• Energy

    Output of Petroleum Products Up 6%

    The output of petroleum products has increased by 6% in Iranian refineries, said the director of coordination and production supervision at the National Iranian Oil Refining and Distribution Company.

    “In 2020, the refineries received 2.045 million barrels per day of feed, including crude oil and gas condensate, while the figure has reached 2.710 million bpd in 2021,” Saeed Maddah-Moravej was also quoted as saying by the Oil Ministry's news agency Shana.

    This indicates a 6% increase in the feedstock of the country's refineries, which has consequently led to a rise in the output of petroleum products, he added.

    Referring to the increase in gasoline output, the official noted that gasoline consumption has increased by 15%, following the decline in coronavirus death toll.

    “The average daily consumption of gasoline in the country has increased from 75.5 million liters last year, when Covid-19 inter-city traffic restrictions were still in place, to 86 million liters per day at present,” Maddah-Moravej said.

    According to the National Iranian Oil Products Distribution Company, a subsidiary of the National Iranian Oil Company, Iran produces over 115 million liters of gasoline per day.

     

    In 2020, the refineries received 2.045 million barrels per day of feed, including crude oil and gas condensate, while the figure has reached 2.710 million bpd in 2021

    As restrictions imposed to help fight Covid-19 have been removed, fuel demand is returning to levels reached before the coronavirus outbreak, i.e., 105 million liters per day. 

    It is predicted that gasoline consumption will exceed 130 ml/d by 2024, in which case 15 million liters of fuel have to be imported because Iran’s current maximum production level is 115 ml/d, unless new refineries are built in the country.

    More than 100 million liters of diesel are produced daily in Iran.

    As diesel-powered cars are banned in the country, the liquid fuel is primarily used in heavy-duty vehicles, power plants and industries.

    While the output of gasoline and diesel has increased, the production of mazut has declined in refineries compared to the past.

    The production of the highly polluting fuel in Iran’s refineries has experienced a 23% decline since 2014.

    Based on information from NIOC and the Oil Ministry, the mazut output in refining complexes was around 80 million liters (500,000 barrels) eight year ago, which has now reduced to 65 million liters/day (400,000 barrels).

    The administration has targeted the reduction of mazut production in refineries by 2% per annum, which will make it dip below 10% by 2025.

    Iran is ranked 11th, ninth and 13th in terms of oil refining, gasoline and diesel production capacity respectively, and despite the reduction in the output of mazut, when it comes to producing this low-value and eco-unfriendly fuel, it tops the list.