ANNUAL REPORT 2009
Fuel products and
distribution… fastest growing
fuel distribution company
in customer satisfaction
ANNUAL REPORT 2009
Energy demand hit in year of recession
The global economic recession in 2009 created a drop in energy demand. World crude oil demand declined by 1.2 million barrels
a day to 85 million barrels a day, causing refinery capacity utilization rates to fall. Significant cuts in heavy crude oil production by
OPEC member states led to the processing of lighter crude oil. When falling production levels failed to meet the demand for fuel
oil, fuel oil prices rose, narrowing the price differential between light and heavy crude oil. While world GDP fell by 1% in 2009,
contraction reached 3.2% in the developed economies and 4% in the Euro zone. World trade volume decreased by 12%. The
economic recession reduced demand for middle distillates, in particular, and increasing inventories pressured both prices and
refinery capacity utilization rates. The refining sector was struck by a double blow in 2009 with the decline in demand and the addition
of new capacity. Production flexibility and logistic superiority were the most important factors determining the profitability of refinery
companies in this challenging environment.
Developments in the Turkish
Turkey's GDP contracted by 4.7% in 2009. Total The utilization of natural gas continued to increase
consumption of fuel (black and white products) worldwide in 2009, limiting the use of LPG by
declined by 7.6% to 17.7 million tons, according households and industry, while autogas demand
The most to the Petroleum Industry Association. Total continued to grow. The consumption of LPG in
consumption of automotive fuels (gasoline, diesel Turkey, Europe's second largest LPG market,
important and autogas) fell by 2.3% to 18 million tons. grew by 5% to 3.6 million tons. As the use of
development in Total consumption of white products (gasoline alternative energy sources increased,
and diesel) decreased by 3.8% to 15.7 million consumption of cylinder gas and bulk gas fell by
the energy tons. Black products (fuel oil and heating fuel) 4% and 5%, respectively, compared to 2008,
fell by 30.5% to 1.9 million tons. while autogas grew by 9%.
sector in 2009
was the steep One of the most important developments in the
sector in 2009 was the initiation of a temporary
decline in price cap on the distribution and retail sales of
demand. fuel. However, this ceiling was lifted after two
months and the pricing was liberalized once
Electricity Natural gas
2,833 MW additional generation capacity was Turkish natural gas market contracted by 2% Tüpraﬂ was the
introduced in Turkey in 2009. With the addition in 2009 with total domestic consumption most profitable
of this new capacity, consisting of 1,400 MW declining to 36 billion m3.
of natural gas and approximately 1,000 MW of global refinery
renewable resources such as hydro and wind, Further to the liberalization of liquefied natural
Turkey's total capacity increased by 7%. gas imports and the entry of four private sector
in the last three
Nevertheless, energy consumption fell by 2.5% companies who won the contract transfer quarters of
year-on-year due to the global crisis. tenders within the scope of Turkey Natural Gas
Market Law No. 4646, the private sector in 2009 based on
Another important development was the
publication of the Electricity Sector Strategy
Turkey started importing natural gas. The share
of private sector in the total natural gas imports
Report in June. First prepared in March 2004, was 10% and is expected to increase in future. per barrel from
the report contains topics including the initiation In line with the decline in crude oil prices in the
of the privatization of generation assets in 2009, second half of 2008 and first quarter of 2009, refining and
the completion of privatization of distribution the natural gas import prices also fell. As a marketing
assets by the end of 2009, the regulation of result, domestic sales price for natural gas was
“free consumer” limits, and the implementation 40% lower compared to 2008. activities.
of incentives in the pricing of electricity to
encourage conservation and efficient usage. Koç Group Energy Segment
Lastly, Electricity Market Balancing and
Settlement Code became effective in December. Through its ownership of Tüpraﬂ, Koç Group,
Turkey's energy sector leader, owns the entire
Privatizations refining capacity of the country and meets
approximately 70% of total fuel demand in
In 2008 and 2009, the privatization of 20 Turkey. By implementing effective measures,
distribution regions (excluding Kayseri, which Tüpraﬂ ended 2009 with high profitability
was already privatized) continued. In 2008, despite challenging market conditions,
Baﬂkent, Sakarya, Aras and Meram regions, generating the highest operating profit per barrel 22
and in 2009, Çoruh, Osmangazi and Yeﬂil›rmak
regions, were tendered for a 30-year period
from refining and marketing activities among 23
global refineries in the last three quarters of the
through block sale. Tenders for the Vangölü, year.
