Speaking Friday at the official inauguration ceremony for 800 kilometers of new Iranian oil product pipelines, Mohammad-Sadeq Azimifar said the refining and distribution industry is like an interconnected chain spread across the entire country.
“Ten major refineries in the country, with a daily capacity of 2.4 million barrels, convert crude oil and gas condensates into oil products,” he said.
He added that about 14,000 kilometers of pipeline, 17,000 road tankers and 3,000 rail tankers are active in transporting oil products. Storage operations are carried out at 87 oil depots across the country, and fuel is distributed at 7,000 stations supplying gasoline, diesel and compressed natural gas (CNG).
Increasing gasoline, diesel production
Azimifar stated that due to rapidly growing consumption, largely stemming from low efficiency in consumer sectors like transportation and power plants, the country faces a shortage of some products like gasoline.
He said the company has pursued several main strategies to manage this shortfall since the beginning of the current administration. The first strategy was to increase the quality and quantity of refining output.
“In the first year of the administration, by increasing feedstock and launching some quality improvement units, the production of gasoline and diesel each increased by 5 million liters per day,” he said.
He also said two new refineries with a total capacity of 180,000 barrels per day and three oil product quality improvement plans will become operational by the end of the current Iranian calendar year (March 2026). The total investment in projects becoming operational this year is about $3 billion.
He named the development of crude oil and oil product transmission and distribution infrastructure as the second strategy.
“Most of the country's crude oil and oil products are produced in the south, while consumption is higher in the north. For this reason, transferring crude oil and oil products to the north has always been a serious and costly challenge for the government,” he said.
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