The first technology transfer deal to build gas compressors has been signed between TAPCO and the Austrian LMF, managing director of TAPCO said.
"Collaboration between TAPCO—an engineering, trading and service firm—and LMF—an Austrian manufacturer of reciprocating and rotary screw air and gas compressors for industrial and oil and gas industry applications—started two years ago," Shahram Alvandi was quoted as saying by Shana, the National Iranian Oil Company's news agency.
"LMF has been manufacturing high-tech compressor systems in Iran since 2016," Alvandi said, adding that as per the new agreement, the Austrian firm will equip domestic experts with the much-needed know-how to produce the compressors locally.
According to the official, technology transfer is a long-term process and it may take Iranian specialists as long as seven years to gain the knowledge to produce state-of-the-art compressors domestically.
The official noted that replicating rotary screw air and gas compressors plays a key role in oil and gas industries.
Most Iranian refining plants, namely Tehran Tondgouyan Oil Refinery and Khesht Oilfield in Kazeroun in central Fars Province as well as Khuzestan and Kurdestan petrochemical complexes are equipped with such devices.
LMF is installing its new compressors in Hengam Petrochemical Complex in Asalouyeh in Bushehr Province, Ilam Petrochemical Complex in the western Ilam Province, as well as North Yaran Oilfield at the Iran-Iraq border.
Alvandi said domestically-produced compressor systems can help save as much as €150 million for the country per annum.
"Domestic contractors are expected to trust not only TAPCO but also other domestic manufactures, as they are making effort to meet international standards," he said.
"The contractor in Gachsaran Petrochemical Complex in Kohgilouyeh-Boyerahmad Province agreed to purchase a part of their compressors from TAPCO instead of European suppliers, which was a real motivation for the enterprise," Alvandi said.
The official emphasized that LMF has had a strong presence in Iran's market in the last 30 years and did not leave the country even during the first round of international sanctions.
"The company has no market in the US and it is mainly active in Russia, China and East Asian states, so it is not worried about the reimposition of sanctions on Iran," he said.
The official added that developing compressor systems will not be limited to the domestic market, as TAPCO is planning to export its products to neighboring states such as Pakistan and Iraq.
"We are focused on becoming a regional compressor hub in less than two years," he said.
"LMF has experienced lots of ups and downs doing business with TAPCO," Hans Stibi, an official in the Austrian firm, said
"Although TAPCO had serious problems in settling its dues because of banking restrictions, we never stopped doing business in the country," Stibi said, adding that LMF will not leave Iran's market under any circumstances.
According to the official, the compressor systems of LMF are manufactured according to international standards. What is more, LMF offers its clients all relevant services as a one-stop provider—from engineering to manufacturing and testing under full load, start-up and maintenance.
LMF has over 166 years of experience and offers its customers the benefits of the latest developments in design engineering, proven manufacturing methods, full load testing prior to shipment, and superior after sales services.
TAPCO, with offices in the UAE and Iran, is supplying rotary equipment and process packages for the up and downstream petroleum, petrochemical, industrial, mining, power and water industries.