F›rat, Çaml›bel and Uluda¤ regions are
scheduled to be completed in the first quarter Opet continued to increase its market share
of 2010 and privatization of the remaining and maintained 3rd place in white products and
distribution assets are planned to be completed 2nd place in black products in the domestic
within the year. market.
On the generation side, privatization tenders Aygaz consolidated all energy companies in
for 52 mini hydro plants owned by Elektrik Koç Holding Energy Segment, excluding fuel
Üretim A.ﬁ. with 142 MW total installed capacity and refineries, under its umbrella and became
are targeted to be held in 2010. The privatization the main shareholder in these companies.
process for 4 coal plants with 3,074 MW Aygaz, which is one of the five largest LPG
installed capacity is also expected to be kicked companies in Europe, maintained its leadership
off in 2010. The remaining 13,128 MW will be of the Turkish LPG sector.
privatized in 9 portfolios.
Koç Group companies own more than 70% of
Turkey's total storage capacity of crude oil and
ANNUAL REPORT 2009
Tüpraş Turkey's only and Europe's
8th largest refining company
$13,118 million Tüpraﬂ is Turkey's sole refining company, Efforts to decrease operational and energy
operating four oil refineries with an annual costs bore fruit during the year. This
Domestic Market Position:
crude oil processing capacity of 28.1 yielded the Company $79 million
Turkey's sole refining
million tons. Tüpraﬂ, which joined Koç additional EBITDA and $32 million of
70% of Turkey's fuel demand Group in 2005 following the privatization, energy savings. Tüpraﬂ also made
(including jet fuel) is Turkey's largest industrial enterprise and opportunistic purchases on the spot crude
the 8th largest refining company in Europe. market to minimize the risks pertaining to
International Position: With its large market share, corporate the price differential between crude oil
Europe's 8th, reliability, production facilities and and finished products.
world's 30th largest partnerships, Tüpraﬂ is a leading integrated
petroleum company. As a result of the profitability focused
Share of International approach throughout the year, Tüpraﬂ
Revenues: Tüpraﬂ is the supplier of 36 different generated the highest operating profit per
14.8% petroleum products across Turkey and is barrel from refining and marketing activities
among the most complex refineries in the during the last three quarters of the year
Mediterranean with a Nelson Complexity among the global refineries.
$ 779 million
level of 7.25. In 2009, the Company sold
Gross Refining Margin: 58.4% of its products to distribution Around 70% of Turkey's total
$ 9.21/barrel companies, 15.4% to export markets, 3.2% storage capacity
to the military, 4% to LPG customers, 9.3%
Shareholder Structure: to direct customers and 9.3% to asphalt Tüpraﬂ owns 40% of Opet, which is
Enerji Yatırımları A.ﬁ. customers. 29% of the sales from Tüpraﬂ Turkey's 3rd largest fuel distribution
51% refineries was made via pipelines while
company. Together with Opet, Tüpraﬂ
42% was made via marine transportation owns about 70% of Turkey's total crude
49% and 29% via land and railway oil and fuel storage capacity, giving Tüpraﬂ
transportation. the highest potential of meeting the
country's national reserve requirement.
