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President Inaugurates 1st Phase of Hoveizeh Gas Refinery

President Inaugurates 1st Phase of Hoveizeh Gas Refinery
(Sunday, April 30, 2023) 14:28

TEHRAN (NIPNA) -- In a bid to protect the environment by converting oil-associated gases into valuable products and creating wealth, the first phase of the Hoveizeh Gas Refinery was inaugurated by President Seyed Ibrahim Raisi.

The gas and liquefied gas plant 3200 has a daily processing capacity of 250 million cubic feet of gas associated with oil from the production of crude oil from the West Karun fields.

The gas refining project of Hoveizeh, which has been implemented with an investment of $1.338 billion and 221 billion Tomans, has been built in two phases with a daily processing capacity of 250 million cubic feet of oil-associated gases in each phase.

The project has been constructed to collect oil gases from Yadavaran, Azadegan North and South, Yaran North and South, Darkhovin and Sohrab, Sepehr, Jofeir, Sousangerd and Bandkarkheh fields.

After collecting the oil-associated gases, products with higher added value are produced, producing 97,000 barrels of NGL per day to deliver to petrochemical plants through an 185-kilometer pipeline.

Additionally, 360 million cubic feet of sweet gas will be injected into the national line and West Karun power plant, and 41 tons of sulfur will be produced daily in the complex.

The full operation of the Hoveizeh Gas Refining Project, including both phases, and the daily receipt of 500 million cubic feet of sour gas will reduce approximately 14,000 tons of CO2 greenhouse gases in the region every year, and all the gases associated with oil in the West Karun fields will be 100% collected.

This project is expected to generate about $500 million annually from the total of two phases, and the rate of return on capital of the Persian Gulf gas refining project is 6 years.

The gas refining project has created jobs for about 4,000 people at the time of implementation, and after completion, it will create jobs for 1,000 to 1,200 people directly and about 6 to 7 thousand people indirectly.

Furthermore, the license of the project is completely domestic, and the share of domestic construction in this project is 80-85%.

The executive operation of the Hoveizeh Gas Refining Project, which was originally called NGL 3200, was started in 2012 and was under the control of Petroleum Engineering and Development Company (PEDEC). Due to the slow progress of implementation, it was handed over to Persian Gulf Petrochemical Industries Company (PGPIC) with 21% progress in 2012.

This Bandar Imam petrochemical feed supply project was one of the subsidiary companies of PGPIC, and this had a significant effect on increasing the speed of implementation.

After that, it was renamed Persian Gulf Yadavaran Gas Refining Company, which, due to the name similarity with Yadavaran field, became Persian Gulf Hoveizeh Gas Refining Company.

The Hoveizeh Gas Refining Company was built on a land of 220 hectares in the south of Jofeir oil field and north of Yadavaran oil field, located 60 km south of Hoveizeh County. With the successful launch of the first phase of the project, the Shuhada Hoveizeh Gas Refinery is set to bring many benefits to the region and provide a sustainable and eco-friendly solution to oil and gas waste.

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