Hürriyet Daily reported that Içdaş, a Turkish iron and steel producer, plans to invest USD 2.5 billion in energy, increasing its capacity further in energy in 2011 and 2012 and will sell surplus energy to the public.

Mr Bülend Engin GM of Çanakkale said that he expects global steel demand to pick up starting from September.

Mr Bülend Engin GM of İçdaş said that the company expects a year end turnover of TRL 3.5 billion this year, despite producing at half capacity. He said that the company has invested USD 4.5 billion in Çanakkale since 2001. Today the city is ranked among the top 10 cities of Turkey.

Mr Engin said that Turkish producers always have to work more than the producers in those countries. We expect demand to increase starting from September. Global steel production stands at 1.45 billion tons annually today, whereas the figure was below 1 billion tonnes until four years ago. The increase owes much to the production hike in China and India. Turkey is ranked as the worlds ninth biggest producer, with 30 million tonnes annually.

He said that İçdaş also plans to produce its ships itself, to save more in imports and exports. Our shipyard currently works with a capacity of 10 percent due to prices. We can actually produce 10 ships at the same time with our workforce, equipment and area, but it is no use producing at a loss.

He added that regarding energy, İçdaş is about to operate a thermal power plant of 1,200 MW which will increase the company’s electricity production capacity to 1,605 MW. Last year we took the first steps in an energy investment totaling USD 2.5 billion. The two phases of the investment will be realized in 2011 and 2012.

The company operated at half capacity last year due to the turmoil in global markets İçdaş employs around 5,000 workers of which 1,500 work for subcontractors.

(Sourced from Hurriyetdailynews.com)