Petkim Completes Initial Feasibility Study for New Project Involving the Installation of Process Units and Modernization of Facilities

Petkim (IS:PETKM) has completed the initial feasibility study for a new project that includes the establishment of new process units and the modernization of the existing aromatic complex, phthalic anhydride, low-density polyethylene units, and utility facilities. According to the announcement made to the Public Disclosure Platform (KAP), it is aimed to establish new process units (ethylene, polypropylene, high-density/linear low-density polyethylene) and modernize the existing aromatic complex, phthalic anhydride, low-density polyethylene units, and utility facilities, with all necessary approvals obtained after all assessments are completed. This project will be referred to as the "Master Plan."

In this regard, the Company has completed the initial feasibility study. At this stage, it is planned to proceed to the Pre-FEED (Pre-Engineering Design Preparation) phase and then the FEED (Front-End Engineering Design) phase to conduct detailed technical and commercial analysis of the Master Plan. The statement included the following: "Our company also aims to work on (i) project structuring, (ii) various financing and legal alternatives, (iii) identifying necessary steps including investment/financing, and (iv) these matters/steps. Following the completion of these studies and evaluations, the final decision regarding the Master Plan investment will subsequently be submitted to the approval of the Board of Directors and other relevant authorities. In this context, our Board of Directors has decided on: 1. Conducting detailed studies to determine the necessary technical, legal, and financial structure for the implementation of the Master Plan project, evaluating various alternatives, including project management, legal and financial consulting, as well as obtaining consultancy services and signing necessary contracts with relevant firms. 2. Undertaking engineering studies including Pre-FEED and FEED related to the Master Plan and initiating various technical procedures concerning the preliminary steps of the Master Plan, including signing necessary contracts with relevant firms. 3. Evaluating the status of our Chlor-Alkali, MEG, VCM, PTA plants, and if necessary, other plants based on various alternatives as a result of the above studies, determining various options including reassigning personnel working in relevant plants to other tasks, and evaluating options for the potential use or sale of installed equipment and spare parts from these plants in other facilities. 4. Identifying the official permits and other applications required to be undertaken within the scope of the Master Plan, and 5. After completing the aforementioned studies and evaluations, the matter will be re-submitted for the approval of the Board of Directors and other relevant authorities to make the final decision regarding the Master Plan investment." Significant developments regarding this issue will be shared with our investors.