The joint venture agreement was signed on Sunday in a bid to complete the value chain and diversify the petrochemical output of the two companies by Ibrahim Valadkhani and Siavash Derafshi, the CEOs of Shazand and Tabriz Petrochemical Plant, respectively.

The document is aimed at developing the value chain for production of C6 cuts and product diversification in Shazand and Tabriz petrochemical plants. Accordingly, a benzene production unit as well as a heavy naphtha furnace will be constructed jointly by the two companies.

Moreover, increasing the capacity of ethyl benzene, styrene monomer and other polystyrene units of the two firms is also aimed at in the deal.

The two companies eye $50 million/year in profits by fulfilling the contract.