Star Factory to provide additional 150 mln USD revenue to Petkim Holding

Baku. 1 September. REPORT.AZ/ After the commissioning of Star refinery being built on Petkim peninsula in the region Aliaga, Turkish city of Izmir, the annual profit of the main partners of the company - Petkim Petrochemicals Holding will increase by 150 million USD.

Report informs, it was stated by Chief Executive Officer of subsidiary of the State Oil Company of Azerbaijan (SOCAR), SOCAR Turkey Kenan Yavuz: "The refinery will sell naphtha to Petkim at the price of world markets. The advantage of Petkim is the absence of transport costs, as a result Petkim will save 30 USD per ton.Annual savings are estimated at 50 million USD.It is also savings for Star plant".

K.Yavuz added that, taking into account the remaining costs after the start of production at the plant Petkim Star additional income from savings will amount to 150 mln USD.

Petkim Peninsula is an investment center of strategic importance in the industry of Turkey.

In 2008, SOCAR acquired 51% controlling stake of PetkimHolding from Turkey for 2.04 billion USD, then in 2012 for 168 million USD - the remaining 10% owned by government.

Total investment cost of Star refinery project is 5.6 billion USD.Of these, 2.4 billion USD financed by SOCAR's own resources, the remaining 3.2 billion USD of funds by 23 foreign banks.

Production in Star plant is scheduled to launch in 2018.