Iran Eyes 7 Petchem Projects by Calendar Yearend

Addressing a ceremony to launch 4 petrochemical projects in Iran’s oil hub Assalouyeh, south of the country, Managing Director of National Petrochemical Company (NPC) Marziyeh Shahdaei said besides these projects 10 others will become operational by the end of the next calendar year. 

She said 40 petrochemical facilities are currently operating at Pars Special Economic Energy Zone (Assalouyeh) and new projects have been defined for completion of the value-chain in the region.

Marziyeh Shahdaei, who is also deputy petroleum minister in petrochemical affairs, said now that new phases of the supergiant South Pars Gas Field have come online, consumption of natural gas as petrochemical feedstock is the number-on priority of the petrochemical sector in the country for production of key petrochemical products.

“Iran is one of the few countries enjoying all petrochemical feedstock in abundance,” she said, adding, “Most of the investments in Iran will be channeled to the petrochemical sector in the future.”

Iran started four petrochemical projects in Assalouyeh, southern Iran, on Sunday: Phase II of Kavian Petrochemical Plant, Takht Jamshid Pars Petrochemical Plant, Entekhab Group Polystyrene Unit and MEG unit of Morvarid Petrochemical Plant.

Phase II of Kavian Petrochemical Plant is the biggest supplier of ethylene in the Middle East and has been built for production of over a million tons of ethylene annually. The unit will feed West Ethylene Pipeline which delivers feedstock to 12 petrochemical plants in western Iranian provinces. 

Fed by ethane recovered from various phases of the supergiant South Pars Gas Field in the Persian Gulf, the facility is constructed with an investment of €200 million and IRR 2,350 billion. It is estimated to sell $950m/y of petrochemicals. 

Financed by €40m and IRR 1,350b, Takht Jamshid Pars will be able to supply 55,000 tons/year of polystyrene once its production hits full tilt. It is estimated to sell $85 million of petrochemicals. 

Polystyrene Unit of Entekhab Industrial Group is financed by nearly $120m and IRR 2,000b and can supply 250,000 of polystyrene annually. It is planned to be fed by 235,000 tons/year of styrene supplied by Pars Petrochemical Plant. The facility will fetch roughly $385m/y for the country by its activities.

MEG Unit of Morvarid Petrochemical Plant is the last project that will come on stream next week by the president. 

Constructed with €170m and IRR 8,900b of investment, the unit will supply 540,000 tons of monoethylene glycol (MEG) and triethylene glycol (TEG) annually.