Marjan Petrochemical Company—aka 7th Methanol Project—has made 30% progress as its construction operations and installation of distillation towers are underway, Hassan Beigi, managing director of Marjan Petrochemical Complex, said on Friday.
"Social Security Investment Company—aka SATA—holds a 67% stake in the firm," the official said, adding that SATA has invested $300 million in this project so far, IRNA reported.
Beigi said the project is scheduled to go on stream next year, should the National Petrochemical Company and Damavand Petrochemical Company supply the project with feedstock and utilities.
One of the most important petrochemical projects, 7th Methanol Project is being developed in Pars Special Economic Energy Zone near Asaluyeh, a county alongside the Persian Gulf, 280 km southeast of Bushehr in southern Iran.
Referring to the annual production capacity of the unit reaching 650,000 tons upon completion, the official said, "The annual feedstock of the project is about 5.1 million cubic meters of natural gas, which will be provided by Damavand Petrochemical Company, apart from electricity and oxygen."
Damavand Petrochemical Complex provides utilities and offsite services required for petrochemical projects at Phase II of PSEEZ.
Petchem Export to Rise 25%
Mehdi Sharifi Niknafs, managing director of Iran Petrochemical Commercial Company, said on Saturday, "By cutting out the middlemen, it is estimated that Iran's petrochemical exports will increase by 25% within a year after sanctions removal," IRNA reported.
Highlighting challenges to opening a line of credit as well as banking, insurance and transportation restrictions in the past, the official said, "Under sanctions, some customers misused the situation and offered low prices to petrochemical cargos. Moreover, 20% extra expenses had to be incurred to send goods to target markets."
"Semi-finished projects will be financed much faster once sanctions are lifted," Sharifi said, adding that some petrochemical complexes are operating with 60% of their capacity.
Nonetheless, the maximum level of output will reach 100% in the short run, resulting in a 25% rise in petrochemical exports. Petrochemical Commercial Company has exported 1.8 million tons of petrochemical products to target markets valued at $1.3 billion in the current Iranian year (started March 21).
The most important exported materials are methanol, aromatics, caustic soda and polymers. Currently, 45 units produce around 60 million tons of petrochemical products, accounting for 36% of the total non-oil exports.
Iran reached a deal with six world powers on July 14 to limit its nuclear program in exchange for relief from international sanctions, which will be lifted when United Nations inspectors confirm Iran is complying with the nuclear restrictions.
