Koç Trade Inc. (Koçtaş) was one of the biggest companies doing rebar business in 1950s and in those times rebar demand was supplied with imported steel products.
However, because of the foreign currency bottleneck rising after 1953 and of increasing number of quota requirements, the importation of rebar product become difficult.
Instead of direct importation, a system called provisory exportation was adopted which was carried out by exporting iron ore and importing refined steel products in return. Koçtaş resolved to initiate iron ore mining in order to sustain its steel sale.
Therefore, an association between Koçtaş and Tetico Technic Trade Co. was affiliated to our group in 1955 and equity of 500.000 Turkish Liras was allocated to extract iron ore, export it and import refined iron products into the country.
Afterwards, Sivas Çetinkaya and Otlukilise iron ore fields were taken over.
The name of the company was amended on 19.02.1958 as Demir Export Ltd. Şti.
It was after the year 1960 when the product importation with temporary exportation was halted and a special agreement was entered into with Ereğli Demir ÇelikFabrikaları T.A.Ş. (Erdemir) having started its operations in 1962 in order to perform an iron ore sale in a quantity of 80.000 tons for the first time.
This first agreement has a significant importance for Demir Export Limited Şirket.
Following such first trial batch, agreements covering 2.115.000 in total for a lengthy period of 7 years were executed for iron fields, namely Çetinkaya and Otlukilise, in July 1963.
The business form of Demir Export Ltd. Şti. was transformed into a joint stock company on 24.06.1968.
Members of First Board of Directors were appointed as follows;
Mr. Vehbi Koç,
Mr. Fazıl Öziş,
Mr. Hulki Alisbah,
Mr. Ziya Bengü and
Based upon the machinery owned by the Company, contracting works in the mining sector was one of the new business opportunities in which an investment would be made and in 1969, the first initiative in such field was taken through the stripping work of 500.000 m3 undertaken in the DivriğiAKafa field of Turkish Iron and Steel Facilities. In the ensuing years, the Company increased its capacity of contracting up to 1.500.000 m3 annually.
Operation was initiated in the field of lead, zinc and copper mining which all are expressed as base metals through the takeover of lead-zinc license field, namely Giresun, Tirebolu, Harşit, Köprübaşı. Owing to exhaustion of economic reserve, the operation in such field was finalized in 1994.
Later on, the Company commenced lead-zinc concentrate production in Harköy and copper concentrate production in Killik and Lahanos under the royalty agreement entered into with Karadeniz Copper Facilities which owns various license fields within the Eastern Black Sea Region.
The operation on the foregoing fields was ceased due to exhaustion of economic reserves.
In year 1978 and 1979, the mining fields owned by our Company were expropriated under the Nationalization Law No. 2172 and transferred to Turkish Iron and Steel Facilities and the authority for operating the fields was vested with Erdemir based upon a protocol. Our Company began to work as a contractor in such fields under 2-year contracts and such fields were then returned to our Company.
With the agreement executed with TEAŞ (TEK) under privatization, an undertaking was assumed pertaining to coal production of Kangal Thermal Power Plant, one of the milestones, in the history of the Company.
The contract commenced in 1989 lasted for 23 years until it expired in 2012. Further to the privatization of Kangal Thermal Plant and Coal Field in 2013, our Company re-assumed the coal production in the field for Kangal TermikSantralElektrik A.Ş. From 1989 up until now, the coal production volume reached to 114 Million ton in total and number of stripping operations is 424 Million.
Our Company initiated the production of chrome ore in 2001 in Bursa Harmancık District following the exploration and preparation surveys conducted. The activities of production of chrome ore was concluded as of 2016.
International production activities were also started through the commissioning of crushed stone units in Emirate of Ras Al Khaimah and of Fujairah.
Our enterprise located in the Emirate of Fujairah was transferred in 2008. Moreover, the production activities of our enterprise registered in the Emirate of Ras Al Khaimah were ceased.
Copper ore and concentrate production was initiated in Lahanos Underground mining and flotation facility.
Lahanos Mining Facility, registered in Espiye county of Giresun province and started production in 1992, suspended production between 1997 and 2006 owing to low prices prevailing in the metal markets. The production was resumed relying upon the price increase in 2006.
The annual production capacity is 15.000 tons of copper concentrate and the facility realized concentrate production over 137.500 tons in total. The royalty agreement expired in 2014 and the license of Lahanos Underground Mining Facilities was transferred to the company.
Demir Export – Fernasİnşaat Joint Venture awarded the EynezDoğu Underground Coal Production Tender of Turkish Coal Enterprise.
İspir (Cu, Zn and Mo) license was awarded under MİGEM tender.
İvrindi (Au) License was awarded under MİGEM tender and prospection and Geochemistry surveys were already initiated.
The investment was started in respect of Bakırtepe Gold Mine Project further to provision of “EIA positive” report.
Ferrocom Madencilik Sanayi ve Ticaret was acquired and Taşlıtepe Demir Madeni affiliated to such company continued with the production.
Drilling works were commenced in Erzurum-İspir high-grade skarn mineralization discovered within İspir license obtained in 2012 by our Company from General Directorate of Mineral Research and Exploration.
Taşlıtepe iron ore reserve of 2.7 Million tons was enhanced to 10.2 Million tons through drilling activities. Furthermore, a new mineral enrichment facility with a capacity of 500 tons/hour was commissioned within the site.
Exploration drilling works were commenced in İvrindi (Au) Project.
The first fully automated production leg was commissioned in Eynez Doğu Underground Coal Facility for which the preparation works were completed.
Bakırtepe Gold Mine installation works were commenced in the month of July and the facility was commissioned in December.
The source model was prepared in conformance to JORC standards in Erzurum – İspir high-grade skarn mineralization. Environmental and Social Impact assessment studies were concluded. The operation license was obtained from the General Directorate of Mining Works and EIA Positive certificate was submitted for the approval of the Ministry of Environment and Urbanization.
First dore casting was performed in Bakırtepe Gold Mine.
The second fully automated production leg was commissioned in Eynez Doğu Underground Coal Facility and production was commenced at full capacity.
In Eynez Doğu Underground Coal Facility in the 3rd year of operation, the production of first 3 panels were completed. The production and preparations are ongoing at full thrust progressively in panels M2 and M6.
The construction of cells 3 and 4 were completed in heap leach area in Bakırtepe Gold Mine and reserve development drilling was started throughout the field.
TKI was divided Eynez Basininto 3 licenses and has been awarded the tender with the license transfer method. Production rights of the field numbered 4 with 70 million tons of reserves are exported to Demir Export A.Ş. - Fernas İnşaat A.Ş. partnership.
Demir Export A.Ş. - Fernas İnşaat A.Ş.ordinary business partnership established.
Demir Export's first international standard feasibility study was started for Ispir Copper-Zinc Project.