Plan to Reduce Tabriz Refinery Mazut Output

Plan to Reduce Tabriz Refinery Mazut OutputPlan to Reduce Tabriz Refinery Mazut Output

There are plans to lower the Tabriz Refinery's mazut production to around 10 percent by the next 10 years, the refinery's member of the board said, Shana news agency reported Saturday.

"Close to 30 percent of crude oil at the Tabriz Refinery turns into mazut, but plans call for reducing the volume to as low as 10 percent under the 20-Year Vision Plan," Ayat Joshan said, underlining the low value added of mazut as the reason behind the decision.

"According to plans, only five percent of the refinery's crude should be used to produce mazut," Joshan said, taking stock of a directive by the National Iranian Oil Refining and Distribution Company (NIORDC) to decrease diesel and mazut production.

Approved in 2005, the Vision aims to promote the country's overall position at the national, regional and international levels and reach a developed status by 2025.

It is estimated that the 25-percent decrease in Tabriz Refinery's mazut output will require around $200 million in investment. The official stressed that the private sector "cannot afford" such a huge investment and called on the government to help provide the funding.

Plans also call for natural gas to replace both mazut and diesel fuel as feedstock in refineries to curb pollution. The government has instructed refineries and power plants to use gas instead of more polluting feedstock such as mazut due to abundance of gas resources and the rise in gas extraction in the South Pars gas field in the Persian Gulf.