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This Agreement Is Somalia’s Historic Opportunity to Become a Petroleum-Producing Nation
April 24, 2025Somalia and Türkiye Forge Ahead with Landmark Energy Deal Amid Strategic Cooperation and Disinformation Challenges

MOGADISHU – Somalia’s long-standing partnership with Turkey has entered a transformative phase as both nations begin implementing a comprehensive oil and gas exploration agreement. First signed in 2024 and expanded in 2025, the deal marks a significant leap forward in Somalia’s quest to responsibly develop its untapped energy resources with the backing of a trusted ally.
At the heart of this agreement lies the Turkish Petroleum Corporation (TPAO), Türkiye’s state-owned energy giant, which has now begun active exploration across designated Somali offshore and onshore blocks. This endeavor is backed by substantial Turkish investment, technical know-how, and an unwavering commitment to Somalia’s sovereignty and development.
A Strategic Shift Backed by Mutual Trust
The deal’s significance stretches beyond energy. It is a culmination of over a decade of Turkish support for Somalia—support that began during Somalia’s darkest hours. Unlike many foreign players, Turkey has consistently invested in long-term development, institution building, and infrastructure renewal in Somalia. From humanitarian relief during the 2011 famine to training Somali security forces at TURKSOM, Turkey’s contributions have laid the groundwork for a deeper economic partnership.
This new energy chapter reflects a maturing bilateral relationship—one based on mutual interests, shared risks, and aligned visions for Somalia’s future.
Transparent Terms, Standard Practices
The agreement grants TPAO exclusive rights to conduct oil and gas exploration under a legal and contractual framework known as a Production Sharing Agreement (PSA), widely used in high-risk regions. Contrary to online claims of exploitation, PSAs are designed to attract investment in frontier territories like Somalia by offering cost-recovery mechanisms.
TPAO will finance 100% of exploration costs, including seismic surveys, offshore vessel operations, and eventual drilling. In return, the company is permitted to recoup up to 90% of its expenditures from early-stage production revenues. This is not a profit-sharing scheme but a global norm for de-risking major capital commitments in unproven territories.
Somalia, for its part, retains full ownership of its natural resources. It is expected to receive immediate royalty payments from the first day of production, alongside long-term benefits such as infrastructure development, job creation, and technical training for Somali professionals.
Why This Agreement Stands Out
This deal is not the first of its kind on paper—but it is the first to reach full-scale implementation. Earlier agreements signed with private or lesser-backed firms failed to progress due to insecurity, political instability, or a lack of financing. In contrast, the Turkish-Somali partnership is already in motion, grounded in bilateral trust and backed by state-level commitment from Ankara and Mogadishu alike.
Turkey brings more than investment. It provides naval security for offshore operations, education scholarships, and institutional capacity building—creating a comprehensive support system that exceeds commercial interest.
Disinformation Campaigns Undermining Progress
Despite its potential, the agreement has been the target of coordinated online disinformation, with claims distorting the nature of cost recovery and implying Turkish exploitation. Experts believe these narratives may be driven by geopolitical competitors uneasy with Somalia’s growing independence and the strengthening of Somali-Turkish ties.
Somalia’s Federal Government has reaffirmed that the deal passed through transparent legislative channels, with both parliaments overseeing the ratification process. The Somali people, through their elected representatives, have endorsed a path toward economic self-reliance through this partnership—not dependency.
A Catalyst for Economic Empowerment
Beyond oil revenues, the agreement is poised to deliver tangible developmental dividends. Planned infrastructure includes roads, local refineries, and electricity networks. Somali engineers and technicians will be employed and trained through joint initiatives, allowing Somalia to build an indigenous energy sector.
This model allows Somalia to benefit from its natural resources without assuming the heavy financial burden and risks associated with exploration—risks that Turkey has willingly taken on.
A Partnership Rooted in Proven Solidarity
Turkey’s role in Somalia’s development has long transcended diplomacy. It has demonstrated a rare consistency—providing over $1 billion in aid, constructing hospitals and public infrastructure, and training thousands of Somali military personnel. Turkey’s embassy in Mogadishu is one of its largest in the world, symbolizing the depth of this relationship.
This oil exploration initiative is the next logical step: transforming solidarity into sustainable growth, and friendship into shared prosperity. As Somalia rises from decades of hardship, it does so with a steadfast partner by its side—one that has proven its words with action, and its investment with faith in Somalia’s future.