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Alliance Involving SOCAR to Obtain Shares of Turkish Petrochemical Holding until Mid- May

Oil&Gas Materials 29 March 2008 14:09 (UTC +04:00)
Alliance Involving SOCAR to Obtain Shares of Turkish Petrochemical Holding until Mid- May

Azerbaijan, Baku, 29 March / Trend / The Alliance of Companies Socar/Turcas Petrol/Injaz Projects will obtain 51% of the shares of the Turkish petrochemical holding Petkim until May 7, Erdal Aksoy, the member of the board of directors of Turcas said to Turkuish media. The way of payment of the share in the company will become known on 14 April, Aksoy said. The Alliance offers set of 51% of shares at US$2.04bln.

The State Oil Company of Azerbaijan SOCAR said on 29 March that the in early March Turkish court rejected the appeal of the trade alliance of the oil workers of Turkey on the prohibition of the deal on the purchase of 51% of Petkim by Socar/Turcas Petrol/Injaz Projects.

"There are no any obstacles to realize the deal and its realization will be completed in the near future," SOCAR said.

According to Aksoy, the alliance of the companies plans to invest some $10bln to the company in 7 to 8 years. Two electric power stations based on coal and gas will be constructed under the company.

The investments of SOCAR/Turcas/Injaz to the modernization of capacity of Petkim will be more than the share of this company in Turkish market up to 40% from the current 27%. Turkey imports 75% of the petrochemical products at present, and the investments by SOCAR/Turcas/Injaz to the development of Petkim will allow to lower the import of the product up to 30%.

The investments can be repaid in 5 to 6 years.

SOCAR/Turcas/Injaz plans to build a refinery on the basis of Petkim in Turkey to supply chemical plants with raw materials.

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