Most profitable refinery in the
last three quarters of the year Investments ensure
production at EU standards
Tüpraﬂ was one of the first refineries in
the world to implement an optimum The Master Investment Plan, which is
production policy to minimize the impacts meant to boost Tüpraﬂ' profit potential and
www.tupras.com.tr of the challenging market conditions. The competitive edge, modernize refineries
Company ameliorated the impact of the and enable production according to EU's
crisis on its financial results through environmental standards, was finished
operational flexibility and optimum with the completion of the ‹zmit Refinery
inventory management. In 2009, the price Gasoline specification improvement. As
differential between Brent crude and heavy of April 20, 2009, all gasoline products
crude oil prices decreased, making crude sold in Turkey are in Euro V specs and
oil relatively more expensive. In response their 10 ppm sulphur, aromatic and
to the contracting refinery margins and benzene values are equivalent to those of
slim profitability in exports, Tüpraﬂ EU countries. 80 projects have been
decreased crude oil charge and applied completed in ‹zmit, ‹zmir and K›r›kkale
an optimum production and sales policy refineries to boost Tüpraﬂ' operational
to meet domestic demand by increasing competence, energy efficiency and
the use of semi-finished products profitability have been initiated, generating
(operationally more cost efficient relative $234 million additional EBITDA.
to crude oil). This maximized the utilization
of its conversion units and increased the To address the viscosity problems
efficiency of white products with high experienced in regions of Turkey with
added value. As a result, the Company's tough winter conditions, Tüpraﬂ has
crude capacity utilization came in at 60.4%, produced a 10 ppm diesel oil that
and total capacity utilization rate including preserves its viscosity even at
the semi-finished products was 69.1%. In -25 degrees Celsius and introduced this
line with the policies implemented, 18.2 product to the market on November 20,
million tons of products were supplied to 2009.
the domestic market and white product
yield increased from 68.7% in 2008 to
73.6% in 2009.
Important milestone in the Fitch increases Tüpraş's rating
Residuum Upgrading Project to 'BBB-'
The Residuum Upgrading Project was On December 3, 2009, the international
planned by Tüpraﬂ to increase the credit rating agency, Fitch Ratings raised
Company's value-added by transforming Turkey's foreign currency long term
low value black products such as fuel oil country rating. Following that, Fitch Ratings
into more valuable white products such also raised Tüpraﬂ' foreign currency long-
as Euro V compliant gasoline and diesel, term rating from BB to BBB-, the country
which are currently short supply in Turkey. ceiling. Tüpraﬂ' local currency long-term
The project, planned for the ‹zmit Refinery, rating was confirmed as BBB- and its
was launched in 2008 with the basic outlook for both types of currencies as
engineering stage. On December 17, “stable”.
2009, Tüpraﬂ signed an agreement with
the Spanish firm Tecnicas Reunidas as The factors behind this increase are
the main contractor for the project. Tüpraﬂ' strong operational and financial
structure, efficient storage capacity,
The Residuum Upgrading Project is leadership in the Turkish market and a
estimated to cost $1.8 billion and is cash structure exceeding the refining
planned for completion in early 2014. sector average.
Once the investment is complete, Tüpraﬂ'
production of black products will decrease Strengthening Corporate
by 50%, and its white product yield will Governance performance
increase to 83%. The investment will
increase ‹zmit Refinery's Nelson Tüpraﬂ increased its corporate governance
Complexity from 7.75 to 14.5, thus making rating from 8.20 to 8.34 and is among the
it one of the most complex refineries in pioneer companies of the ISE Corporate
Europe. This project will optimize the Izmit Governance Index.
Refinery, while also increasing capacity
utilization by allowing raw material to flow
to Izmit from other refineries, and increase 25
product flexibility and maximization at all Tüpraﬂ took 2nd place in a field of Turkey's
refineries. The project is estimated to top-50 revenue-earning companies in the
generate additional revenues of around “Ethical Accountability 2008 Turkey
$1 billion and EBITDA of $420 million. Assessment” conducted by AccountAbility,
an independent corporate social
R&D focused projects responsibility and accountability
organization, in cooperation with the
Tüpraﬂ aims to create an environment of Institute for Social Responsibility.
collaboration between universities,
research institutions and industry to jointly Health, Safety and
develop and manage research projects.
