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NPC Signs 402 Million Euro Contracts for Setting up 2 Petrochemical Complexes

Source: Tehran Times 10/22/2005, Location: Asia

National Petrochemical Company (NPC) and a consortium of Iranian Nargan Co. and the Italian Technimont Co. on Thursday singed the contracts on constructing two petrochemical complexes in Mahabad of West Azarbaijan Province and Khorramabad of Lorestan Province. The complexes are due to totally produce 600,000 tons heavy and light polyethylene and butane-1 per annum.

The contacts valued at some 201 million euros apiece were signed in the presence of Mohammad-Reza Nematzadeh, the deputy oil minister for petrochemical affairs and the Italian ambassador to Tehran.

The linear heavy and light polyethylene units with the production capacity of 300,000 tons a year will be set up based on the technology used in Basel Company. The butane-1 unit has the production capacity of 30,000 tons per year. The complexes are constructed for meeting the domestic needs as well as the export purposes.

They are expected to be built within 38 months. The contracts consist of providing the technical know-how, carrying out the basic and detailed engineering, supplying the equipment and raw materials, as well as technical cooperation at the time of construction, pre-commissioning and commissioning.

The feed required by the complexes are as much as 324,000 tons per annum and will be supplied by the cross-country west ethylene pipeline.

Furthermore, the utility unit of petrochemical complex of Mahabad and Lorestan will provide the water, electricity, and steam needed by the complexes.

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