Tüpraş: Turkey’s Energy Giant
Tüpraş, only Turkish company operating in refining industry is Turkey’s largest industrial enterprise by its total sales revenue of TL 18,215 million which added a gross value of TL 17,257 million to the country’s national income.
Tüprai is 8th largest in Europe and 30th largest refinery company in the world with 28.1 million tons crude processing capacity and also is one of the major actors in the energy sector of Black Sea and Mediterranean.
Tüpraş had met its targets and recorded a profit of TL 811,297 million in 2009 when most of the petroleum companies made a loss from refinery business. Its sales revenues have risen to TL 11,715 million in the first six months of 2010. It is likely to reach TL 23 million sales revenue at the end of the year, according to the calculations made based on the first half performance.
Tüpraş has 4 refineries in Izmit, Kırıkkale, Izmir, and Batman and 4,155 employees. It owns 40% of OPET, a leading fuel distribution company in Turkey and 80% of Ditaşi the pioneer of petroleum transportation.
Opet, the fastest growing company in its sector is considered to be an important part of the strategy of Tüpraş to expand its service area. The vertical integration started with Opet minimized the long term risks of Tüpraş, while provided support to Tüpraş in its bid to become a global player in the international arean.
Tüpraş, attributes great importance to R&D activities in development of product quality and standards.
In 1961 a public company called İPRAŞ (İstanbul Petrol rafinerisi) was established by American Caltex. The merger of IPRAŞ and 3 other public-owned refineries under TÜPRAŞ in 1983 is a truning point in the company’s development.
The acquisition of PETKIM facilities in Yarımca in 2001 is an important phase of the expansion projects that the refinery sector needed.
Tüpraş served Turkey for a long time as a state economic enterprise until 1990 when its stakes were transferred to the Privatization Administration.
Eventually in the auction on September 12 2005 held by the Privatization Administration for the block sale of 51 % of state owned Tüpraş’s shares was granted to the Koç-Shell Joint Venture Group for 4,14 billion. The share of Shell at the company remains around 2 percent.
BUSINESS TURKEY TODAY