To this end, the first joint projects with Environment (HSE) at world
TÜB‹TAK MAM, Koç University, Bo¤aziçi standarts
University, METU and Dokuz Eylül
University have been initiated and a Human health, technical safety and the
Master's Degree Program has been environment, which together are the
established at the Bo¤aziçi University. building blocks of sustainability, are
Numerous R&D projects were initiated continuously at the forefront of Tüpraﬂ'
during the year from diverse areas and thinking and operations. In 2009, the
subjects such as the real time optimization number of accidents were halved
of the Hydrocracker Unit, the design of compared to 2008. In 2009, Tüpraﬂ
devices for cooling the air coming from proudly outperformed its targets and
reached world standards in accident Why Tüpras
reactors, modeling the mechanisms for
incidence and severity rates, two of the
exchanger pollution generation, •Turkey's only
most important safety performance criteria, refi
purification of chimney gases and the
mathematical simulation and modeling of at 2.5 and 73 respectively. •70% of Turkey's ning company
total licensed storag
refining operations. capacity e
synergy with Ayg
and Opet az
ANNUAL REPORT 2009
Opet Continued increase in market
$ 4,756 million Established in 1992, Opet Petrolcülük
joined Koç Group as a 50-50 joint venture
Domestic Market Position: in 2002. The Company is engaged in retail
3rd in white products with and wholesale distribution of petroleum
16.6% market share
products including jet-fuel, production and
2nd in black products with
26.0% market share
marketing of lubricating oil and the
international trade of petroleum products.
Network: Opet endeavors to develop its activities
1,324 stations and boost its service quality and market
(including Sunpet) share with the ultimate objective of Unrivalled sector leader in
EBITDA: becoming the consumer's first choice in customer satisfaction
$ 262 million the Turkish fuel distribution sector.
Opet continued its leadership in customer
Gross Profit Margin: satisfaction in the fuel distribution sector
Opet continued to increase its market
share in 2009. As of year-end 2009, it was for the 4th consecutive year based on the
Operating Profit Margin: the 3rd largest fuel distributor in the white results of the Turkish Customer Satisfaction
4.9% products (gasoline and diesel) with 16.6% Index survey conducted every year by
market share and the 2nd largest in black KalDer, the Turkish Society for Quality.
Shareholder Structure: products (fuel oil and heating fuel) with a Opet has achieved sustainable sector
Tüpraﬂ 26.0% market share. Despite the leadership due to the importance that it
40.0% contraction of the fuel market, Opet drove gives to its customers.
Other Koç its sales volume up 5.1% in white products
10.0% and 26.1% in black products during the The number of customers enrolled in the
Öztürk Group 'Opet Kart' customer program rose from
2.9 million in 2008 to 3.6 million by the
Opet increased the number of its stations end of 2009.
from 1,317 at the end of 2008 to 1,324 at
the end of 2009. Of these, 798 operate Opet is a socially responsible company
under Opet brand and 526 under the that supports the society by focusing on
Sunpet brand. environmental and social issues through
projects that are integrated in its activities
Highest storage capacity in the and relationships with its stakeholders.
www.opet.com.tr fuel distribution sector Social responsibility plays an important
part in Opet's corporate culture. Since its
As of year-end 2009, with the completion foundation, the Company has carried out
of the facilities in construction, the total numerous social responsibility projects
storage capacity reached 1.1 million. and many others are currently under way.
Together with Tüpraﬂ, Opet owns about
70% of Turkey's total storage capacity 2010 and beyond
including petroleum products and crude
oil. This rise in the storage capacity further Opet's targets and strategy in the
augments Opet's competitive advantage upcoming period are focused on its main
in the sector. competitive advantages. Opet aims to
realize unique and successful projects,
In 2009, Opet continued to deliver storage while enhancing its service quality and
services to international firms engaging in strengthening its customer relationship
trade and transfer services in the petroleum management infrastructure. As a result,
sector in its Marmara Ere¤lisi Terminal. As Opet aims to increase its market share
of the end of 2009, the capacity leased to and achieve growth, while maintaining
international firms stands at 470,000 m3. customer satisfaction.
