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Iran Launches $1.3Bn Worth of Petrochemical Projects

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Iran Launches $1.3Bn Worth of Petrochemical Projects 4 May 22, 2021 ECONOMIC NEWS Iran Launches $1.3bn Worth Indian, European Refiners of Petrochemical Projects Get Ready to Buy Iranian Oil TEHRAN (Dispatches) - Ira- tons ammonium annually has been nian President Hassan Rouhani erected in this region,” the minister has inaugurated three more petro- said. chemical plants in the country with He added that if it weren’t for U.S. an investment of over $1.3 billion sanctions, Iran could use foreign fi- as he hails his government’s re- nancial sources to double investment cords in job creation and improved in oil industry. manufacturing activity through the Zangeneh said that the oil ministry expansion of the country’s petro- has been authorized to develop oil chemical sector. refining project in Masjed Soleiman Rouhani used a video confer- based on associated gas to improve ence call on Thursday to open the investments in this region. three plants that are located in the He also pointed to the other ma- energy-rich regions south of Iran. jor projects underway in Asalouyeh His website said in a report that which would produce 1.65 million A man paints the logo of oil refiner Bharat Petroleum Corp (BPCL) the projects create a total of 2,454 tons of methanol on a yearly basis on a wall on the outskirts of Kochi, India, November 21, 2019. new and permanent jobs. Iran rolls out three major petrochemical projects with an investment and said the methanol produced in The largest of the three proj- amounting to over $1.3 billion. this plant would be pumped to pro- LONDON (Reuters) - Indian refiners and at least one European ects in terms of output size is the pylene production chain in the coun- refiner are re-evaluating their crude purchases to make room for Ira- Masjed Soleyman Petrochemical try. expansion in the Iranian petro- Minister Hails New Oil nian oil in the second half of this year, anticipating that U.S. sanc- Plant, built in the namesake city chemical sector in recent years. Industry Projects Secretary of the Petrochemical In- where the first oil well was dis- He said Iran’s petrochemical dustry Owners Guild Ahmad Mah- tions will be lifted, company officials and trading sources said. covered in Iran in 1908. output would double at the end of Iranian Petroleum Minister Bijan davi Abhari announced earlier this Former U.S. president Trump abandoned the 2015 Iran nuclear The plant is expected to produce his eight-year term in office this Namdar Zangeneh lauded the coun- month considerable rise in Iran’s deal and reimposed sanctions on Tehran in late 2018. 1.7 million tons per annum (mtpa) summer to 100 mpta. try’s progress in developing new oil production and export of petrochem- Until then, Europe and Turkey had consumed close to 500,000 bar- of urea and ammonia. ical products Rouhani’s government had and petrochemical projects. rels per day (bpd) of Iranian oil. India, Iran’s biggest client after Chi- The two other petrochemical vowed in March 2020 that it Namdar Zanganeh made the re- “A sum of 11 new petrochemi- plants on the Persian Gulf coast in would launch 17 new petrochemi- marks in the 68th edition of weekly cal plants were inaugurated in the na, was buying as much as 480,000 bpd in the fiscal year beginning Asaluyeh would feed on gas sup- cal plants before it leaves office. national projects inauguration which country last year which resulted in a April 2018. plies from Iran’s South Pars gas The president said the mission was allocated to oil industry proj- 10-percent increase in production,” At least one European refiner has held in-depth discussions with field. was accomplished with the inau- ects. Mahdavi Abhari said. Iran’s state oil firm NIOC on resuming purchases and Indian refin- One of them, dubbed Sabalan He reiterated that the 13-percent gurations that came on Thursday. He mentioned three projects that ers say they plan to reduce spot purchases to make way for Iranian Asaluyeh, would reach a produc- “What matters is that we resisted were inaugurated by Rouhani in the increase in export shows that the tion capacity of 1.65 mpta for and did not lose our spirit despite same ceremony, singling out the urea country has done better in the field. contract barrels. methanol in the first year of op- all the economic pressures,” said and ammonium production plant He added that despite the obstacles India, the world’s third largest oil consumer and importer, halted eration. Rouhani in reference to U.S. sanc- built in Masjed Soleiman country. created by the sanctions, there are no imports from Tehran in 2019 after a temporary waiver granted to Rouhani hailed the rollout of the tions that have targeted Iran’s en- “I’m pleased that a plan with the problems for exports and receiving some countries expired. three projects as a sign of massive the money. ergy sector since 2018. capacity to produce 1.76 million Several Indian state refiners, whose refineries are suited to the crude, have committed to buying