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In our public disclosure dated 25.05.2023, we stated that we have decided to carry out a feasibility study for the 24 MW geothermal power plant investment as the first phase in the geothermal license area located in Aydın province, Kuyucak District, belonging to our subsidiary Kocaer Enerji.
Seismic and MT data obtained as a result of the feasibility studies support the investments we will make in the license area. In parallel with these data, it was decided to start drilling operations with the decision of our Board of Directors dated 21.11.2023. It is planned to invest in a 24 MW geothermal power plant as the 1st Phase of the investment. Within the scope of the hybrid solar energy license, a solar power plant investment is also being designed as a second energy source for the geothermal power plant's own internal consumption. After this capacity, approximately 20% of the electrical energy we will obtain is expected to meet the entire current electricity need of Kocaer Çelik while the remaining 80% will be sold to the Electricity Market Renewable Energy Resources Support Mechanism (YEKDEM) for 15 years in dollar terms.
In parallel with the advanced studies to be obtained, other phases of the investments will be started.
In order to strengthen our position as a leading company in green production in the iron and steel industry, with this investment focused on ESG ("Environmental, Social and Corporate Governance") in the field of sustainable energy investments, we will increase our electricity production capacity significantly in the energy sector, which we have chosen as a strategic growth area in terms of renewable resources. We aim to achieve a diversified, strong renewable energy portfolio.
It is announced to the public with respect.
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