Türkiye | Message to Chevron

[Jay]

Dışişleri Bakanlığı Ministry of Foreign Affairs​

AUTHENTIC COMMUNIQUE OF THE OFFICE OF FOREIGN AFFAIRS Security Clearance: Secure and Encrypted ŞİFRELEME KORUMASI: KAPLUĞA​

[Recipient]: Office of the CEO < Odinson > [Sender]: Minister of Energy and Natural ResourceAffairs, Türkiye < SBÇakıMOFA@tr.gov > [Subject]: [/B]Confidential //

Mr. David J. O'Reilly, CEO of Chevron The Ministry of Energy and Natural Resources of the Republic of Türkiye has the honor to extend an invitation to Chevron Corporation to consider a contract to conduct hydrocarbon exploration within Türkiye’s Exclusive Economic Zones (EEZ) in the Black Sea, Eastern Mediterranean, and off the coasts of the Southeastern Coast. The Turkish Government has drafted a proposal for the contract, including a proposed price of $350,000,000.00, and is expected to end within three months (28/8/2025). The Turkish Government anticipates, but does not promise, that if Chevron is succesful in its excavation efforts that the Turkish Goverment would likely partner with Chevron to exploit the natural gas deposits. Scope of Work Deploy four drilling vessels over a four-month campaign to survey the drilling exercise. Assign two vessels to intensive seismic surveys and exploratory drilling in the Black Sea. Allocate one vessel to the Eastern Mediterranean zone. Task one vessel along the southeastern Turkish coastline. Key Benefits Rapid assessment of domestic hydrocarbon potential to bolster national energy security Reduction of import dependency and improvement of Türkiye’s balance of trade Immediate economic stimulus via job creation, regional infrastructure development, and technology transfer Strengthening of Türkiye’s geological and geophysical capabilities through collaboration with Chevron’s global expertise Environmental and Technical Safeguards All exploration activities will adhere strictly to national and international environmental standards, employing best-in-class drilling practices, continuous ecological monitoring, and mitigation measures to minimize marine impact. Türkiye looks forward to your preliminary expression of interest and to forging a mutually beneficial collaboration that enhances regional energy resilience. Respectfully, Alparslan Bayraktar Minister of Energy and Natural Resources Republic of Türkiye

 

[Odinson]

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CHEVRON CORPORATION​

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PRIVATE​

TO: Alparslan Bayraktar, Minister of Energy and Natural Resources of The Republic of Türkiye ( Jay )​

FROM: David J. O'Reilly, CEO of Chevron Corporation

Minister Bayraktar,

Thank you for reaching out to Chevron. We are very interested in being the company to conduct this project in Turkey. I believe that the price of $350,000,000 is appropriate, and three months is an appropriate amount of time to complete this project. If you can provide me written assurance that Chevron will be compensated for this project (at a price of $350,000,000) once this project is completed, then I think that it is something that we can move forward with.

If this is acceptable to you, and you can provide the legal assurance that we will be compensated, then I will create a task force to begin looking into this project and making the necessary preparations to ensure that it is carried out in a timely manner. I think that this project could bring many jobs to Turks, and be profitable for Turkey and Chevron. Thank you for choosing us to reach out to.

Best regards,

David J. O'Reilly
CEO of Chevron​

 

[Jay]

Dışişleri Bakanlığı Ministry of Foreign Affairs​

AUTHENTIC COMMUNIQUE OF THE OFFICE OF FOREIGN AFFAIRS Security Clearance: Secure and Encrypted ŞİFRELEME KORUMASI: KAPLUĞA​

[Recipient]: Office of the CEO < Odinson > [Sender]: Minister of Energy and Natural ResourceAffairs, Türkiye < SBÇakıMOFA@tr.gov > [Subject]: [/B]Confidential //

