April 18, 2025 [PR Newswire]- Ronesans Holding, one of Turkiye’s largest contracting and investment conglomerates, has closed the financing to progress the development of a major new PP production plant and terminal facility, which will be one of the largest private sector investments in Turkiye.
This landmark undertaking, valued at $2 billion, is expected to boost Turkiye’s industrial self-sufficiency and strengthen its global trade position – reducing the country’s import dependence.
The development is comprised of two distinct components financed separately by international financiers. The first is the PP production plant, being developed by Ronesans and SONATRACH (as a shareholder and feedstock supplier), with an annual production capacity of 472,500 metric tons, meeting roughly 17% of Turkiye’s PP demand.
“This development exemplifies our commitment to sustainable, high-impact investments that support Turkiye’s economic and industrial ambitions,” said Erman Ilıcak, Honorary President of Ronesans Holding. “The Ceyhan PP Plant will not only bring hundreds of new jobs to the region but also secure a more resilient and competitive supply chain for PP, a vital raw material for industries across Turkiye and Europe. Furthermore, the fact that the project is fully financed by foreign resources highlights our ability to attract international investment, strengthening both foreign financing and FDI inflows into Turkiye.”
In this regard, Rachid Hachichi, CEO of SONATRACH also stated as follows: “The decision to invest in Turkiye is mainly driven by the dynamic and expanding market demand for PP. This location proves to be ideal considering its well-established and constantly evolving industry. In-depth studies reveal favourable economic prospects and promising profitability indicators.”
The second component is the terminal facility, which will be developed in partnership with Stolt-Nielsen’s global bulk liquid storage business, Stolthaven Terminals, and provide jetty and feedstock storage services for the new plant and other possible future customers.
Guy Bessant, President of Stolthaven Terminals, added: “We are pleased to partner with Ronesans Holding on this landmark project. Stolthaven Terminals has more than 50 years’ experience in the safe and efficient handling and storage of bulk liquids and gases, and proven expertise in developing complex and large-scale storage projects. This terminal will not only provide storage for the Ceyhan PP Plant but is also part of the DAPEK Industrial Zone which, in future, could provide storage and logistics solutions for local and international companies looking for distribution services in the region.”
Strong Partnerships and Sustainable Practices
The two projects will use environmentally advanced technology to ensure production efficiency and sustainability. The PP production plant aims to achieve the world’s lowest GHG emissions per tonne of PP produced globally, benefiting from 100% renewable electricity and high-efficiency production methods.
The projects have collectively attracted strong international financial backing with a loan package totalling $1.3 billion from international financiers, including, for the production plant, the U.S. International Development Finance Corporation (DFC) together with a consortium of international commercial lenders under Cesce coverage, including ING (also acting as Global Coordinator and Documentation Bank), BBVA, Denizbank AG – Austria, DZ BANK and TAEF (formerly Apicorp), with Deutsche Bank as Cesce Facility Agent and, for the Terminal, ING and BBVA under Cesce coverage along with Vakıfbank as commercial lender.
Economic Impact and Commitment to Regional Development
Turkiye is one of the world’s largest PP importers, with demand led by key sectors including automotive, textiles and packaging. Currently, the total annual PP consumption in Turkiye is approximately 2.7 million metric tons, with domestic production able to supply only around 100,000 metric tons of material to the market.
The Ceyhan PP production plant will be strategically located within Turkiye’s DAPEK Industrial Zone, providing logistical and financial advantages that are set to support the local economy and reduce Turkiye’s trade deficit by approximately $300 million annually. The project is expected to create 4,500 construction jobs at its peak and provide 300 permanent jobs once operational.
Aligned with Ronesans Holding’s core values, the project includes initiatives to enhance local skills and employment opportunities. Programmes, including a welding school established for the plant, will support education and skill-building within the region, bringing long-term benefits to the Ceyhan community and contributing to Turkiye’s socio-economic development.
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