Iranian oil once sanctions are lifted. China, Iran Sign Document to Expand Customs Ties Indian refiners have raised the share of spot purchases to take advan- TEHRAN (Press TV) - Iran Iranian companies that are au- tage of cheaper barrels in a surplus market and replaced lost Iranian and China have signed a docu- thorized by IRICA. cargoes with U.S. oil. ment to expand their coopera- Mir Ashrafi said the agree- State-run Bharat Petroleum Corp, which plans to tap the spot mar- tion in the field of customs as ment will help minimize cus- ket for 45% of its overall imports, will buy Iranian oil if sanctions are the two countries eye increased toms procedures needed to lifted, a company spokesman said. trade ties under a 25-year eco- clear goods exported by au- nomic partnership deal. thorized merchants on the two High sulphur distillate-rich Iranian crude suits BPCL’s Kochi re- The document was signed sides. finery and costs $2-$2.5/barrel less than similar grades, he said. between the director general That would lower the costs Hindustan Petroleum Corporation also said it would buy Iranian of the Iranian customs office incurred on traders and speeds crude given the right price and economic suitability, its chairman M. (IRICA) Mhedi Mir Ashrafi up the process to have the car- K. Surana told Reuters. and China’s Deputy Customs goes released, said the IRICA Commissioner-General Wang chief. Top refiner Indian Oil Corp expects to reduce spot purchases and Lingjun during a video confer- China has been the largest im- can easily process about 2 million tonnes (14.6 million barrels) of ence call, according to a report porter of Iranian goods while Iranian oil this fiscal year, said a company source, who declined to by Iran’s official IRNA news remaining the top exporter into be named. agency. the country in recent years. An official at Mangalore Refinery and Petrochemicals Ltd said his Under the document, IRICA The two countries have main- China would be able to further between the two countries for will introduce measures to fa- tained a smooth flow of trade expand their customs ties in fu- the next 25 years. company would also cut spot purchases and buy Iranian oil. cilitate customs inspections for despite rounds of American ture as part of a broader agree- “It will be a good start for us The resumption of Iranian oil supplies will help India replace lower certain companies certified and sanctions that have targeted ment signed earlier this year so that we can have stronger supplies from members of the Organization of the Petroleum Export- rated by the Chinese customs Iran and its exports of crude by Iranian and Chinese foreign and more sustainable customs ing Countries, which have curbed output to support oil prices during office. The Chinese authority since 2018. ministers which sets out a road- ties with our top trading part- the COVID-19 pandemic. will reciprocate the move for Mir Ashrafi said Iran and map for economic cooperation ner in future,” he said. Minister Lauds 2.5mn Unemployed ‘Iranian, UK Businesses Americans to Be Without Discuss Future Ties’ Cooperation With Russia TEHRAN (Press TV) - Businesses Wilson said that the UK govern- Income Soon - Survey from Iran and the United Kingdom ment would have not dispatch rep- WASHINGTON (AFP) - States across will lose the additional $300-a-week as well as UK government officials resentatives to the meeting held in in Tourism Field America are moving to cut pandemic un- benefit. have attended meetings in the em- the Iranian embassy in London if it TEHRAN (Dispatches) - among the most important employment benefits, a painful blow for “It’s going to be devastating,” said Sue bassies of the two countries in Teh- was not eager to expand economic Iran’s Minister of Cultural steps taken so far. millions of people who will soon be left Berkowitz, director of the South Caro- ran and London to discuss potentials ties with Tehran. Heritage, Tourism and Handi- Jagarian, for his part, re- without income. lina Appleseed Legal Justice Center, an for increased trade and economic co- The IRNA report said the meet- With punishing jobless levels during organization that advocates for the rights crafts Ali Asghar Mounesan in ferred to the ongoing visit of operation in the near future. ings were mostly focused on op- the Covid-19 pandemic, unemployment of low-income residents. a meeting with Russian Ambas- a group of Russian tourism Iran’s official IRNA news agen- portunities for cooperation be- benefits had been extended -- especially “It’s going to have a huge effect if fam- sador in Iran Levan Jagarian in industry activists in Iran, and to the self-employed -- and extended ilies don’t have the stability of income cy said in a Thursday report that tween Iranian and UK businesses Tehran said that his country is said that the group in its visit further until September 6, even for those coming in, and they can’t keep the lights the meetings had been held a day in the fields of agriculture, live- willing to expand cooperation identified Iran’s tourism po- who had reached the maximum duration.
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