[CONSOLIDATION_METHOD_TITLE] [CONSOLIDATION_METHOD]
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Material Event Disclosure General
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Hayır (No)
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04.09.2024
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Explanations
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As is well known, railway transportation, the main area of activity of our company, has recently attracted increasing attention as a reliable transportation alternative due to its environmentally friendly and cost-effective nature.

As can be seen from the Transportation and Logistics Master Plan and other statements by the Ministry, the amount of domestic cargo transported by rail is currently at 38 million tons per year, accounting for a 5% share of the total transported cargo. However, it is targeted to increase this to 146 million tons by 2029 and to 306 million tons with a 20% share by 2035. In this context, it is expressed that the length of the feeder railway connection lines that will deliver products to the national railway network will be increased from the current 439 km to 654 km by 2028. This will provide connections to logistics centers, factories, industrial zones, organized industrial zones (OSBs), and ports, enabling the shift of cargo from road to rail, and promoting environmentally friendly, sustainable green logistics and transportation.

As a holder of the Green Logistics Certificate, our company would like to share a step in its activities aligned with this goal with our investors. While large packaged products of a soda producer located in K.Kazan, Ankara, are currently transported by trucks from K.Kazan to the ports of Kocaeli-Derince, our company has now commenced the transportation of a portion of the annual 300,000-ton load by rail. In this context, our company has initially transported 60 containers and 1,500 tons of natural soda ash by rail from K.Kazan to Dubai Port and Evyap ports. This intermodal transportation involved 471 km of rail, 80 km of road, and subsequent sea transportation.

It is estimated that our company will reach an annual capacity of 100,000 tons for this project. Additionally, it is anticipated that the bulk natural soda ash transportation of 3 million tons per year, which is currently being handled by hundreds of specialized trucks from K.Kazan to Derince Port, will gradually be shifted to rail once the silo-based container production process is completed.

As mentioned above, with the increase in the capacity of railway connection roads and feeder lines, and the completion of new feeder lines, it is expected that rail transportation will become easier, costs will decrease, and volumes will quickly reach the desired levels.

This process, which we can define as lightening the load on highways, offers economic and social benefits and is important for a sustainable future that is environmentally conscious. By shifting transportation to a single train, we save the fossil fuel consumed by 30 trucks, and prevent the emissions that would otherwise be produced. In fact, electric locomotives are used in our rail transportation, minimizing carbon emissions.

Our company's activities to reduce road traffic and carbon emissions are also aligned with the European Union's Green Deal, which encourages rail transportation. Sustainability, social responsibility, environmental awareness, and the Green Deal have now become critical criteria for all corporate companies. With both global regulations becoming increasingly stringent and sustainability awareness rising, we foresee that the growing interest in rail transportation will continue to increase in the coming period.

We present this information to our investors and the public.

This statement has been translated into English for informational purposes. In case of a discrepancy between the Turkish and the English versions of this disclosure statement, the Turkish version shall prevail.