Javad Kamari, managing-director of Ilam Petrochemical Plant, said the production at the plant's phase 1 has been limited to only 100,000 tons a year due to the lack of feedstock supply to the phase.
The phase's production is mostly used to supply the domestic need for petrochemicals with a short part being exported to foreign customers in China, Russia, Turkey and some European countries, Kamari said.
Phase 1 of Ilam refinery is fed by the gas recovered from South Pars gas field in south of Iran, however, the plant has the capacity to launch its second phase, for production of olefin, if the needed feedstock is supplied.
Iran’s Bank of Industry and Mine is contributing 289 million euros to the petrochemical plant in western Iran, the bank’s manager said in September.
Ali Ashraf-Afkhami said the bank is investing in the second phase of Ilam Petrochemical Plant.
“The Bank of Industry and Mine is seeking to broaden its activities for investment in Iran’s petrochemical industry,” he said.
The bank has so far invested 232 million euros and 233 million euros respectively in Lorestan and Mahabad petrochemical plants.
The Bank of Industry and Mine plans to invest in five petrochemical development projects for methanol production, including 240 million euros in Assaluyeh.
The bank has invested 550 million dollars plus IRR 18 billion in 18 projects during the first five months of the current calendar year which started on March 21. 40 more projects, valued at 950 million dollars, are expected to come on-stream by next March.