Invested more than $500 million. How Onur Group supports the economy of Ukraine during the war

The international company Onur Group has long been known all over the world. The company signed many different contracts in 10 different countries. Its specialists built tunnels in Turkey, a runway at the airport in Tunisia, roads in Moldova, tram tracks in Lviv, sections of the Kyiv-Dnipro-Reshetylivka and Kharkiv-Dovzhansky highways. In total, Onur Group has built more than 8,000 kilometers of roads and ranks 82nd in the ranking of the world’s 250 largest contractors according to the ENR 2022 international edition.

The company deals not only with infrastructure projects, but also invests in other sectors of the economy. Such as agribusiness, green energy, mining, building materials production, woodworking, logistics, tourism and hospitality. Emre Karaahmetoglu, chief coordinator of Onur Group Ukraine, told how Onur Group works in Ukraine and how the company’s strategy changed after the start of the war.

– Onur Group Ukraine is one of the three largest road construction contractors in Ukraine. Due to the war, 90% of the works have been stopped and probably the situation will not change until the end of hostilities. What projects do they intend to focus on this year?

– The war made adjustments to our road construction plans. And we had a lot of them, as well as signed contracts. Unfortunately, most of the works have been suspended due to the war, but we still managed to complete some projects.

For example, this is the reconstruction of sections of the highway Kyiv – Kharkiv – Dovzhanskyi and Stryi – Ternopil – Kropyvnytskyi – Znamyanka, which were carried out with the funds of the World Bank. We are also engaged in the construction of several bridges in the Lviv and Kyiv regions. Among them is the Irpin Bridge.

– This is a tragically famous object…

– So. Last year, we worked on the documentation and started building a new bridge, which we plan to complete by the end of August.

Also last year, our company signed a contract with Ukravtodor for the construction of three bridges in the Kyiv region, which were destroyed after the war began. This is a very important project and it is financed by the British export credit agency UK EXPORT FINANCE. We will start work in April, and we plan to finish it by the end of November.

We take an active part in the restoration of the infrastructure of the de-occupied territories. Last year, our crews and equipment were among the first to work in the liberated territories of Kharkiv and Kherson regions, repairing roads and bridges. Thanks to this, ambulances and military equipment were able to move faster.

– As soon as the Armed Forces go on a counteroffensive and liberate part of the territories of Ukraine, Onur Group will immediately undertake the restoration of the road infrastructure?

– So. According to this scheme, we worked in the Kharkiv and Kherson regions. We also build structures to protect electrical substations from missile or drone attacks.

Promising directions for work in Ukraine

– Earlier, you said that you did not fire workers after the start of the war. Did the company have to refocus on other projects?

– Onur Group has more than 3,000 specialists. And we haven’t had any layoffs, we also have new vacancies. Now we are engaged in project work, repair and maintenance of equipment, we must be ready to start with new projects at any moment.

For example, they have already signed contracts for works in Kyiv, Lviv, Lviv and Poltava regions.

Onur Group is a group of companies operating in 9 different sectors of the economy. The field of construction and engineering in Ukraine is handled by the Onur Construction International firm and the representative office of Onur Taahhut Tashimajilik Inshaat of the Turkish head office.

– Onur Group does not only build roads. The company operates in nine different industries: development, mining, woodworking, building materials, agribusiness and even renewable energy. Which of these directions do you consider the most promising for development in Ukraine?

– We consider all our areas of work in Ukraine to be promising. Even more, we continue to develop them, despite the continuation of hostilities.

Currently, Onur Group is more than 40 companies operating in 9 sectors of the economy. I believe that it is very important to invest in Ukraine right now and thereby strengthen the economy and create new jobs. As for important areas now, we are, for example, increasing the capacity of the concrete unit, which will make it possible to carry out more work necessary for the reconstruction of Ukraine’s infrastructure after the end of the war. We invest in renewable energy sources, we already have a capacity of 150 MW. We are planning to develop a new project in Zakarpattia region.

– How much do you plan to invest in this project?

– We intend to build wind generators with a capacity of 120 MW, which will cost us $150 million. We plan to implement this project in two years, and thanks to this, our total capacity will increase to 270 MW.

Our other divisions are also performing well. For example, the products of our woodworking enterprise are exported to 17 countries around the world. And the volume of orders from EU countries and Turkey is growing.

We consider our agricultural division to be promising. Last year, due to problems with logistics, producers had difficulties with sales, but after the opening of the “grain corridor”, the situation improved. This direction is one of the most promising for Ukraine.

