NEW DELHI: Indian Oil Corporation (IOC) announced on Thursday that it has bought a 12.5 per cent stake in the Trans-Anatolian Pipeline Company (TAPCO), which is building a pipeline from Turkey's Black Sea port of Samsun to Ceyhan. The company has said it desires to participate in the Samsun-Ceyhan crude oil pipeline project by acquiring 12.5 per cent of the shares of TAPCO.

According to a company statement, TAPCO is currently owned by ENI S.p.A. of Italy and Calik Enerji A.S. of Turkey on a 50:50 basis. The 550-km pipeline may require an investment of $1.5 billion and will carry 1.5 million barrels of crude oil a day.

IOC Chairman, S. Behuria, said, "Indian Oil feels that its participation in this project will boost the company's growth beyond its domestic borders and aid in the realisation of its vision of becoming a transnational, integrated energy company". The entire deal package has been agreed to in principle and will be submitted soon.

The development of the project is already under way, it is stated. IOC's participation in the Eni/Calik venture will consolidate this partnership and contribute to the successful completion of this project, which aims at bypassing the Turkish Straits.

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