virtual ceremony to launch three major oil and petrochemical projects on
Monday, Mr. Zangeneh said: “We are in a good situation in all joint fields
compared to our neighbors; production capacity of crude oil in the joint fields
of West of Karoun has increased from 70,000 barrels per day to 400,000 barrels."
The ceremony was
held to officially launch the ethane recovery unit of Kangan Petro-refinery,
Azar Oilfield Development Project, and start off construction of Kian
He said Azar and
the ethane recovery unit of Kangan Petro-refinery were financed by $2.7 billion.
that the Azar joint field in Dehloran region of Ilam Province is the first
project to be inaugurated on Monday, he said Azar field was one of the joint
fields that had not been developed and its output was zero.
He added that
the Azar field project has been implemented in two phases, the first phase of
which was implemented with a daily production of 30,000 barrels in May 2017.
“The second phase of this project has come
online with a daily production of 65,000 barrels since December last year,” he
He announced the
cumulative output of the field at about 36 million barrels of oil, and said
$1.6 billion of the cost of the development plan of this field has been
added that the ethane recovery unit of Kangan Petro-refinery was financed with
$1 billion with a production capacity of 3.5 million tons of output per year.
President, he said that this project in the petrochemical production chain is a
parent project of feedstock, adding that the total capacity of feedstock
projects of petrochemical units that have been inaugurated this [calendar] year
is 11.2 million tons per year.
Minister of Petroleum further announced the opening of a petrochemical
feedstock supply project in the coming weeks, and noted: “Ethane recovery units
of Bushehr, Bidboland Persian Gulf Refinery, Kangan Petro-Refinery and Parsian
Sepehr Refinery in Assaluyeh will come on stream this year or the next. The NGL
3100 and 3200 projects will also come online next year, too.”
He stated that
four projects were implemented in the downstream of the Kangan Petro-Refinery:
a 1-million-ton olefin unit and three 300,000-ton polyethylene production units
with an investment of $1.5 billion with a total progress of 40%.
The Minister of
Petroleum said: "If there were no sanctions, all these projects could have
been implemented together, and the reason for the delay in implementation of
these projects is the imposition of sanctions."
At the end of
his address, Mr. Zangeneh said that Kian Petrochemical Project was to be
financed by Parsian Oil and Gas Holding as well as Petrofarhang Holding by
nearly 2 billion dollars of investment.
Noting that the
contract for implementation of this project has been signed for several months
and its initial operation has begun, the Minister of Petroleum added: "An
important feature of this project is receiving a set of combined liquid and gas
feedstocks with a capacity of 2.5 million tons. This is a huge project and we
have four projects of this kind.”