Phase I of Hengam Petchem Plant Inaugurated by Acting President

Phase I of Hengam Petchem Plant Inaugurated by Acting President
(Wednesday, June 26, 2024) 11:15

TEHRAN (NIPNA) - The first phase of the Hengam Petrochemical Plant, featuring an ammonia unit with an annual production capacity of 725,000 tons, was officially inaugurated on Monday.

The project, with an investment of $328 million, was launched by Acting President Mohammad Mokhber during a virtual ceremony attended by Petroleum Minister Javad Owji, Deputy Petroleum Minister and NPC CEO Morteza Shahmirzaei, and the CEO of Persian Gulf Petrochemical Industries Company.

Established in 2007 on a 25-hectare site in Phase 2 of the South Pars Special Economic Energy Zone, Hengam Petrochemical had 99.31% of its shares owned by the Persian Gulf Petrochemical Industries Company until 2019. These shares were auctioned to Nouri Petrochemical Company to expedite the project's financing and progress.

The Engineering, Procurement, and Construction (EPC) contract for the Hengam project was awarded to the Iranian company Petrochemical Industries Design and Engineering Company (PIDEC). For the first time, the primary reformer was designed and manufactured by this company. All required catalysts were supplied by two Iranian knowledge-based companies, Serv and Khwarizmi, utilizing maximum domestic capabilities. Initially, the EPCC contract stipulated that 11% of the equipment should be domestically produced, but this figure increased to 27.5%, demonstrating a 2.5-fold increase over the original agreement.

Hengam Petrochemical benefits from direct access to open waters and a dedicated export dock. The plant uses natural gas as its feedstock, with fuel gas supplied by Damavand Petrochemical Company. The ammonia unit, under the license of Haldor Topsoe from Denmark, has an annual production capacity of 725,000 tons. Additionally, the urea production unit, under the license of Saipem from Italy, has a capacity of 1,155,000 tons per year, with a total project investment of €538 million.

Once fully operational, Hengam Petrochemical will directly employ 800 individuals and indirectly create 2,000 jobs, with 52% of the workforce being recruited from the local area. The main shareholders are Nouri Petrochemical Company with 99.31%, Popok Indonesia with 0.63%, and Petrochemical Investment Company with 0.06%.

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