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IPF Exclusive / May 2003


Fifth Iran Petrochemical Forum | Summit 2003

A
Mammoth
Project

Iran’s first-ever centralized utility plant was inaugurated.

The light and lifeline of the PETZONE

As the first and the largest successful centralized utility project experienced in the country, this great $500 million project for was constructed in around 3 years.

Iran will witness a twofold increase in the production capacity of petrochemicals by 2005, when the third five-year economic development plan will come to an end. The share of the country’s industrial sector in the gross domestic product (GDP) will increase from 17% in 2000 (the start of the third plan) to 23.5% in 2005. This will in itself serve as a huge market for intermediate industrial products, particularly, petrochemicals. Iran’s flourishing petrochemical industry will in turn play a central role in this process.

Iran enjoys a considerable share of the oil reserves of the Middle East and the world (14% and 9% respectively), as well as 26% of the regions gas reserves (the equivalent to 16% of reserves worldwide). Furthermore, Iran boasts an abundance of energy reserves, skilled labor and educated human resources which are believed to facilitate foreign investment. Iran enjoys high manufacturing capacities, adequate infrastructure, and access to regional markets. These facts and figures indicate that the country is resolute in increasing its share of petrochemical production and export. In 2000, Iran’s share of petrochemical capacities in the world market was no more than 0.5% and plans have been made to boost this figure to more than 2% by 2005. Moreover, the strategic location of Iran provides foreign investors with the advantage of accessing markets in the region.

Seyed Morteza Sanaie,
FPC Managing Director

A mammoth project was brought on-stream in Bandar Imam Khomeini Special Petrochemical Trade Zone (PETZONE), inline with expanding the petrochemical industry and coinciding with the fifth gathering of the leaders of the petrochemical industry in Iran Petrochemical Forum (IPF). The Fajr Petrochemical Company (FPC) and the National Petrochemical Company (NPC) opened Iran’s first-ever centralized utility plant. This plant is truly the heart of the PETZONE, pumping water and electricity –the lifeline of economic development– throughout the entire zone.

It is worth noting that if it were not for the on-time completion of the Fajr utility plant, none of the projects in the 2,000 hectare PETZONE would be able to commence production. The fact that the Fajr project was completed on time and at a relatively low price is a testimony to the fact that Iranian and foreign companies can work together and that they have gained immense capabilities in accepting and efficiently completing major industrial projects. The Fajr utility plant is indeed an indispensable part of the PETZONE, which was established to develop the region’s trade and industry (particularly petrochemical) and to serve regional and national interests, employ hi-tech and generate vacancies.

The PETZONE is linked to Turkey, Europe and the Central Asia by rail and is located in the vicinity of the gigantic petrochemical plants of Bandar-e Imam, Razi and Farabi. Situated in the middle of oil fields, the PETZONE is located within easy reach of oil and gas reserves and international shipping routes. So far nine petrochemical companies and 42 entrepreneurs from the private sector have made their way into the zone. 85% of the construction process of the infrastructure installations and facilities undertaken by the PETZONE has so far been finalized. Some 50 primary petrochemical products will soon be developed in the zone.

In order to make optimum use of infrastructural potentialities and to reduce the volume of capital investment, the Fajr centralized utility project was approved and established in 1998.

The Fajr Petrochemical Company, under the leadership of its Managing Director, Seyed Morteza Sanaie, started implementing the projects in the beginning of 1999. As construction activities and installation of different units and equipment were carried on, the project gradually commenced operation by February 2002. The project has been providing utilities to the processing complexes of the PETZONE as well as a part of the electricity requirements of the Razi and Bandar Imam petrochemical complexes for sometime now. The complex, which stretches some 30 hectares, is fed by 7,000 cubic meters of water per hour from the Karoon River and 7 million cubic meters of natural gas per day supplied from the National Gas Network via pipelines.

This plant is truly the heart of the PETZONE, pumping water and electricity –the lifeline of economic development– throughout the entire zone.

Iranian and foreign companies can work together and they have gained immense capabilities in accepting and efficiently completing major industrial projects.

Offsite Facilities: Subsidiary services and offsite networks have been established to distribute generated utilities among process complexes all across the PETZONE, as well as collecting all types of wastewaters from these complexes and treated waste water for integration of green areas in PETZONE. These networks are executed in order to distribute seven different water, power, steam, air, nitrogen and oxygen to process complexes and collect the condensed steam and effluent to centralized utilities complex and Effluent Treatment plant.

Effluent Treatment Plant: This wastewater purification plant has been established in two phases with a retrieval capacity of 460m3/h in order to ensure the observation of all the environmental standards and creation and preservation of a green natural environment across the special economic zone. The first phase has been in operation as of October 2002. This unit is designed in order to treat and purify polluted waters including oily polluted waters, chemical effluents and sanitary effluents.

The timely supply of quality products to clients is among the principles of the Fajr Petrochemical Company. Generation of oxygen, nitrogen and different types of industry water with high degrees of purity and their supply before the inauguration of process complexes in the region is, in itself, a testimony to this assertion.

As the first and the largest successful centralized utility project experienced in the country, this great $500 million project for was constructed in around 3 years. Total quantity of work is shown in the table below.

Quantities

Description Unit Quantity
Piping A\G Piping ID 417000
U\G Piping ID 93000
Tanks Weight Ton 6300
Steel Structures Ton 12000
Static & Rotary Equipments Ton 16500
Concreting m3 98000
Earth Filling, Embankment & Consolidations m3 450000
Cabling Km 1050
Piling Total Length of Driving Piles Km 227
 
Consumed Man Power for Construction Man Hours 23,000,000

The project consists of the following projects and sub-projects which are shown in the table below.

Products

Utilities & Centralized Offsite Facilities for PSEZ Process Units

Amir Kabir PC, Bou Ali PC, Tondgoyan PC, Chimi Baft PC, Khozestan PC, Fanavaran PC, etc

Air Separation Unit

Service Air

16500 Nm3/h

143 Compressors, 2 Cold Boxes, Lin & Lox tanks, etc.

Instrument Air

15500 Nm3/h

Nitrogen

18000 Nm3/h

Oxygen

19000 Nm3/h

Steam & Power Generation Plant

Electricity

585 MW

GT (5 x 117)MW

Steam

830 Ton/h

HRSG (4 x 182) T/HR+Aux, Boilers (2 x 50)

Water Treatment Plant

RO Water

3900 m3/h

DM Water

980 m3/h

Service Water

400 m3/h

Potable Water

250 m3/h

Feed

Water

Natural Gas

Rate

7000 m3/h

220,000 m3/h

Source

Karoon River

Gachsaran

 

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IPF Exclusive
May 2003