An achievement to show, a horizon to point to: Minister of Petroleum listens as NPC President provides reports

"I hope that IPF 2001, which coincides with the year of "Dialogue among Civilizations" initiated by President Khatami, not only provides a proper ground for business dialogue, exchanges of views and experiences, but also leads to closer understanding among all the nationalities from over 30 countries convened in this forum." This was the way in which Mohammad-Reza Nematzadeh, Deputy Minister of Petroleum and NPC President, drew the attention of audience to the concept of collective understanding for the sake of prosperity.

Statements of the NPC President clearly enriched a spirit of international cooperation at IPF 2001. Here is the architect of ‘petrochemical dialogue’, renewing his invitation to all interested petrochemical companies for investment in Iran.

Possessing 15% of the world’s total natural gas reserves, with 512% of C2 content, we have based our longterm feedstock on C2 as feed for olefins, and, at the same time, using condensates as feed for production of aromatics, achieved synergy between the two types of production lines.

To this end, olefins No. 7, 9 and 10 as well as aromatic No. 4 are at engineering phase while olefin No. 8 is waiting for completion of its technoeconomic studies for joint venture.

Moreover, availability of huge natural gas reserves in Iran has led NPC to expand its methanol capacity as well. In addition to Kharg methanol with 660,000 tons of capacity which came to production in early 2000, NPC’s third methanol with 1 million tons of capacity is under construction, and engineering phase of the fourth methanol with 1.6 million tons of capacity has already started, increasing our overall methanol capacity to 3.4 million tons.

At the beginning of the year 2001, a 180,000-ton paraxylene plant at Bandar Imam came on stream. By the end of the current year, a 500,000 ton MTBE plant, a 140,000 ton HDPE plant of olefin No. 6, and the first phase of Fajr utility plant will become operational at Petrochemical Special Economic Zone.

Construction of other units of Amir Kabir Complex, including 520,000 tons ethylene and low density polyethylene plants, PTA/PET 1, third aromatic, engineering polymers, third methanol, ABS and melamine are under way. These projects are scheduled to go gradually on stream by the end of 2002.

In the past year, a total number of 18 EP contracts worth $2.7 billion were concluded with both Iranian and foreign contractors. Financial facilities for most of these contracts have already been concluded while measures are being taken to provide finance for the remaining ones.

Meanwhile, contracts were awarded for two gas separation plants to recover 1.75 million tons of C2+ from gas fields in Khuzestan and 3.2 million tons from phases 1 to 3 of the South Pars gas field. Engineering work is in progress at these two projects.

Furthermore, contracts were awarded to foreign companies and their Iranian partners for olefin No. 9 with an ethylene production capacity of 1 million tons, and olefin No. 10 with an ethylene capacity of 1.3 million tons and its PE and EO/EG downstream units. The contract for the methanol No. 4 with a capacity of 1.6 million tons was also finalized.

We have reached joint venture agreements with several foreign companies including two 300,000 tons of LDPE one isocyanates projects in Petrochemical Special Economic Zone in Bandar Imam. In the meantime, joint feasibility studies are going on for olefins No. 8 and 9 with leading international companies.