EghtesadOnline: Work is in progress at the Miandoab Petrochemical Complex in West Azarbaijan Province and production is slated to begin in the second half of the current fiscal that started in March, head of National Petrochemical Company said.
"The plant will convert ethylene to higher value-added products, namely heavy polyethylene, linear and light polyethylene with annual capacity of 175,000 tons," Behzad Mohammadi was quoted as saying by NIPNA, the National Petrochemical Company's news agency.
Bakhtar Petrochemical Company—the main shareholder of the venture—acquired the licenses from Japan's Mitsui & Co., Ltd. Company, Mohammadi said, adding that the plant will get 140,000 tons of ethylene per year via the West Ethylene Pipeline.
The pipeline is the longest ethylene transfer pipeline in the world, with a capacity to transfer 2.5 million tons of ethylene per annum. It supplies feedstock to 11 petrochemical complexes, including Mahabad, Mahshahr, Andimeshk, Lorestan, Kermanshah, Hamedan, Kurdestan and Miandoab, according to Financial Tribune.
Ethylene is the building block for a vast range of chemicals, from plastics to antifreeze solutions and solvents, and is also used in the agriculture sector for ripening fruits.
According to the official, the plant's cooling tower requires 30 liters of water per second for functioning that will be supplied by West Azarbaijan Regional Water Company.
"A deal to provide the plant with 6,000 cubic meters of natural gas per hour as feedstock will be signed with the National Iranian Gas Company soon."
The site is equipped with a 500-kilovolt substation.
There are 56 petrochemical plants in Iran of which 36 are in Bushehr and Asalouyeh. The rest are located across the country.
"Iran’s petrochemical sector alone consumes 9% of the country's total natural gas production," Mohammadi said. The industry generates 35% of non-oil export revenues.
Iran’s installed petrochemical production capacity at 62 million tons a year has increased 22-fold over four decades.
"NPC export revenues reached $10.6 billion in the last fiscal (ended March 20)," Taqi Sanei, the head of Nouri Petrochemical Company in southern Bushehr Province said.
NPC exported 20 million tons of its products last year. Bulk of the shipments went to Asia, Europe and South America.
Nouri company shipped over $1.2 billion worth of products, making it the biggest local petrochemical exporter in revenue terms.