Aygaz Turkey's leading LPG company
Total Revenues: Aygaz is Koç Group's first company in the According to Energy Market Regulatory
$ 2,448 million energy sector and has been the leader of Authority (EMRA) data, Aygaz Group's
the Turkish LPG sector since the day it sales in 2009 in the cylinder, bulk and
Domestic Market Position: was established. The Company's autogas segments amounted to 1.1
(Including Mogaz) achievements in recent years have put it million tons. Total sales, including domestic
Leader in the LPG sector since among the top five LPG companies in wholesale, domestic retail, barter, exports
its establishment in 1961
Europe. In addition to autogas, cylinder and transit sales, reached 1.6 million tons.
LPG and bulk LPG distribution, Aygaz also Aygaz posted revenues of $2.4 billion in
38.6% in cylinder LPG
23.9% in autogas manufactures and sells LPG equipment. 2009. Export and transit sales amounted
29.8% in total LPG Aygaz owns and operates Turkey's first to $109 million.
and only LPG maritime fleet, which it uses
Distribution network: for international LPG trading. Capital expenditures by Aygaz and its
(Including Mogaz) subsidiaries reached $83.1 million in 2009.
3,263 total sales points: Innovation and reliability are the two core
2,142 cylinder LPG dealers qualities that have placed and kept Aygaz, Strong distribution network
1,121 autogas stations the generic brand name for cylinder gas and product quality
in Turkey, at the forefront since its first
Europe's 5th largest day. Aygaz has almost 50 years of Aygaz provides services in all 81 provinces
LPG distribution company experience and know-how and is fully in Turkey through its 2,142 cylinder gas
committed to making the brand even dealers and 1,121 autogas stations in its
Share of International stronger by developing its product line to endeavor to become the “company closest
Revenues: match the ever changing consumer needs. to the consumer”. Due to its large
5% A flagship company of Koç Holding, Aygaz distribution network, more than 100,000
EBITDA: has a diversified portfolio and is now the households purchase Aygaz LPG cylinders
$ 252 million umbrella company consolidating Koç and one million vehicles run on Aygaz
Holding Energy Group companies Euro LPG+ every day.
Gross Profit Margin: excluding fuel distribution and refining.
To this end, Aygaz increased its share of In 2009, Aygaz maintained its undisputable 26
Entek and Aygaz Do¤al Gaz in 2009.
Operating Profit Margin: leadership position in the LPG sector and 27
8% all its sub segments with a 29.8% total
Aygaz is Turkey's 9th largest private-sector market share. As the only LPG company
Shareholder Structure: industrial company according to ‹stanbul operating in the autogas market with its
Koç Holding Chamber of Industry's “Turkey's Top 500 own brand nationwide, Aygaz reinforced
51.2% Industrial Enterprises 2008” listing and is its leadership and increased autogas sales
Turkey's first and only publicly-traded LPG by 10.9% in 2009, at the backdrop of a
company. Aygaz is one of the few 9% market growth. Despite the overall
24.3% companies that has managed to become contraction in the cylinder LPG market,
the generic brand for its product and is the Company continued to increase its
fully committed to environmentally sensitive market share in this segment as well.
and sustainable development. Focused
on the areas of education, culture, arts During the difficult period when economic
and the environment, Aygaz emphasizes recession hit sales, Aygaz's strong
both the past and the future in its social distribution network and product quality
responsibility projects as a company that continued to make a difference. According
embraces the past while continuing to to EMRA data, Aygaz's 2009 market share
invest in the future. (including the Mogaz brand) in the cylinder
LPG market reached 38.6% and its share
of the autogas market was 23.9%.
