Turkmenistan Natural Gas Investment Environment

Abstract

Turkmenistan has a unique geopolitical strategy and rich oil and gas resources. The implementation of the strategy ‘One Belt and One Road’ for cooperation between China and Turkmenistan provides a new historic opportunity. US and Europe have competed with Russia for Turkmenistan’ s rich oil and gas resource, but Turkmenistan’ s nature gas production cannot meet the requirements of contract parties. If there were any unpredictable problems, Turkmenistan may be taken measures just like reducing or cutting off the gas supply. Based on energy research, there are three major strategic factors for China according to a situation analysis of Turkmenistan’s geopolitical, economic, cultural, mineral resource and investment environments. First, with rich oil and gas resources, Turkmenistan is an overseas natural gas energy base in China. Second, Turkmenistan is an energy channel security guarantee for China. Third, Turkmenistan, in terms of geopolitical strategy, connects China and Middle Eastern and European channels. We conclude that various forces will exist for a long time, and challenges and opportunities co-exist in China. Based on a comprehensive analysis of various factors, we find that China should focus on energy cooperation to achieve mutual benefit and a win-win result. Adhering to the principle of peace and friendship, China should pay attention to energy security and strengthen people-to-people exchanges on both sides. At the same time, China can comprehensively deepen relations between the two countries and recognize the international situation to promote regional cooperation. Based on a full understanding of the investment climate in Turkmenistan and cooperation between China and Turkmenistan on natural gas resources, this paper takes the cooperation agreement between China and Turkmenistan in 2012 as the object of study and analyzes the advantages of cooperation between China and Turkmenistan And some problems in the process of cooperation, and the prospects for future trade cooperation in Turkey made some appropriate recommendations to better promote the complementary resources in Turkey, the economic common progress.