Dear Mr. O'Reilly, I would like to thank you for your prompt and positive response regarding our proposed project in Turkey. We greatly value Chevron’s interest in working with us, and I believe that your company’s expertise and proven track record make it a strong partner for such an undertaking. We are encouraged by Chevron’s willingness to consider undertaking this strategic initiative, and we share your view that it has the potential to generate mutual benefit, contributing not only to Türkiye’s energy security and economic development, but also to Chevron’s long-term interests in the region. With respect to your request for written assurance, I am pleased to confirm that the Government of Türkiye stands ready to provide Chevron with the necessary legal and contractual guarantees of payment in the amount of $350,000,000.00, contingent upon the successful completion of the agreed scope of work. Attached below is two letter of guarantees, one by my ministry, and the second by our Central Bank. We also welcome the creation of your proposed task force and would be pleased to designate a joint working group from our Ministry to liaise directly with Chevron’s representatives. Our legal department is prepared to receive a draft framework agreement that will codify the terms of compensation, define the scope of operations, and establish the mutual rights and obligations of both parties. We hope to formalize this potential agreement in Ankara at the earliest opportunity, thereby enabling Chevron to commence preliminary planning and mobilization without delay. Türkiye looks forward to working with Chevron on this significant endeavor and to forging a cooperative relationship that will strengthen regional energy resilience and prosperity. Thank you once again for your engagement. I look forward to working with you and your team to move this project forward. Sincerely, Respectfully, Alparslan Bayraktar Minister of Energy and Natural Resources Republic of Türkiye

SECURED & ENCRYPTED ATTACHMENT ŞİFRELEME KORUMASI: KAPLUĞA GOVERNMENT OF TÜRKIYE LETTER OF GUARANTEE​

To: Mr. David J. O’Reilly Chief Executive Officer Chevron Corporation San Ramon, California, United States Subject: Government Guarantee of Payment – Hydrocarbon Exploration Project Dear Mr. O’Reilly, The Republic of Türkiye, acting through its Ministry of Energy and Natural Resources (hereinafter “the Ministry”), hereby provides this formal Letter of Guarantee with respect to the proposed hydrocarbon exploration project to be conducted by Chevron Corporation (“Chevron”) within Türkiye’s Exclusive Economic Zones in the Black Sea, Eastern Mediterranean, and Southeastern Coast. Guarantee of Payment The Government of Türkiye irrevocably guarantees that, upon Chevron’s satisfactory completion of the agreed scope of work, including but not limited to the deployment of four drilling vessels over the designated campaign, seismic surveys, and exploratory drilling, Chevron shall be compensated in the amount of USD 350,000,000.00 (Three Hundred Fifty Million United States Dollars). Source of Payment Payment shall be disbursed from the accounts of the Republic of Türkiye, through the Ministry of Treasury and Finance, upon presentation of Chevron’s completion certification, duly verified and accepted by the Ministry of Energy and Natural Resources. Binding Effect This guarantee is issued in the full faith and credit of the Republic of Türkiye and is binding upon the Government, its agencies, and instrumentalities. Governing Law and Jurisdiction This guarantee shall be governed by and construed in accordance with the laws of the Republic of Türkiye. Respectfully, Alparslan Bayraktar Minister of Energy and Natural Resources Republic of Türkiye

SECURED & ENCRYPTED ATTACHMENT ŞİFRELEME KORUMASI: KAPLUĞA CENTRAL BANK LETTER OF GAURANTEE​

Ankara, Türkiye Date: March, 2007 To: Mr. David J. O’Reilly Chief Executive Officer Chevron Corporation San Ramon, California, United States Dear Mr. O’Reilly, We, the Central Bank of the Republic of Türkiye (“CBRT”), acting on behalf of and for the account of the Government of the Republic of Türkiye, hereby issue this irrevocable and unconditional Letter of Guarantee in favor of Chevron Corporation (“Beneficiary”). Amount Guaranteed The Central Bank, on instructions of the Ministry of Treasury and Finance of the Republic of Türkiye, unconditionally guarantees payment to Chevron Corporation of USD 350,000,000.00 (Three Hundred Fifty Million United States Dollars). Conditions of Payment Payment shall be made upon presentation of a written demand by Chevron certifying that the agreed hydrocarbon exploration works, as defined in the contract with the Ministry of Energy and Natural Resources, have been duly completed. Irrevocability This guarantee constitutes a direct, unconditional, and irrevocable obligation of the Central Bank of the Republic of Türkiye. Validity This guarantee shall remain valid until January 2009, unless extended in writing by mutual agreement. Governing Rules This guarantee is subject to the ICC Uniform Rules for Demand Guarantees (URDG 758). Respectfully, Hafize Gaye Erkan Governor of the Central Bank of the Republic of Türkiye Türkiye Cumhuriyet Merkez Bankası