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Iran Revitalizes Venezuela Petchem Industry

Iran Revitalizes Venezuela Petchem Industry
(Monday, August 5, 2024) 00:54

TEHRAN (NIPNA) -- A board member of Nelly Petrochemical Company in Venezuela stated that Iran is one of Venezuela's most important trade partners, and significant collaboration has begun in revitalizing the petrochemical industry, addressing challenges, and developing it, particularly in providing necessary catalysts.

Eduardo Fernández made these remarks during a specialized session on petrochemical industries and technologies held alongside the 15th Iran Petrochemical Forum.

He emphasized that the Venezuelan petrochemical company is entirely state-owned, with 100% of its shares belonging to the Venezuelan government.

He noted that several subsidiary companies of Nelly Petrochemical are located throughout Venezuela, producing products such as olefins, plastics, fertilizers, and various industrial goods.

Fernández mentioned that polyethylene and propylene are among the other petrochemical products produced in Venezuela, along with a facility named Hugo Chavez that has a capacity of 2 million tons for urea, ammonia, and various phosphate fertilizers.

He also discussed the José Antonio complex, another petrochemical facility that partners with companies from Japan and Italy to produce fertilizers and some industrial products.

Regarding Iran-Venezuela relations in the petrochemical sector, Fernández noted that the initial contacts between the two countries date back to 1960, but the real development of their relationship occurred during Hugo Chavez's presidency.

In 2005, legislation was enacted in Venezuela aimed at fostering economic, cultural, scientific, and technological cooperation between Iran and Venezuela, creating a legal framework for strengthening ties.

Since then, he stated, 300 agreements have been signed between the two countries across various sectors, including oil, gas, transportation, science, technology, tourism, food, health, culture, and defense.

Fernández highlighted a significant agreement signed in 2023 focused on the development of the petrochemical industry, leveraging Iranian expertise in Venezuela. He mentioned that 15 Venezuelans were sent to Shiraz for project management training, and a petrochemical empowerment center has been established in Venezuela.

Additionally, he noted the formation of a joint petrochemical company, where both nations are shareholders.

Fernández explained that since 2015, Venezuela has faced intensified sanctions, prompting a focus on rebuilding the economy through collaborations with partners, with Iran being one of the most vital trade allies. This collaboration has successfully commenced in revitalizing the petrochemical sector and overcoming its challenges.

He further stated that cooperation with Iran spans various aspects of developing Venezuela's petrochemical industry. A company in Venezuela is specifically focused on supplying essential equipment, utilizing Iranian-produced catalysts to refurbish various facilities, including nitrogen fertilizer production plants.

Looking ahead, Fernández mentioned that there are 12 development projects planned for Venezuela’s petrochemical sector by 2031, which present investment opportunities in methanol, urea, and the renovation of railroads and specialized ports for petrochemical export and import. Plans are also in place for developing phosphate and nitrogen fertilizer production chains.

He concluded by emphasizing the need to better identify and introduce Venezuela's petrochemical industry capacities to Iranian stakeholders, expressing the motto, "Teamwork guarantees victory," and highlighting the collaboration with capable Iran as a starting point for success.

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