Vienna-based oil and gas company OMV has signed an agreement to sell its OMV Samsun Elektrik Üretim Sanayi ve Ticaret to Yapisan Elektrik Üretim, a subsidiary of Bilgin Enerji.
Image: Samsun gas-fired power plant. Photo courtesy of OMV Aktiengesellschaft.
Financial details of the transaction were not disclosed by the parties. The transaction is subject to approval from Turkish competition council and other Turkish authorities. It is expected to be closed in the fourth quarter of this year.
Samsun Elektrik Üretim runs a gas-fired cycle power plant with a capacity of 890MW, located in Terme, Samsun Province, Turkey. The plant has been operating since 2013.
Bilgin Enerji CEO Tolga Bilgin said: “By acquiring one of the most efficient and flexible gas-powered plants in Turkey, we will have the ability to balance our renewable energy portfolio. Our share in the Turkish electricity market will increase substantially and our total installed capacity will be 1,760 MW.”
Following the completion of the transaction, OMV will continue to have a presence in Turkey with its energy sales and trading business.
OMV downstream executive board member Manfred Leitner said: “The divestment of the Samsun power plant is in line with OMV’s strategy 2025 to further optimize its portfolio. It is the final step in the strategic target to reduce the exposure of the nonintegrated power business.”
Bilgin Enerji has invested in energy generation and preferred only renewable energy investments, particularly in hydroelectric and wind power plants. The company has 397MW in wind energy and 477MW in hydro energy with a total installed power of 874MW under operation.
Power production from its plants accounts for more than 1% of the Turkey’s electricity consumption.
Yapisan, a subsidiary of Bilgin Energy, holds six hydro and two wind power plants.