IFC approves $90 million green loan to support Assan Alüminyum’s move towards sustainability

Assan Alüminyum, a leading manufacturer of flat-rolled aluminium, is committed to reducing its carbon footprint and achieving sustainable growth. As part of this commitment, the company has embarked on a multi-year investment program, supported by a $90 million green loan from IFC (International Finance Corporation). A subsidiary of the Kibar Group, Assan Alüminyum plans to implement a series of sustainable technologies to enhance efficiency and environmental responsibility.

About the investment program

The investment program includes the installation of a state-of-the-art, energy-efficient cold rolling line alongside new continuous casting lines and upgraded filtration systems for both new and existing operations. These investments are designed to modernize production processes, increase the use of renewable energy sources, and expand the utilization of scrap aluminium in manufacturing.

Assan Alüminyum aims to boost its total annual production capacity by 60,000 tonnes upon completion of the program. This ambitious plan will position the company to have the highest continuous casting capacity in Europe and the Americas, setting new standards for sustainable aluminium production in the industry.

"We believe that aluminium holds a special place in the transition to a more sustainable future. Therefore, despite challenging market conditions, we will continue to invest in sustainable expansion. Sustainability is one of our core values at Assan Alüminyum, among reliability, flexibility and innovation. We are therefore fully committed to making our future plans in line with global sustainability principles and our sustainability motto of 'producing the future, without wasting it'. Our goal is to lead the way in sustainability-driven activities and initiatives across our industry," said Göksal Güngör, the General Manager of Assan Alüminyum.

Last year, Assan Alüminyum secured a $90 million green loan from IFC, a vital component of the company's strategy for sustainable growth. Before obtaining this green financing, Assan Alüminyum developed a robust green finance framework, aligning with the Green Loan Principles and Bond Principles. This framework outlines clear and measurable objectives, enabling the company to access green financing tools to support its expansion efforts.

The funding from IFC perfectly matched Assan Alüminyum's green finance framework, marking a significant milestone in the company's sustainability journey. This investment represents a 100 per cent climate-focused commitment, reinforcing Assan Alüminyum's dedication to reducing its environmental impact while advancing its production capabilities.