Turkey: 1.7 Billion-Dollar Investment Rönesans to Build Mega Polypropylene Production Plant in Turkey

Editor: Ahlam Rais

With an annual production capacity of 450 thousand tons, the new polypropylene production plant will be built within the Ceyhan Industrial Zone in Ceyhan, Turkey. The 1.7-billion-dollar investment is claimed to be one of the private-sector’s largest industrial investments in the country and expected to triple the nation’s annual polypropylene production capacity.

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Rönesans Holding has launched one of the private-sector’s largest industrial investments in Turkey (Ceyhan, Adana).
Rönesans Holding has launched one of the private-sector’s largest industrial investments in Turkey (Ceyhan, Adana).
(Source: Rönesans Holding)

Ankara/Turkey – Rönesans Holding has launched one of the private-sector’s largest industrial investments in Turkey (Ceyhan, Adana). The groundbreaking ceremony for the Ceyhan polypropylene production plant which will operate on a 62-hectare land within the Ceyhan Industrial Zone was held on October 9.

The Ceyhan polypropylene production plant, with an investment value of almost 1.7 billion dollars, is intended to triple Turkey’s annual polypropylene production capacity, thus substituting for 20 % of the total imports.

This investment stands among the largest industrial investment made by the private sector in Turkey and the largest polypropylene production plant in the country with an annual production capacity of 450 thousand tons with the goal of an annual net positive contribution of 250 million dollars to Turkey’s balance of foreign trade.

Expected to be operational in 2025, the plant will supply the fuel need using its own generated hydrogen. In addition, it will supply most of its electricity demand from Rönesans’ hydroelectricity plants. Thus, almost 80 % of the plant’s total energy need will be supplied from renewable energy sources.

The main partners for the project is the Algerian national energy company Sonatrach. Sonatrach will supply an annual 550-thousand-ton raw material by 2040.

The technology infrastructure licensors of the project will be UOP Honeywell from the United States and Lyondell Basell from the Netherlands. Rönesans and Tecnicas Reunidas from Spain have partnered to develop the engineering solutions during the construction and carry out the supply and construction operations.

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This 12-page Process Insight will discuss the current changes in the EPC business and the impact of these changes on EPC projects. Besides the effect of the Coronavirus as well as the current oil price crash on the contracting industry will also be analyzed and an outlook for the industry will be given.

Ravago will provide the effective distribution of the products to all companies in the Turkish market. The French company SPIE will ensure the management of operations and maintenance services and sustainable production during the construction and operation of the plant.

In addition to the polypropylene production, the Stolt-Nielsen group, one of Norway’s well-established groups and the top groups in the world in the field will co-invest in the plant to provide the liquid cargo storage and terminal services efficiently.

Ceyhan Petrochemicals Industrial Zone which will be established on a land of near 1,300 hectares (about 2-thousand football fields), is in an advantageous position in terms of cost and time with its proximity to Turkey’s major ports and areas with the highest petrochemical raw material demand.

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