HOUSTON, TEXAS (Editors at Energy Analytics Institute, 17.Apr.2025) — Rönesans Holding closed financing of $2bn to progress the development of a major new polypropylene production plant and terminal facility, which will be one of the largest private sector investments in Türkiye.
The development — comprised of 2 distinct components financed separately by international financiers — expected to boost Türkiye’s industrial self-sufficiency and strengthen its global trade position — reducing the country’s import dependence.
The first is the polypropylene production plant, being developed by Rönesans and SONATRACH (as a shareholder and feedstock supplier), with an annual production capacity of 472,500 metric tons, meeting roughly 17% of Türkiye’s polypropylene demand, Rönesans announced on 17 Apr. 2025 in an official statement.
“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 polypropylene, a vital raw material for industries across Türkiye 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 Türkiye,” Rönesans honorary president Erman Ilıcak said in the statement.
The second 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.
Strong partnerships
The 2 projects will use environmentally advanced technology to ensure production efficiency and sustainability. The polypropylene production plant aims to achieve the world’s lowest GHG emissions per tonne of polypropylene produced globally, benefiting from 100% renewable electricity and high-efficiency production methods.
The projects have collectively attracted strong international financial backing with a $1.3bn loan package from international financiers, including, for the production plant, the US 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
Türkiye is one of the world’s largest polypropylene importers, with demand led by key sectors including automotive, textiles and packaging. Currently, the total annual polypropylene consumption in Türkiye 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 polypropylene production plant will be strategically located within Türkiye’s DAPEK industrial zone, providing logistical and financial advantages that are set to support the local economy and reduce Türkiye’s trade deficit by $300mn annually. The project is expected to create 4,500 construction jobs at its peak and provide 300 permanent jobs once operational.
Aligned with Rönesans’ core values, the project includes initiatives to enhance local skills and employment opportunities. Programs, 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 Türkiye’s socio-economic development.
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By Editors at Energy Analytics Institute. © 2025 Energy Analytics Institute (EAI). All Rights Reserved.
