06 July 2011
Iran and Russia agreed to construct a petrochemical complex in Assalouyeh, southern Iran, at the cost of $1.5 billion.
After three years of negotiations, National Petrochemical Company (NPC) and a Russian oil company agreed to build a petrochemical complex in the second phase of Pars Special Economic Energy Zone (PSEEZ), Assalouyeh, Mehr News Agency reported.
Under the agreement, the Russian side will invest $1.5 billion in constructing the complex, the report said.
Urea fertilizer and ammonia will be the main products of the complex, while natural gas feedstock for the unit will be provided by the Oil Ministry and the new phases of South Pars.
At present, the joint working group from the two companies has launched studies while talks are underway on setting the price of feedstock and some legal issues pertaining to the contract, the report added.
Last month, Iranian and Russian officials held a meeting on the sidelines of 11th International Oil and Gas exhibition in Moscow to discuss ways to expand energy cooperation.
The visiting Iranian delegation, including lawmakers and energy officials, and the Russian authorities stressed on expansion of joint investment and cooperation in oil and gas sectors of both countries, IRIB reported.
"Russian companies are eager to invest in Iran's oil and gas projects and that Russia will be a reliable partner for Iran in its oil and gas fields," said Talyat Aliev, the deputy director of International Department of Russian Energy Ministry.
"We are ready to expand cooperation in Iran's oil and gas sector by removing the obstacles," Aliev said.
GECF Cooperation
Early in April, the two countries called for a greater role by the Gas Exporting Countries Forum (GECF) in establishing security in the international energy market.
The two sides also called for further cooperation between gas producing and exporting companies in GECF member states for a greater global energy security, Fars News Agency reported at the time.
The comments were made in a meeting between CEO of Russian energy giant Gazprom Alexey Miller and Ali Aqa-Mohammadi, the Iranian vice president's deputy for economic affairs, in Moscow.
The GECF was established in Tehran in 2001 and its members include Algeria, Bolivia, Egypt, Equatorial Guinea, Iran, Libya, Nigeria, Qatar, Russia, Trinidad and Tobago, and Venezuela.
The organization controls 70 percent of the world's natural gas reserves and 85 percent of the world's liquefied natural gas (LNG) production.
Last year, Tehran and Moscow agreed to establish a joint bank to help fund bilateral projects and expand cooperation in natural gas deliveries and oil products.
According to Deputy Oil Minister Javad Oji, the joint bank would finance oil and gas projects and work out a mechanism for using the currencies of both countries for payments.
Mahshahr Petrochemicals
Managing director of the National Petrochemical Company has announced plans by the company to invest more than $14 billion in Mahshahr Petrochemical Special Economic Zone during the Fifth Five-Year Development Plan (2010-15).
Addressing a meeting attended by caretaker of Oil Ministry, Mohammad Aliabadi in Mahshahr south of Iran on Sunday, Bayat presented a report on the latest in petrochemical sector's activities at Mahshahr Petrochemical Special Economic Zone.
He said the installed capacity of 18 petrochemical complexes in the region stands at 25 million tons which was achieved by investing $9 billion, Shana reported.
The official remarked that based on a presidential directive, a taskforce had been formed in cooperation with the Ministry of Industries to examine the grounds for creating more jobs and value-added in petrochemicals.
A number of petrochemical complexes in Mahshahr are facing shortage of feedstock, said the official, adding there is about 10 million tons of idle capacity in the region.
"Increasing investment in the petrochemical sector as well as making use of the great potentials will transform our petrochemical industry into a more dynamic one in the near future," the official noted.
Iran and Russia agreed to construct a petrochemical complex in Assalouyeh, southern Iran, at the cost of $1.5 billion.
After three years of negotiations, National Petrochemical Company (NPC) and a Russian oil company agreed to build a petrochemical complex in the second phase of Pars Special Economic Energy Zone (PSEEZ), Assalouyeh, Mehr News Agency reported.
Under the agreement, the Russian side will invest $1.5 billion in constructing the complex, the report said.
Urea fertilizer and ammonia will be the main products of the complex, while natural gas feedstock for the unit will be provided by the Oil Ministry and the new phases of South Pars.
At present, the joint working group from the two companies has launched studies while talks are underway on setting the price of feedstock and some legal issues pertaining to the contract, the report added.
Last month, Iranian and Russian officials held a meeting on the sidelines of 11th International Oil and Gas exhibition in Moscow to discuss ways to expand energy cooperation.
The visiting Iranian delegation, including lawmakers and energy officials, and the Russian authorities stressed on expansion of joint investment and cooperation in oil and gas sectors of both countries, IRIB reported.
"Russian companies are eager to invest in Iran's oil and gas projects and that Russia will be a reliable partner for Iran in its oil and gas fields," said Talyat Aliev, the deputy director of International Department of Russian Energy Ministry.
"We are ready to expand cooperation in Iran's oil and gas sector by removing the obstacles," Aliev said.
GECF Cooperation
Early in April, the two countries called for a greater role by the Gas Exporting Countries Forum (GECF) in establishing security in the international energy market.
The two sides also called for further cooperation between gas producing and exporting companies in GECF member states for a greater global energy security, Fars News Agency reported at the time.
The comments were made in a meeting between CEO of Russian energy giant Gazprom Alexey Miller and Ali Aqa-Mohammadi, the Iranian vice president's deputy for economic affairs, in Moscow.
The GECF was established in Tehran in 2001 and its members include Algeria, Bolivia, Egypt, Equatorial Guinea, Iran, Libya, Nigeria, Qatar, Russia, Trinidad and Tobago, and Venezuela.
The organization controls 70 percent of the world's natural gas reserves and 85 percent of the world's liquefied natural gas (LNG) production.
Last year, Tehran and Moscow agreed to establish a joint bank to help fund bilateral projects and expand cooperation in natural gas deliveries and oil products.
According to Deputy Oil Minister Javad Oji, the joint bank would finance oil and gas projects and work out a mechanism for using the currencies of both countries for payments.
Mahshahr Petrochemicals
Managing director of the National Petrochemical Company has announced plans by the company to invest more than $14 billion in Mahshahr Petrochemical Special Economic Zone during the Fifth Five-Year Development Plan (2010-15).
Addressing a meeting attended by caretaker of Oil Ministry, Mohammad Aliabadi in Mahshahr south of Iran on Sunday, Bayat presented a report on the latest in petrochemical sector's activities at Mahshahr Petrochemical Special Economic Zone.
He said the installed capacity of 18 petrochemical complexes in the region stands at 25 million tons which was achieved by investing $9 billion, Shana reported.
The official remarked that based on a presidential directive, a taskforce had been formed in cooperation with the Ministry of Industries to examine the grounds for creating more jobs and value-added in petrochemicals.
A number of petrochemical complexes in Mahshahr are facing shortage of feedstock, said the official, adding there is about 10 million tons of idle capacity in the region.
"Increasing investment in the petrochemical sector as well as making use of the great potentials will transform our petrochemical industry into a more dynamic one in the near future," the official noted.
© Iran Daily 2011
