Extensive investments that pave the way for the future
Enhancing the country’s production power
Tüpraş, Turkey’s sole oil refiner, operates four refineries in Izmit, Izmir, Kırıkkale and Batman, with a total annual crude oil processing capacity of 28.1 million tons. It is Turkey’s largest industrial company by revenue and added-value generated. As Europe’s 7th largest refining company, Tüpraş is among the most complex refiners in the Mediterranean region, with a Nelson Complexity Index of 7.25.
The main focus of Tüpraş’s strategy is meeting the nation’s need for petroleum products, shaping the sector with its innovative practices and maximizing customer satisfaction. Tüpraş is keen on lowering its cost base and standing out among its peers by implementing the best technologies available in operational advancement.
Tüpraş investment spending from 2006 to 2014 stands at US$ 5.2 billion. The Residuum Upgrade Project (RUP), commissioned in December 2014, will bring the Company’s Nelson Complexity index up from 7.25 to 9.5. Aware of ever rising competition within the sector, Tüpraş aspires to the highest level of operational excellence to maximize value for Turkey and the Company’s shareholders. To accomplish this, Tüpraş targets to be in the top quartile among refineries worldwide, in terms of technical availability, energy intensity, and operating cost efficiency indices.
74.9% capacity utilization in spite of the optimum production policy and maintenance works carried out before the Residuum Upgrade Project
As a result of maintenance downtime that was carried out at Izmit Refinery for the Residuum Upgrade Project, planned refinery maintenance in other refineries and stock optimization programs, a capacity utilization of 74.9% and a white product yield of 72.2% was realized in 2014.
The Company supplied 16.9 million tons of products to the domestic market and exported 5.3 million tons. Sales totaled 22.2 million tons.
US$ 3.0 billion Residuum Upgrade Project was completed
The US$ 3 billion Residuum Upgrade Project, which will enable about 4.2 million tons of heavy fuel oil products, to be converted into about 3.5 million tons of more valuable and more environmentally friendly white products, mostly Euro V diesel, is completed.
Expected to cut Turkey’s current account deficit by US$ 1 billion, the project created 8,000 jobs in the construction and installation phases and has provided employment to 500 persons upon inauguration.
At the İzmir Refinery, the Nelson Complexity, which points to the ratio of high value added end-products in overall production, will go up from 7.78 to 14.5 upon the commissioning of the project, making refinery with one of the world’s most complex.
Strong Corporate Governance
In an assessment based on the new methodology issued by Capital Markets Board in January 2014, Tüpraş’s Corporate Governance Rating was assessed as 9.31 in October 2014, owing to the importance it assigns to corporate governance principles and the improvements it has carried out. As such, the Company has maintained its place among top-ranking companies since the creation of the index in 2007.
Awards and achievements
- 1st place in Istanbul Chamber of Commerce (ISO) 500 Companies, Fortune 500 and Capital 500 listings
- Turkey’s 2013 export champion
- An overall score of 9.31 in the BIST Corporate Governance
- Among the top 15 in the BIST-30 Sustainability Index
- Sustainability Award in the “Large-scale Enterprise” category of Kocaeli Chamber of Industry (KSO) Sector Performance Awards
- Batman Refinery granted first prize at the “Industrial Energy Efficiency Project Competition SENVER 14” in the “Most Efficient Industrial Plant” category
- 4th in the Turkey Innovation League’s “R&D Management” category
- Designated “Best R&D Center” at the 3rd Private Sector R&D Centers Summit
- 26th with 10 patent applications
- Residuum Upgrade Project - Control Building Leed Certificate Gold Level
MARINE TRANSPORT: DİTAŞ
Ditaş, a 79.98%-owned subsidiary of Tüpraş, provides crude oil and petroleum products logistics and transportation services to Tüpraş. In 2014, it carried 8.6 million tons of Tüpraş cargo - 4.9 million tons of crude oil and 3.6 million tons of refined products. Ditaş’s tanker fleet, which started operations in 1974, now includes a 164,859 dwt crude oil carrier, four refined products carriers with a total of 79,685 dwt capacity, as well as time chartered vessels. In addition, Ditaş provides pilotage, tugboat and mooring services with 11 tugboats and seven mooring boats and a pilot boat. Two 19,500 dwt tankers were also added to Ditaş’s tanker fleet to transport the semi-finished charge from the Izmir refinery to Izmit Refinery’s RUP units.