Kangan Petro-Refining Company in Bushehr Province will complete its value chain with the completion of six development projects by 2025, the head of the company said.
“A utility unit will become operational next year. Two high-density polyethylene [HDPE] units, an HDPE/linear low-density polyethylene [LDPE] unit, an olefin unit and a propane dehydrogenation [PDH]/polypropylene [PP] unit will be put into operation in about two years,” Hamid Qaderi was also quoted as saying by the National Petrochemical Company’s news portal Nipna.
“The olefin unit has a capacity of 1 million tons of products. The HDPE units have a capacity of 300,000 tons each. The HDPE/LDPE unit also has a capacity of 300,000 tons. And the PDH/PP unit has a capacity of 450,000 tons,” he said, adding that the units will lead to the completion of the value chain of products in the petro-refinery.
Kangan Petro-Refining Company was launched last February. The natural gas liquid recovery plant seeks to underpin the sustainable supply of feedstock to petrochemical plants in the region.
Constructed on a 65-hectare plot, the project has created jobs for more than 1,000 people in the southern province.
The processing facility has an annual production capacity of 3.75 million tons of NGLs and assists the development of downstream petrochemical sector.
NGLs are a group of hydrocarbons, including pentane, ethane, propane and butane. These are differentiated from one another by the number of carbon atoms in their molecular chain. They have a wide variety of applications ranging from specialized fuels (e.g., propane, butane) to petrochemical feedstock for making products like plastic and fertilizers.
The NGL processing plant receives natural gas as feedstock per year from Phase 12 of the South Pars Gas Field in the Persian Gulf for producing 2 million tons of ethane, 1 million tons of propane, 500,000 tons of butane and 250,000 tons of pentane annually.
Exporting the commodities to international markets can generate at least $1 billion a year in revenues for the company.
Petrochemical plants across the country manufacture 333 grades of polymers, plus 40 types of chemicals.
Close to $7 billion have been invested in the sector in the past six years. Of the total annual output, 35% are bought by local companies and converted into value-added products and the rest is exported.
