Construction of a new petrochemical plant in Eslamabad-e Gharb County, Kermanshah Province, will begin soon and it is expected that upon completion, it brings about an evolution in the economy, industry and employment in the western part of Iran, the managing director of National Petrochemical Company said Wednesday.
The project involves construction of a gas-to-polypropylene (GTPP) plant, which will be carried out with the knowledge and expertise of Iranian scholars and engineers, Mehr News Agency reported Behzad Mohammadi as saying.
He did not specify when the project will commence exactly but noted that researchers at the Petrochemical Research and Technology Company, affiliated to the NPC, has gained the knowledge of building the GTPP plant and all the infrastructure for the project is prepared now.
Eslamabad-e Gharb Plant will include a methanol-to-polypropylene unit. The main raw material used in the MTP process is methanol that is produced from synthesis gas which, in turn, can be obtained in large-scale from natural gas.
It is estimated that the plant will have a production capacity of 660,000 tons per year of methanol and 120,000 tons per year of poly-propylene.
Polypropylene -- the world's second-most widely produced synthetic plastic, after polyethylene -- is used in a variety of applications including packaging and labeling, textiles, carpets, stationery, plastic parts and reusable containers, laboratory equipment, loudspeakers, automotive parts and polymer banknotes.
The global polypropylene market was worth $126.03 billion in 2019. It is expected to grow at a compound annual growth rate of 12% and reach $192.33 billion by 2023.
Rising demand for thermoplastic materials contributed to the growth of the polypropylene market. Due to its unique chemical properties, thermoplastic materials can be recycled and remolded without affecting its physical properties. Thus, making thermoplastic materials much useful in many applications such as clothing, packaging, food and beverages.
Petrochemical Research and Technology Company is the country's mainstay for research and production of technology in all fields of petrochemical industry.
PRTC also creates technology security for the country and economic benefits for stakeholders through selling the know-how internationally.
More Plants to Come
Construction of more petrochemical complexes is underway across the country to broaden the range of petrochemical production, Mohammadi noted.
Iran produces a large variety of petrochemicals (350 types), for which there is high international demand, and exports to 30 Asian, European and South American countries.
Currently 56 petrochemical plants are operating and produce 54 million tons of petrochemicals annually. “This output will reach 100 million tons by 2021 and 133 million tons by 2025,” he said.
Total investment in the sector will jump from $53 billion now to $70 billion by 2021 and $90b by 2025, Mohammadi was quoted as saying.
The senior official added that by 2025, 16 new petrochemical products would be produced by domestic companies.
Petrochemical plants in total consume 33 million tons of feedstock annually or 650,000 barrels of oil per day.
He added the number of plants would reach 83 by 2021 consuming an equivalent of 1.4 million barrels per day of oil by then.
The number of petrochemical plants are planned to reach 109 by 2025 and consume 74 million tons of feedstock annually -- equivalent to 1.7 million barrels of crude oil a day.
