Acting in line with the principle of Sustainable Energy generation, Turcas has broadened its portfolio to include electricity generation based on renewable energy resources. In this regard, Turcas commissioned a power plant based on geothermal resources with an installed capacity of 18 MW in the Kuyucak district of Aydın province. The Company has been working to further develop this resource reservoir in order to achieve optimum usage of the installed capacity.
The first production well drilling and short-term well-flow tests were completed in November 2014 in the village of Yöre, Kuyucak district, Aydın province, an area covered by the operations license. To boost the number of production well drillings in response to the uncovered potential, the Company successfully completed drilling the second, third, and fourth production wells between December 2014 - November 2015; the fifth production well and the first reinjection well between September - October 2016; the second reinjection well between November - December 2016 and the sixth production well in early 2017. As a result, the Company was granted a power production license for a total of 18 MW in the first phase.
The official provisional acceptance of the plant was approved as 10 MW on 27.10.2017 and as 18 MW, its full capacity, on 07.12.2017 by the Ministry of Energy and Natural Resources. As a result of the applications made upon the approval, Turcas Kuyucak Geothermal Power Generation was added to the structure of YEKDEM (Renewable Energy Support Scheme) on 01.01.2018 for 10 years.
In 2018, a new reinjection well and a production well were opened. This increased the number of production wells to six and reinjection wells to four. The Company also completed drilling works for a new production well in 2019 and successfully put into use a downhole pump to enhance the performance of the one existing production well. Investments continue apace in order to maximize the production capacity of the existing wells.
Turcas increased the Turcas Kuyucak Geothermal Power Generation (TKG). shares from 92% to 100% in 2018. On March 01, 2016, TKG and Türkiye Sınai Kalkınma Bankası A.Ş. (TSKB) signed a signed a 14-year loan contract for cash and/or non-cash loans of EUR 15 Million and USD 40.5 Million and for non-cash loans of TL 10 Million with an interest-only payment period of up to 30 months. This loan was used to finance the investment of the Kuyucak Geothermal Power Generation Plant which required a total of USD 71.25 Million (including financing costs).
In accordance with Turcas Public Disclosure dated on May 02, 2018, the application for a petroleum exploration license made for Map Section No. M22-A within the provincial borders of Denizli was accepted. The “Business and Investment Program” presented by Turcas to the General Directorate of Petroleum Affairs stipulates, for the first phase of the investment, a minimum of USD 2.7 Million which will mainly be used for drilling over a period of five years. In this context, geophysical and geological survey studies have been completed within the framework of the investment plan.
In 2018, the Company carried out gradient drilling in the area covered by an exploration license located in the Gölmarmara district of Manisa province. After completing the necessary steps based on the findings, the Company obtained an operating license. Efforts are underway to develop this area.