Petrochemical Projects Go on Stream in Iran's Mahshahr

Takht-e-Jamshid Petrochemical Complex as well as the second phase of Karoun Petrochemical Company (KRNPC) was officially inaugurated on Monday in Mahshahr Special Petrochemical Economic Zone in Khuzestan Province by First Vice President Es'haq Jahangiri.

According to Shana, the ceremony was attended by Oil Minister Bijan Namdar Zanganeh and Marzieh Shahdaei, head of the National Petrochemical Company.

“The Karoun project, jointly implemented by Iranian companies and the Swedish engineering group Chematur Engineering AB at a cost of $375 million, will produce 40,000 tons of methylenediphenyl diisocyanate (MDI) and toluene diisocyanate (TDI) per year,” Shahdaei said.

MDI and TDI are chemical compounds that are widely used in manufacturing flexible foams and glue as well as in packaging industry.

Commenting on Iran’s competitors in this area, the official said domestically-made MDI and TDI meet international standards and are on a par with similar products from Germany’s BASF and Royal Dutch Shell.

Takht-e-Jamshid complex also went on stream on Monday. It will significantly boost the production of petrochemicals such as methanol, urea, ammonia as well as other value-added goods such as polystyrene and ethylene glycol, according to the NPC chief.

Asked about other petrochemical initiatives, she said 22 petrochemical projects are under development in Mahshahr at an estimated cost of $1.3 billion, which will increase the present production level of 65 million tons a year by 1.5 million tons. Moreover, the projects have created 30,000 jobs in the region.

Phase 2 of Kavian Petrochemical Complex with an annual production capacity of 1 million tons and Phase 2 of Morvarid Petrochemical Company with 550,000 tons, Entekhab petrochemical complex with capacity of 250,000 tons, Phase 3 of Pardis Petrochemical Company with capacity of 1.7 million tons, Kaveh Methanol Company with 2.3 million tons -- targeted to become the world's biggest methanol plant -- are among Iran's top petrochemical projects slated to be fully operational by the end of the current fiscal in March.

Tehran has said it needs $72 billion in foreign investment for 80 major petrochemical projects in line with plans to triple petrochemical production over a decade.

Sweden's Chematur Engineering company has reportedly played a major role in developing the KRNPC project and has been present in Iran for over eight decades.

According to the company's CEO Peter Olausson, Chematur has extensive experience in the field of aromatics, isocyanates, bioethanol and ethanol derivatives, hydrogen peroxide as well as explosives and catalysts.

Pointing to CEAB's participation in the 21st international oil, gas and petrochemical exhibition in Iran last May, he said, "At that exhibition we had constructive talks and are willing to offer our technology in the field of isocyanates, hydrogen peroxide, bioethanol/bio ethylene."