Addressing a ceremony to launch 3 major petrochemical projects on Thursday, August 6, Zangeneh said the country’s petrochemical revenue would reach $25 billion by 2021 and $37b by 2024.

As he said the country’s petrochemical production capacity had doubled since 2013 that Iranian President Hassan Rouhani took office.

Zangeneh also underlined the important role of petrochemical companies in the country’s stock market, saying the sector enjoyed 25% of the market’s share.

He said today two important methanol projects and a technological project for catalyst production would be put into operation.

By the end of the year, he said, 13 other projects will also be put into operation, which would increase the country's petrochemical production capacity by 25 million tons per year.

He added: "One of the most important tasks of the petrochemical industry is to prevent the sale of raw materials by completing the value chain in the oil and gas industry, as well as supplying downstream feedstock for the domestic industries, while preventing more than $5 billion in foreign currency from leaving the country annually."

He said in the period between 2013 and 2019, 18 petrochemical projects came on stream in Iran.

He continued, “With the operation of 27 other petrochemical projects by 1400 (March 21, 2021) and with an investment of 17 billion dollars, the total value of petrochemical products will reach 25 billion dollars per year and by the end of 1403 (March 21 2024) and completion of the third leap their value will reach 37 billion dollars.”

Production of 18 Catalysts by 2021

"We have 40 groups of catalysts and 85 types of catalysts are used in the petrochemical industry worth $270 million," he said. "In the last seven years, 18 catalysts worth $104 million have been localized and produced domestically."

The Iranian Minister of Petroleum continued with the planning done until 2021, another 18 catalysts worth about $90 million will be produced domestically.

Increased Methanol Output

Zangeneh stated that with the opening of two petrochemical projects in Kimia Pars Middle East and Kaveh, 4 million tons will be added to the country's petrochemical production capacity.

He estimated the value of the three projects that were inaugurated today at about $1.6 billion, and added: "The country's methanol production was 6.7 million tons by the end of last year, which will amount to 17.5 million tons at the end of the second leap and at the end of the third leap it will reach 24 million tons.”

"Although methanol production enhancement is good news, but it is also a warning that it may cause a glut in the market, so in this regard, methanol producers should pay much attention to its downstream sector,” he warned.