•Turkey's largest LP
G storage capacity
•Service to more th
households daily an 100,000
•1 million vehicles ru
Euro LPG+ every nning on Aygaz
ANNUAL REPORT 2009
Superior procurement and 2010 and beyond
Aygaz's main objective is to remain the
Aygaz is Turkey's number one LPG Aygaz continued its R&D efforts, LPG sector leader for quality and safety.
importer and it operates Turkey's largest technology improvement projects and Sustaining leadership in all segments,
tanker truck fleet. Aygaz transports the innovations in 2009. The Company has raising market share and maximizing
LPG it procures from domestic or filed patent applications to the Turkish profitability are the pre-eminent short and
international refineries to its filling facilities Patent Institute under three categories in medium term strategies of Aygaz. As for
via pipeline, ship or tanker trucks. LPG is 2009: liquid measuring system, cylinder the long-term, Aygaz aims to widen its
distributed throughout Turkey in the form loading machine, and automatic painting energy pool by developing solutions for
of cylinder, bulk or autogas via its 3,300 machine with rotating base for household Turkey's alternative energy needs.
dealers. type cylinders.
Aygaz has 5 marine terminals, 10 filling Awards for achievements
facilities and a maritime fleet of 4 LPG Mogaz is the second Koç Group Company
vessels, all equipped and operating at Aygaz is ranked among Turkey's top 5 operating in the LPG sector with Aygaz.
international standards. Aygaz owns the most transparent companies in terms of Mogaz provides distribution services under
largest LPG storage capacity of Turkey, corporate governance in the “Turkish the Mogaz and Lipetgaz brands and ranks
with 170,000 m3 excluding the tanker Transparency and Disclosure Research” 7th largest in the Turkish LPG market
fleet. Its Dörtyol Marine Terminal ranks as prepared by Sabanc› University Corporate among 63 companies with a total annual
one of Turkey's largest LPG entry stations. Governance Forum in partnership with sale volume of 200,000 tons. The
Aygaz marine terminals have an annual Standard and Poor's. Aygaz was ranked Company ranks 4th in cylinder gas, 3rd in
LPG throughput capacity of 1 million tons. among the top 5 companies in the “Ethical bulk gas and 8th in autogas segments.
LPG cylinders, tanks, valves and regulators Accountability 2008 Turkey Assessment”
produced at Aygaz's Gebze facility, are conducted by AccountAbility, an Mogaz maintained its strong position and
exported to 15 countries in Europe, the independent corporate social responsibility reached a market share of 5.3% with
Middle East and Africa. and accountability organization, in expanding direct sales activities in 10 cities
cooperation with Institute for Social and newly opened dealerships in 2009.
An environmentally friendly Responsibility. The “Best Brands” survey
product: Aygaz Euro LPG+ conducted by an independent research In July, Mogaz started distributing Aygaz
company identified Aygaz as one of Euro LPG+, autogas with additive
Aygaz continued to lead the growing Turkey's top 4 product brands and the developed and introduced to the market
autogas market in 2009 by expanding its best brand in the LPG sector. Aygaz's 3D by Aygaz in June. The product was
product and service portfolio and offering corporate website, www.aygaz.com.tr, won promoted through a marketing campaign
solutions to meet customers' needs. the “Outstanding Achievement” award in and applauded by dealers and consumers
Launched in 2009 after four years of the energy category of the“Interactive alike.
intensive research, Aygaz Euro LPG+, Media Awards” competition. The Society
autogas with additive, provides a cleaner of Health Volunteers awarded Aygaz 2nd In 2010, Mogaz aims to increase its share
engine, higher performance, lower place in the Social Responsibility Grand in the autogas and cylinder gas markets
consumption and a more environmentally Award category for the Company's social and develop its direct sales activities and
friendly fuel alternative. responsibility project “Ay›ﬂ›¤› - Moonlight: improve customer satisfaction.
