Petrochemical Plant Sets Production Record

EghtesadOnline: Jam Petrochemical Company in Asalouyeh, Bushehr Province set a new record in production of olefin products last Persian calendar year (March 2020-2021), producing over 1.22 million tons of ethylene and propylene, which was 62,000 tons more than the previous year.

News ID: ۷۸۶۳۶۹

18 April 2021

The higher output in the olefin unit also led to an increase in production of other petrochemicals including linear low-density polyethylene and high-density polyethylene, the National Petrochemical Company news website Nipna reported.

Ethylene is a petrochemical-derived monomer that is used in countless products including fibers and plastics and is a useful addition in making organic chemicals. Iran’s annual output of ethylene is about 7.3 million tons.

Propylene is the second most important starting product in the petrochemical industry after ethylene. It can be transformed into value added goods like polypropylene and create jobs.

Polyethylene is the world's most versatile and widely produced polymer. High density polyethylene is used for producing plastic bottles, corrosion-resistant piping, geomembranes and plastic lumber.

Projects carried out in recent years by the company to boost output, have helped reduce fuel and energy consumption and curb greenhouse gas emissions.

The gas feed of the olefin unit is supplied from South Pars Gas Field and liquid feed is provided by Nouri Petrochemical Complex.

Jam is the largest olefin producer in Iran and one of the largest in the world. Its olefin products are used as feedstock for other units in the company as well as other petrochemical plants in the region.

Jam is also an exporter. China is one of the main export destinations for JPC products while Turkey, Pakistan, Europe and South America are other destinations.

According to a member of the board of Jam Petrochemical Company, Ebrahim Saqayi, the company plans to produce more than 3 million tons of products in the current Persian calendar year that ends in March 2022.

“The company plans to produce about 1.2 million tons of ethylene, about 660,000 tons of polymeric substances and 1.25 million tons of different chemicals,” he said, adding that the company's total output was 2.7 million tons last year.

Sabalan Plant

In related news, the Oil Ministry news agency Shana reported that construction of the Sabalan Petrochemical Plant in Asalouyeh is over and it will be officially inaugurated in the coming weeks.

An undertaking of Sepehr Energy Corporation (SECo), the plant will produce 1.65 million tons of methanol per year. Located in South Pars Special Economy Energy Zone, the plant stretches over seven hectares. When operational it will create 350 direct and 1,200 indirect jobs.

This is the first of three methanol projects developed by SECo. The other two are Dena and Siraf are under construction.

National Petrochemical Company data show Iran accounts for 5% of the world's total methanol production with exports to Iraq, China, the UAE, India and South Korea.

In the petrochemical industry methanol is used to create high-quality basic chemicals, the most important of which are formaldehyde, acetic acid, MTBE, methyl methacrylate, methyl chloride and methylamines, which are processed to produce other derivatives.

With the launch of new methanol plants, net methanol output capacity has reached about 12.2 million tons a year. And when Sabalan, Dena and Siraf plants come online, 5 million tons per year of methanol will be added to the current capacity.

Dena methanol plant in Asalouyeh will have an annual production capacity of 1.65 million tons, and Siraf will produce the same volume in Dayyer County in Bushehr.