The Persian Gulf Petrochemical Industries Company is undertaking nine petrochemical projects worth $8.5 billion, the company’s managing director said.
"When completed in 2021, PGPIC output, which now is 24 million tons, will rise by 83% to 44 million tons per annum," Jaffar Rabei was quoted Monday as saying by NIPNA, the National Petrochemical Company's news service.
Giving a breakdown on projects aimed at propelling the economy of less-developed regions, he said PGPIC's major undertakings include the Bid Boland Gas Refinery project (75% progress) in the city of Behbahan, Khuzestan Province, one plant in Gachsaran in Kohgilouyeh-Boyerahmad Province (60% progress) as well as plants in Ilam, Asalouyeh, Lordegan, Apadana and Dehdasht, all in the western and southern regions.
Bid Boland, Ilam and Lordegan plants will come on stream in 2019, Rabei said.
PGPIC accounts for 37% of the total national petrochemical production, which is close to 60 million tons per year. It also accounts for 41% of Iran's petrochemical exports that generated $10 billion in 2017.
"The company exported 8.5 million tons to international markets in 2017 earning around $4 billion," he said, adding that PGPIC is working to increase revenues to $5 billion by March.
The firm is the second largest provider of chemical compounds to the domestic petrochemical manufacturers.
Most of Iran's petrochemical infrastructure is located in the southern regions in the Persian Gulf area where water supply is less of a concern and proximity to international waters makes transport and shipment cost effective.
PGPIC is Iran’s largest petrochemical company with 60 subsidiaries, owning more than 11% of Iran’s capital market.
According to NIPNA, petrochemical output in the last seven months reached 36.7 million tons and is forecast to reach 57 million tons before the fiscal year is out.
NPC exported petrochemicals and polymers worth over $8 billion in the first seven months of the current fiscal (March 21-Oct. 22). Revenue is projected to reach $12 billion by March.
Iran accounts for 0.6% of the world's petrochemical production.
