Iran assigns $3.6 billion to petrochemical sector

Oil&Gas Materials 7 January 2013 12:12

Azerbaijan, Baku, Jan.7 / Trend F.Milad

Iran has allocated 3.6 billion dollars of the National Development Fund to complete 11 petrochemical projects, Abdolhossein Bayat, the managing director of the National Petrochemical Company of Iran, said on Monday.

Bayat went on to note that 17 projects have been introduced to the National Development Fund of which 11 have been approved and six are still under review, the IRNA News Agency reported.

"Once all the Mehre Mandegar projects in the petrochemical sector come on stream, 12 million tons will be added to the country's petrochemical production capacity," he said.

By implementation of the aforementioned projects, Iran's petrochemical production capacity would reach 66 million tons, Bayat added.

According to Bayat, 20 Mehre Mandegar projects are underway in the petrochemical sector of which six projects have made between 90 to 99 per cent progress while the other 11 stand at 50 to 80 per cent.

The Iranian Oil Minister Rostam Qasemi said on December 23, 2012 that the country plans to build 70 new petrochemical production units.

"Once all the units come on stream the nation's installed petrochemical production capacity would reach 100 million tons. The petrochemical sector is one of the most profitable industries in Iran and we can guarantee a 30 per cent interest to the investors," Qasemi said.

According to the minister, the country's installed petrochemical production capacity is currently about 54 million tons.

Iran's total petrochemical products output stood at 27.4 million tons in the first eight months of current Iranian calendar year which began March 20, Ali-Mohammad Bosaqzadeh, an official with the National Petrochemical Company of Iran said.