Iran Petrochem Co. Forecasts 40% Rise in Production by 2021

EghtesadOnline: National Petrochemical Company output will increase 40% by 2021, Behzad Mohammadi, the new head of the company said Saturday.

News ID: ۷۴۶۴۱۴

05 January 2019

"The present annual production is 54 million tons and is programmed to reach 75 million tons in two years," Mohammadi was quoted as saying by ILNA.

He said 54 petrochemical complexes are up and running most of which are located in Mahshahr, Khuzestan Province and in Assalouyeh, Bushehr Province where water supply is less of a concern and proximity to international sea lanes makes transport and shipment cost effective.

Mahshahr companies account for 40% of NPC's total output, Financial Tribune quoted him as saying.

"Construction work of 66 new plants is underway, of which 34 have shown average work-in-progress rate of 45%. Development of Kavian Petrochemical Plant in Asalouyeh, Nouri and Jam petrochemical companies in Bushehr Province plus Morvarid and Mobin petrochemical complexes in Asalouyeh will help NPC boost output and revenues.”

Referring to the Pardis Petrochemical Company, as the operator of a large ammonia and urea plant in Asalouyeh, he said the complex is exporting to emerging markets in Asia, Latin America and the Caribbean.

Most petrochemical plants are located in Mahshahr and Assalouyeh where water supply is less of a concern and proximity to international sea lanes makes transport and shipment cost effective

PPC exported 1.7 million tons, 520,000 tons, 300,000 tons to India, Europe and China respectively in the past 12 months. Mexico and Nepal are among the company's new customers.

The company's annual production capacity has increased to 2 million tons of ammonia and 3.7 million tons of urea after the completion of its third phase that cost $593 million.

NPC revenues are estimated to exceed $12 billion by the end of the current fiscal in March, Mohammadi said.

NPC exported petrochemicals and polymers worth $8 billion in the first seven months of the current fiscal (March 21-Oct. 22, 2018).

Petrochemical is Iran's second largest industry after oil and gas.