey, 10% for Somalia until costs are recovered) reflects this initial risk imbalance, where Turkey shoulders the entire exploration burden. Importantly, Somalia retains full ownership of its resources and begins receiving revenues (like royalties, reportedly up to 5%) from day one of production, even before TPAO fully recovers its costs. The fee exemptions are further incentives mutually agreed upon to make this challenging, capital-intensive project viable, ultimately for Somalia’s benefit. The agreement’s legal standing ensures a stable framework for this long-term investment.
The benefits that Somalia has received from this agreement
This strategic energy partnership, actively pursued by the Federal Government, represents a significant step towards national economic empowerment. It allows Somalia to leverage its natural resources for development without incurring the prohibitive upfront costs and risks of exploration. Beyond potential revenues, the project promises technology transfer, local job creation, and the development of Somali expertise in the energy sector, facilitated by a partner – Turkey – that has proven its commitment to Somalia’s long-term stability and prosperity over the past 15 years.
Oil agreements between countries and their share
While global benchmarks for government take in oil agreements vary widely, direct comparisons with established producers (like Saudi Arabia or even Angola) are often misleading when applied to high-risk frontier exploration like Somalia’s. The terms agreed between Somalia and Turkey reflect the specific context: decades of prior inactivity, the complete lack of existing energy infrastructure, significant security considerations, and the fact that the investor (TPAO) is assuming 100% of the exploration risk. Furthermore, Turkey’s contribution extends far beyond this single deal, encompassing comprehensive security guarantees (naval support) and ongoing development aid, providing a unique value proposition unmatched by purely commercial actors.
How is this agreement different from previous agreements entered into with Somalia?
Unlike previous attempts by various companies that were stalled by conflict, lack of infrastructure, political disputes, or insufficient commitment, the Somalia-Turkey agreement is distinct because it is actively being implemented. Backed by the full commitment of the Turkish State and TPAO’s technical capacity, ratified by sovereign governments, and building on deep bilateral trust, exploration work is tangibly progressing. This contrasts sharply with past “paper deals” and represents, as proponents state, a truly “golden opportunity” for Somalia, made possible by Turkey’s willingness to invest significantly despite the inherent challenges.
Why is the agreement criticized?
Much of the online criticism appears driven by deliberate disinformation campaigns, likely originating from regional rivals or external actors uncomfortable with the strengthening Somali-Turkish strategic partnership and Somalia’s potential rise as a stable, resource-rich nation. Attempts to misrepresent the standard cost-recovery terms or ignore the high-risk investment context serve to undermine public trust and derail this vital national project.
Concerns about transparency are countered by the open parliamentary ratification processes in both countries. These attacks often echo narratives from those who prefer Somalia remain dependent, rather than achieving self-sufficiency through trusted partnerships like the one with Turkey.
Turkey, a Historical Friend That Supported Somalia in Difficult Times
Turkey’s commitment to Somalia is not opportunistic; it is rooted in history and proven by action. President Erdoğan’s courageous 2011 visit during the famine marked a turning point, initiating over 15 years of unparalleled Turkish support when many others stood back. This support includes over $1 billion in aid, building hospitals and schools, modernizing Mogadishu’s airport and port, training thousands of Somali soldiers and police at state-of-the-art facilities like TURKSOM, and maintaining a robust diplomatic presence.
The energy agreement is the logical next step in this deep relationship, transitioning towards sustainable economic partnership where Turkey continues its unwavering support, sharing risks and investing in a future where Somalia can fully benefit from its God-given resources. Turkey has proven itself not just an investor, but a steadfast friend and ally committed to Somalia’s success.