SOCAR Türkiye continues strategic investments in the field of energy
SOCAR Türkiye, which completed its 15th year of activities in Türkiye in 2023, continues to make strategic investments in the field of energy in line with the common strategic goals of Azerbaijan and Türkiye.
SOCAR Türkiye, which completed its 15th year of activities in Türkiye in 2023, continues to make strategic investments in the field of energy in line with the common strategic goals of Azerbaijan and Türkiye.
According to the statement made by SOCAR Türkiye, the company is working on a major task called “Master Plan” in which new investment alternatives in the petrochemical field in Türkiye are evaluated. On the natural gas side, SOCAR Türkiye will focus on new investments, continuity and efficiency in the provinces where it operates in Türkiye. SOCAR MADE ITS LARGEST INVESTMENT EVER IN TÜRKİYE
Elchin Ibadov, Chief Executive Officer (CEO) of Türkiye stated that Azerbaijan Petroleum Company SOCAR carries out the exploration, extraction, production and processing activities of Azerbaijan’s oil and natural gas resources, as well as the transportation and distribution of oil and natural gas, and the marketing of crude oil and petrochemical products.
Ibadov said: “SOCAR, which operates in more than 15 countries with its subsidiaries and joint ventures, has made its largest investment to date in Türkiye. After the past 15 years, today, together with our stakeholders, we are Türkiye’s largest direct foreign investor with an investment of approximately 18.3 billion dollars and we are We are Türkiye’s largest integrated industrial group with the activities we carry out in an integrated structure within our group companies. The point we have reached in 15 years makes us proud of the added value we provide to the economy, employment and social development of both countries. With the support of the strong cooperation and synergy between Türkiye and Azerbaijan we continue our strategic investments with our competent human resources, with our group companies within an integrated structure. ‘’
Ibadov noted that they see SOCAR
Türkiye’s successes as a reflection of the strong cooperation between Türkiye and Azerbaijan and that they will continue to contribute by creating value in line with the development, progress and goals of Türkiye and Azerbaijan.
“STAR REFINERY MEETS 20 PERCENT OF OIL PRODUCTS NEEDS”
Reminding that SOCAR has started its operations in Türkiye by purchasing 51 percent of Petkim’s shares in 2008, Ibadov stated that they have continued investments and production without slowing down since then.
Ibadov elaborated that in addition to the Refinery and Petrochemical Business
Unit and Natural Gas Business Unit within SOCAR Türkiye holding, there are also subsidiaries operating in areas that are not included in these business units, adding that, Petkim, STAR Refinery, SOCAR Storage, SOCAR Petrol Ticaret, SOCAR R&D and
SCR Construction companies were involved within the Refinery and Petrochemical Business Unit.
Ibadov made the following assessment:
“In addition to the privatization amount of 2 billion 40 million dollars, we have made a total improvement in terms of investment of 1.7 billion dollars so far in Petkim, our apple of the eye, which is Türkiye’s first and only integrated petrochemical facility, which has strategic importance for the Turkish economy. With the impact of our investments, Petkim makes a significant contribution to reducing foreign dependency in energy by meeting approximately 12 percent of Türkiye’s need for petrochemical products. In 2018, with the STAR Refinery, which has been built as integrated with Petkim for an investment amount of 6.7 billion dollars, the petrochemical - refinery integration in Türkiye was completed, by which we have implemented the one and only example in Türkiye. With an annual crude oil processing volume of 12 million tons, STAR Refinery meets approximately 20 percent of Türkiye’s processed petroleum product needs. We will continue our investments in 2024 to increase the capacity of STAR Refinery by 150 million dollars. With SOCAR Storage, which we have established through an investment as the largest storage facility in the Aegean Region, the storage of petroleum products and liquefied petroleum gas is carried out. SOCAR Petrol Ticaret operates in the fields of wholesale and retail sales of fuel oil, crude oil, aviation and marine fuels, and these activities are carried out under the brands SOCAR and Hazar in the fuel distribution sector, SOCAR Marine in the marine fuels market, and SOCAR Aviation in the aviation fuels market. We are implementing innovative products and technologies in our SOCAR Türkiye R&D company.”
Stating that the “Natural Gas Business
Unit” within the company includes Bursagaz, Kayserigaz and SOCAR Enerji Ticaret, where they manage the activities in the field of natural gas and electricity, Ibadov said:
“Kayserigaz and Bursagaz provide natural gas distribution activities in two important industrial cities of Türkiye, providing uninterrupted natural gas service to approximately 1.9 million subscribers. A significant part of our natural gas activities is carried out by TANAP, of which we are the major partner, with an investment of 6.3 billion dollars. TANAP, which transports Azerbaijani gas to Europe via Türkiye.
AP is one of the most important steps in the successful cooperation of Türkiye and Azerbaijan in the field of energy. Our companies other than our business units are SOCAR Terminal, the largest terminal in the Aegean Region, which was established for an investment of 420 million dollars, SOCAR Fiber, which provides superior quality and high security electronic communication and network services in the places we pass along with TANAP, and which was established with an investment of 55 million dollars, and Millenicom, the internet service provider, which consists of our companies operating in the fields of insurance brokerage, ship agency and accommodation services.”
Ibadov emphasized regarding the SOCAR Türkiye’s road map, that it will bring its production capacities, commercial and operational competencies to the highest standards with strategic investments, whose main activities are refinery and petrochemistry, in the coming period.
Ibadov also said: “Growth projects such as international petrochemical trade, increasing electricity and natural gas export activities, realizing investments that will increase logistics and storage security, and sustainable aviation fuel operations are also on our agenda. In the new period, we will be developing new projects in the field of petrochemistry, which is one of the important components of Türkiye’s energy deficit, in the light of our expertise and experience. We are working on a major task, which we call ‘Master Plan’, in which we evaluate investment alternatives. We aim to determine and implement the alternative that we believe will provide the most accurate and efficient contribution to our countries in the coming months.”