SOCAR's investments in Turkey hit $16.5bn

  • Aug 01, 2020
  • AzerNews

By Ayya Lmahamad

The State Oil Company of Azerbaijan Republic (SOCAR) has invested around $16.5 billion in Turkey since 2008, SOCAR’s Turkey Foreign Relations Department Murat LeCompte said during an interview with the Turkish media.

He stated that SOCAR will continue investing in projects implemented in Turkey, which includes additional investments that will be directed to increase storage capacity and other technical issues of the STAR refinery commissioned in 2018.

SOCAR’s investments in Turkey began with the privatization of the petrochemical complex Petkim in 2008. After the privatization, about $1 billion has been invested in Petkim so far.

The cost of the construction of the STAR refinery is $6.3 billion, together with investments this year and next year this amount will reach $7 billion.

Earlier it was reported that, the Turkish Competition Council has given permission to SOCAR and BP to establish a joint venture that will operate in the petrochemical sector, which will be called Mercury complex.

The construction of the new petrochemical complex is expected to enable Turkey to cover the current account deficit by $6 billion annually.

Moreover, the project will increase the share of SOCAR in petrochemical market of Turkey to 35-40 percent.

The Mercury complex will be built near the Petkim petrochemical complex and the STAR refinery in Aliaga region. The enterprise will produce 1.25 million tons of purified terephthalic acid (PTA), 840 thousand tons of paraxylene (PX), 340 thousand tons of benzene.

Additionally, subsidiary company of the State Oil Company of Azerbaijan, SOCAR Turkey, has became the leader among chemical exporters of Turkey in 2019.

The company has received an award from Istanbul Chemicals and Chemical Products Exporters' Association.