Iran has acquired the know-how to design and build liquefied petroleum gas storage tanks, which places it among the top 10 countries with the technology, a member of the Association of Petroleum Industry Engineering and Construction Companies said.
“Iran is the sole country in the Middle East that has the ability to build LPG storage tanks, which is considered one of the most complicated sections of a refinery, as it requires several safety measures,” Gholamreza Zeinalpour was also quoted as saying by IRNA on Saturday.
Zeinalpour noted that these tanks can help export stored LPG worth €1.5 million ($1.8 million) per day.
The official said Iranian companies started participating in building LPG tanks of phases 4-8 of South Pars Gas Field in the Persian Gulf in 2000, while most of the work was carried out by international companies.
“Regarding the country’s need for the technology, we tried to acquire the know-how in cooperation with a British-Scottish company, the method of which was used in South Pars phases 9 and 10 as well as the natural gas liquids project on Siri Island,” he said.
Noting that the know-how was completely indigenized in phases 15 and 16, Zeinalpour added that LPG tanks of phases 14 and 20-24 are currently being built by Iranian experts, all of which will become operational in the next fiscal year (starting March 21, 2019). “While the technology to build LPG tanks has been indigenized in Iran, some domestic petrochemical companies meet their needs from foreign manufacturers, which had refused to cooperate under sanctions,” he said.
Zeinalpour noted that Iranian companies have so far built about 40 LPG storage tanks in South Pars, most of which have come on stream, adding that some local contractors are still “distrustful”, such that they even do not invite domestic LPG tank manufacturers to participate in their tenders.
Stressing that domestic LPG tanks are 30% cheaper than the foreign counterparts, he said foreign-built LPG tanks cost about €100 million ($119 million) while those built in Iran cost €70 million ($84 million).
“Iran is now pursuing the policy of exporting technical and engineering services to neighboring states and has held negotiations with Kuwait and Iraq in this regard,” he said.
According to reports, over 70% of the petroleum industry’s required equipment are manufactured inside the country.
