SOCAR and BP have taken an important step to jointly invest in Turkey, APA-Economics reports.
The companies turned to the relevant authorities in Turkey and began to create a joint venture (JV).
It is reported that SOCAR and BP applied to the Competition Council for permission to create a joint petrochemical company. This decision is aimed at implementing joint plans for the construction of a fully-functional petrochemical enterprise, which will be controlled by SOCAR and BP.
It should be noted that SOCAR and BP are planning the construction of a petrochemical complex (the Mercury project) in the Aliaga region of Izmir.
Recall that the Mercury project will increase SOCAR's share in Turkey’s petrochemical market by 35-40%. Currently, 20% of Turkey’s needs for petrochemical products are met by the Petkim petrochemical complex, and the rest is provided through imports. The new complex will bring annual profits to the Turkish economy in the amount of 4.5 billion US dollars.
The complex will include aromatics and enterprises for the production of purified terephthalic acid (PTA). At the RTA plant, 1.25 million tons of purified terephthalic acid will be produced annually, at the aromatic factory - 830 thousand tons of paraxylene (PX) and about 400 thousand tons of benzene. An investment of $ 1.8 billion is expected for this project.
It should also be noted that the last investment decision on the Mercury project will be made in the last quarter of next year.