Page 17 - DMEA Week 07 2021

DMEA NEWS IN BRIEF DMEA

until the end of 2022, according to IHS Seventeen injured people were taken refineries.
Markit. Petrochemical products such as to hospital and the number of casualties In December, the head of Tupras’ only
polypropylene are used for a variety of could rise, said Mohammed Raffia Shiraz a local peer, STAR Refinery controlled by
applications, including textiles, consumer spokesman for Herat’s health department. Azerbaijan’s SOCAR, Anar Mamadov, said
product packaging and plastic parts for a Press TV noted that Iran is a major that the refinery was aiming to increase
wide range of industries. supplier of goods to Afghanistan and that its oil refining volume by 6% y/y to 11mn
Majority state-owned SIDPEC is Egypt’s the terminals are often packed with fuel tonnes in 2021 from 10.4mn tonnes in 2020.
flagship petrochemicals producer and is tankers. Koc Holding, Turkey’s largest
listed on the Egyptian Stock Exchange. conglomerate, controls 51% of Tupras via
subsidiaries. The remaining 49% is free-
Istanbul listed refiner float. Turkey’s privatisation administration
Dozens injured after ‘gas Tupras posts first annual has one golden share.
At end-2019, Norway’s wealth fund had a
tanker explosion by Iran- loss in two decades’ 1.02% stake in Tupras, down from 1.16% at
end-2018.
Afghanistan border causes Istanbul-listed Tupras (TUPRS), Turkey’s BlackRock and Lazard Asset Management
In February and May 2020, respectively,
hundreds of vehicles to largest company by turnover, has posted informed public disclosure platform KAP
that their stakes in Tupras had fallen below
a Turkish lira (TRY) 2.49bn ($335mn)
burst into flames’ net loss for 2020, the refiner’s first annual the 5% threshold for disclosure.
loss in more than two decades, it said on
Dozens of people were injured and more February 11 in a stock exchange filing. Tupras has a 40% stake in Opet, Turkey’s
than 500 fuel trucks and other vehicles The loss was due to a 29% y/y decline second-largest fuel retailer..
burst into flames in a massive blaze in revenues to TRY63bn. As a result, the
that tore through a customs post in company’s gross profit declined 64% y/y to
Afghanistan close to the Iranian border on TRY2bn, some TRY619mn lower than its Turkey’s Sasa signs
the afternoon of February 13. operating expenses.
Initial reports said that the blaze started The 15% y/y increase in net financial engineering agreement
after a gas tanker exploded, but some later expenses to TRY3bn also contributed the
reports quoted officials as saying that the loss. with Tecnicas Reunidas for
cause was not immediately clear. Production was down 17% y/y to 23mn
Iran sent fire engines and ambulances tonnes with sales falling 16% y/y to 25mn $935mn investment
across the border, while scores of locals tonnes in 2020.
fought the blaze in the border town of Islam In April, the company lowered its Turkish specialty polymers and chemicals
Qala before it was brought under control, production expectation for 2020 from manufacturer Sasa has inked an
Reuters reported. 28mn tonnes to 24mn and slashed its sales engineering, procurement and installation
Waheed Qatali, governor of the western estimate from 29mn to 25mn. services agreement with Tecnicas Reunidas
province of Herat, told reporters that In October, Tupras again revised its for its planned purified terephthalic acid
Iranian authorities and Nato-led personnel production target for 2020, taking it down (PTA) production facility.
in Afghanistan were asked for assistance to 22mn tonnes. It adjusted its sales target The facility will cost some $935mn and
to help contain the fire, which damaged to 23mn tonnes at the same time. have an annual production capacity of
electricity infrastructure, leaving much of Also in October, Fitch Ratings 1.5mn tonnes.
Herat’s capital city without power. downgraded Tupras by one notch to B+/ The plant is expected to become
A Western official monitoring the Negative, four notches below investment operational in February 2023, Sasa said in a
situation told Reuters at least 60 people had grade and one notch below Turkey’s statement.
been injured. Afghan officials gave a lower sovereign rating. Sasa, in operation in the polyester
casualty toll, but said that number could Moody’s Investors Service sees Tupras at sector for 55 years, produces polyester
rise. B2/Negative, five notches below investment staple fibres, polyester-based and specialty
The blaze caused tens of millions of grade, in line with the sovereign rating of polymers and intermediates (DMT) and
dollars of damage after more than 300 Turkey. filament yarns.
vehicles carrying gas, diesel and gasoline The company is targeting 26-27mn
exploded, Hossein Akhundzadeh, a regional tonnes of production and sales for 2021.
Iranian trade official, told Iran’s semi-official Tupras has an annual production
news agency ISNA. capacity of 30mn tonnes across its four

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