News Agency - Detail

Oil Minister Emphasizes Production of Petchems from Methanol

Oil Minister Emphasizes Production of Petchems from Methanol
(Monday, September 18, 2023) 07:45

TEHRAN (NIPNA) -- Iran's Petroleum Minister underscored the importance of prioritizing the production of petrochemical products from methanol and called for strong support for both domestic and foreign investors in this sector.

Javad Owji made these remarks today (Sunday, September 18) during his visit to the 8th and 9th exhibition halls at the IranPlast International Exhibition, where he engaged with stakeholders from both upstream and downstream petrochemical industries.

He praised the Ministry of Petroleum's continuous efforts to ensure the timely supply of gas to the country's petrochemical units.

Owji added, "This year, significant agreements have been reached with Abbas Aliabadi, the Minister of Industry, Mine, and Trade, for the provision of fuel and feedstock to industrial and petrochemical units."

He continued, "Any industry that establishes the necessary infrastructure for gas storage in the form of CNG and LNG in its vicinity will receive gas supply commitments from the Ministry of Petroleum. By continuing to collect associated gases from the East Karun region and processing them at the Bidboland Persian Gulf Refinery, we will resolve feedstock issues for petrochemical plants that lack ethane and propane."

While visiting the Gulf Holding Company's booth, Owji commended the company for achieving a production increase of one million tons compared to the previous year. He noted that the Supreme Leader's statements regarding production growth had been successfully realized at Gulf Holding Company.

Owji highlighted that this year, six downstream projects would be inaugurated under the auspices of Gulf Holding Company. He emphasized that as much as the value chain in petrochemicals could be developed, multiple benefits, including increased employment and added value, could be reaped.

During his visit to the Petrochemical Company of Masjed Soleyman's booth, Owji discussed the production of a new product, ammonium sulfate, and acknowledged the company's significance in terms of employment and revenue generation despite being situated in a less-developed region. He assured the Ministry of Petroleum's support for infrastructure development and feedstock supply to this facility.

Addressing the issue of gas shortages during the cold season, Owji stated, "By the end of the Sixth Development Plan, we were supposed to produce one billion and 250 million cubic meters of gas, which unfortunately did not happen due to the previous government's lack of investment."

Owji then highlighted the shift of some methanol-producing units worldwide towards the production of MTG (Methanol to Gasoline), stating that methanol units in Iran were also interested in investing in this area. He emphasized that the National Petrochemical Company of Iran, despite an increased responsibility, should support these petrochemical units to gradually transition from methanol exports to the establishment of MTG units. The Ministry of Petroleum is ready to provide comprehensive support to investors in this regard.

The Oil Minister concluded, "Supporting both domestic and foreign investors for the production of petrochemical products from methanol must be on the agenda of the National Petrochemical Company."

He referenced Morteza Shahmirzaei, CEO of the National Petrochemical Company, stating that, in line with the Petroleum Minister's directives, the company has initiated scientific and economic design and feasibility studies for the production of gasoline and other petroleum products from methanol in Iran's petrochemical industries in collaboration with research institutions and universities.

The showcase will run until September 20 at Tehran’s permanent fairgrounds.

Email is required
Characters left: 500
Comment is required