Iran to Launch 15 Petchem Projects in 1403

Iran to Launch 15 Petchem Projects in 1403
(Saturday, May 11, 2024) 23:53

TEHRAN (NIPNA) - The Deputy Minister of Petroleum and CEO of the National Petrochemical Company (NPC) announced plans for the operation of 15 petrochemical projects in the Iranian calendar year 1403, which will increase the total production capacity of the industry to over 100 million tons.

Morteza Shahmirzai made the statement on Saturday, during a press conference on the final day of the twenty-eighth International Oil, Gas, Refining, and Petrochemical Exhibition, congratulating the start of the "Decade of Dignity."

Shahmirzai stated that the past year was a proud one for the petrochemical industry, and the NPC has initiated efforts towards realizing this year's slogan in collaboration with holding companies and petrochemical companies since the beginning of the year.

The CEO of the NPC introduced investment in completing the value chain as a key strategy and added, "If we aim to have a dynamic, sustainable, and forward-looking industry at the global level, we must focus on completing the value chain and expedite the turnaround time for major maintenance of petrochemical complexes and complete unfinished projects to increase production."

He further stated, "This year, the industry's direction will be focused on production growth," and emphasized that industry leaders discussed strategies to achieve this year's slogan in a meeting held on April 9th with CEOs of holding companies, petrochemical complexes, and projects.

Sustainable Production on a Global Scale

Shahmirzai emphasized the priority of feedstock supply for the industry and highlighted the importance of stable and readily available feedstock for petrochemical complexes. He noted that last year, some petrochemical plants operated up to 20% above their capacity, despite the stable production of natural gas.

He continued, "15 petrochemical projects are planned for operation in the year 1403, and the number of Iranian petrochemical complexes will reach 80, with the industry's capacity exceeding 100 million tons by the end of this year."

Regarding energy consumption management, Shahmirzai stated, "Given the excellent gas production in the country, energy consumption management is of paramount importance and requires special attention."

The CEO of the NPC emphasized investment in completing the value chain in the petrochemical industry, particularly in the upstream oil industry and gas storage. He mentioned several investment agreements between petrochemical companies for the development of oil and gas fields with this aim, signed several months ago.

Formulating a 50-Year Vision for the Petrochemical Industry

The CEO highlighted the indigenous production of catalysts used in the oil industry, especially the petrochemical industry, as a strategic priority pursued by the NPC. He stated that this strategic approach, focused on the Petrochemical Research and Technology Company, aims to achieve self-sufficiency in catalyst supply by the end of the thirteenth government term.

Regarding the memorandum of understanding signed with the CEO of IDRO to facilitate the development of the petrochemical industry in energy-rich regions such as Parsian and Lamerd, Shahmirzai stated that these regions are hosting several projects aimed at completing the value chain and will witness the emergence of a new civilization.

Shahmirzai added, "In the Parsian region, 21 projects are underway to complete the methanol value chain, which will ignite growth and prosperity in this region."

The Deputy Minister of Petroleum emphasized that formulating a 50-year vision for the petrochemical industry is a significant step towards completing the value chain in the petrochemical value-added industry. He stressed that with the collaboration of research centers, startups, and various industry stakeholders, the industry is moving towards balanced development.

He added, "Completing the value chain in the petrochemical industry is always emphasized, and with the planning undertaken, we are moving towards this goal in collaboration with holding companies and petrochemical companies."

Shahmirzai announced the introduction of new investment packages and methods in the petrochemical industry in the near future and stated, "It is necessary for holding companies to move in tandem in this direction."

He continued, "Indigenization of technical knowledge is one of the challenges of the petrochemical industry, and significant efforts are being made in this regard."

The Deputy Minister of Oil stressed that the development of liquid feedstock petrochemical complexes is on the agenda of the NPC, and negotiations have been conducted with refineries to ensure sufficient liquid feedstock supply to petrochemical complexes.

Regarding the plan to produce gasoline from methanol, he said, "I believe that the value added from products produced from the end of the methanol chain is more economical, but the nearest solution to prevent crude sales and methanol exports and prevent gasoline imbalance in the country is the implementation of MTG projects."

The CEO of the NPC stated that a 30% discount on feedstock has been considered for implementing MTG projects, and so far, five investors who are themselves methanol producers have expressed readiness to implement these projects.

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