– Are you planning to expand the land bank?

– We currently cultivate approximately 5,000 hectares, perhaps we will increase our land bank to 10,000 hectares. And we are also thinking about opening our own company. But there is no exact plan at the moment.

He is interested in mining iron ore, copper, gold

– In Ukraine, Onur Group received permission to extract primary kaolin, sand, and gold. The company also received a special permit for the mining of graphite ore at the Burtinsky deposit in the Khmelnytskyi region and plans to invest about $50 million in this project. When will development of the deposit begin and where do you plan to supply graphite?

– We have licenses to extract kaolin in the Dnipropetrovsk region, but, unfortunately, this region is now dangerous, so work there has been temporarily suspended.

In order to extract graphite ore in the Khmelnytskyi region, it is necessary to issue a permit, which will take another year and a half.

The total investment in this project will be about $200 million, of which $50 million is only in the first stage. Graphite is a very necessary material.

We are convinced that investments in this industry open up huge opportunities for the region – in particular, new jobs are created, large taxes are paid, it provides an opportunity for the development of the infrastructure of territorial communities.

– Do you plan to develop other deposits?

– So. We are interested in mining iron ore, copper, gold. But there are currently no concrete plans.

– Under what conditions will Onur Group start developing its development projects in Ukraine – building housing, renovating hotel complexes and opening restaurants?

– We have many such projects in the west of Ukraine, most of them in the Lviv region.

Among them is a hotel complex with apartments and conference halls. We have all the documentation ready for the implementation of this project, and we already started it before the war. But then they froze. Perhaps we will resume work in the summer.

– How much did the company invest in the economy of Ukraine?

– If we talk about all our directions, then we are talking about more than $500 million.

Ukraine will win and return all its territories

– Military experts predict that the war may end next year with a probable victory for Ukraine. Do you set yourself the task of being ready to work at full capacity by this moment?

– Onur Group is a large company, we have many opportunities, we have our own equipment and a team of professionals. We value our employees.

I have no doubts that Ukraine will win and return all its territories. The only question is how long it takes. After the victory, large investments will come to the country, large programs for the restoration of the country’s infrastructure will be implemented. We know how to help restore Ukraine faster. As an international company, we communicate with various investment groups and are ready to jointly implement projects.

– Business representatives talk about improving the consumer attitudes of Ukrainians and businesses. Do you notice this trend?

– So. I have not left Ukraine since the beginning of the war and I see that little has changed in Lviv – Ukrainians continue to work. At one time, Kyiv was emptied, then the citizens returned, and now the city is alive – employees go to work, restaurants are open, business is in full swing. And this is good. I don’t know of any example in the world when people would be so used to the threat and would still go about their business and work.

Helping society and the Armed Forces

– About 30% of Ukraine’s infrastructure was damaged by Russian aggression. How long does it take to restore Ukraine?

– This is a very large amount of work. Before implementing such large-scale projects, I would recommend predicting all possible risks and protecting objects important to Ukraine from missile attacks or drones. Maybe some of them need to be placed underground. It is more expensive, but also much safer.

There are many companies in Ukraine, so all facilities can be rebuilt in a few years. Western partners will also be involved in this process.

– Are there technologies that make it possible to protect strategic objects from missile attacks?

– Yes, it is possible to minimize risks. Such strategically important places are of great importance for national security. Therefore, the Government of Ukraine is developing new projects to guarantee maximum security of strategically important infrastructure in the event of such threats. The war taught us a great lesson and we must make sure that such destruction does not happen in the future. In other countries of the world, such technologies are used, but they are rarely used.

– Onur Group helps Ukrainians and the country a lot: it provides scholarships for talented students, organized the TOUR de ONUR bicycle race, which unites young active people from all over the country. How did your community support programs change after the war? Which of them do you intend to focus on this year?

– Onur Group pays great attention to corporate social responsibility programs. Last year we had to give up the TOUR de ONUR cycle race, but we will resume it immediately after the end of the war. Now we provide humanitarian aid to hospitals in Kyiv and Lviv, we help the Armed Forces. For example, 120 units of our equipment were transferred to the front line. We support society, provided housing for more than 600 internally displaced Ukrainians, and for several months the company provided them with food and everything they needed.

We also help hospitals and doctors. Our company renovated and technically equipped the branch in Lviv, the main office of the company operates in this city. We also handed over a powerful generator to a hospital in Kherson. We understand that Ukraine is currently going through the most difficult period since the country’s independence, and we are ready to lend a helping hand.