Beam of Health from Aygaz”.
Aygaz organizes “Cylinder Gas Briefing
Trainings” to increase consumer
awareness about cylinder gas usage and
to encourage its safety and efficiency.
As the owner of the highest number of
patents in the Turkish LPG sector, Aygaz
places great emphasis on innovation in
the areas of environmental protection and
ecological sustainability, which are two
indicators of social development, with the
belief that the development of technologies
that utilize clean and renewable energy
sources is critical both for the country and
the world as a whole.
Entek is Koç Group's power generation Entek intends to make new investments to Akpa carries out LPG distribution,
company that operates two natural gas maintain its market share in the future, to wholesale marketing of petroleum
combined cycle plants and one gas turbine utilize alternative resources for investments, products, and retailing and wholesaling of
based cogeneration facility in Istanbul, establish large, powerful and high efficiency consumer durables. The Company has
Kocaeli and Bursa with a combined power plants, and to direct itself towards dealers in Bursa, Eskiﬂehir, Antalya, Ankara,
capacity of 302 MW. As of the end of 2009, renewable energy that poses no input price ‹zmir and Denizli and generated TL200
Entek ranked 6th among private sector uncertainty. In addition to optimal million revenues in 2009.
power generation companies in Turkey adaptation to the Balancing and Settlement
with 5% share in the private sector's total Code that became effective in December
production. 83% of the energy generated 2009, the Company aims penetrate the
by Entek is sold to the Market Financial bilateral contracts market via Eltek to create Demir Export is Turkey's 2nd largest private
Settlement Center via the current alternative sales channels. Financial sector coal producer for thermal power
transmission networks while 11% is sold difficulties experienced by several plants. It also mines iron, chrome, zinc and
to customers connected with a direct companies in the sector create new copper ores. The Company is an exporter
transmission line to the plant. The remaining acquisition opportunities. of copper, chrome and zinc.
6% is sold as steam energy from the Bursa
and Kocaeli facilities. Eltek was founded
as a subsidiary of Entek in 2003 and Aygaz Doğal Gaz Demir Export focused on operational
efficiency and continued its activities in
operates in the wholesale electricity market.
Aygaz Do¤al Gaz operates in the natural 2009 in a way to shield it from the impact
gas market, selling and transmitting of sudden price fluctuations. Being the
Turkey’s demand for electricity decreased
liquefied natural gas (LNG) and supplier of a strategic product range
by about 2.5% in 2009 and a the total
compressed natural gas (CNG). provided resilience to Demir Export in a
generation capacity increased by 2800 MW.
Particularly in the second half of the year,
supply surpassed demand, causing prices As part of the liberalization of the natural
gas market, wholesaling natural gas via Demir Export emphasizes quality, the
to fall. The amount of water accumulating
pipelines gained a momentum in 2009. environment, occupational safety and
in the dams increased by more than 100%
The Company signed a natural gas worker health in all its activities. It is Turkey's
compared to 2008, which further increased
procurement agreement with a licensed first and only coal producer to have ISO- 28
available capacity. During this period, Entek
managed to maintain its profitability by gas-importing company and natural gas 9001 Quality, ISO-14001 Environment and 29
sales agreements with consumers. OHSAS 18001 Occupational Health and
implementing flexible operational processes
Safety Management Systems certifications.
and achieving optimum capacity utilization
rates. Entek's main strengths were direct Aygaz Do¤al Gaz will start natural gas
customers connected with a transmission wholesaling to independent consumers via
line to the Kocaeli plant, sales to steam pipelines on January 1, 2010.
customers and the employment of flexible
The established capacity increased by
62 MW with the addition of 15 MW power
from the steam turbine and the completion
in August 2009 of LM6000 unit at a total
investment cost of $31 million. The
company also renewed a LM6000 unit in
Bursa and a HSPT unit and a LM2500
turbine in Kocaeli.
Otlukilise iron mine