CASPIAN OIL & GAS - Turkey’s Petkim declares force majeure on ethylene, propylene supply

Turkey’s Petkim declares force majeure on ethylene, propylene supply



Turkey’s Petkim petrochemical complex, a 57.5 percent-share of which is owned by Azerbaijan’s state oil company SOCAR, has declared force majeure on ethylene and propylene supply, the ICIS Regulation Portal reported on July 26.

Petkim was forced to switch off a cracker in Turkey’s Aliagha district due to technical failure that happened on July 17. It is expected that the cracker will be closed until late July.

The cracker’s closing has led to disruptions in the supply of raw materials for the production of derivatives, including acrylonitrile and ethylene glycol, said the report.

The cracker’s capacity is 588,000 tons of ethylene and 271,000 tons of propylene per year.

Petkim is a sole manufacturer of plastic packages, fabrics, detergents, and other petrochemical products in Turkey. The complex exports quarter of its products to foreign markets. The share of the Azerbaijani state company SOCAR in Petkim is 48.64 percent.

Petkim's net profit amounted to 639.2 million liras ($225.7 million) in 2015 which is an increase of 14 percent compared to 2014 year. The authorized capital of Petkim increased to 1.5 billion liras ($530 billion).