Page 12 - MEOG Week 04 2021

MEOG PROJECTS & COMPANIES MEOG

Iran brings $3.4bn gas refinery on stream

IRAN IRANIAN President Hassan Rouhani has cut at the Aghajari fields. The plant will also turn out
the ribbon on a $3.4bn gas refinery in Bidboland, 0.6mn tpy of condensate.
in the south-west Khuzestan region. All in all, the plant should generate $1.5bn
The plant runs on associated gas extracted at per year of revenue, including $700mn from
oilfields that until now has been flared, state tel- exports. Its construction, which began in 2015,
evision reported on January 21. It can handle up was funded by the state-run National Develop-
to 56mn cubic metres per day of gas, including ment Fund through a group of banks.
13.5mn tonnes per year of sour gas and 2.25mn “This refinery is capable of collecting the
tpy of sweet gas, the Iranian oil ministry’s Shana whole associated gas in three provinces of Khuz-
news agency reported. estan, Kogilouyeh-Boyrahmad and Bushehr,”
Iran was the world’s fourth-biggest gas flarer Bidboland’s managing director, Mahmoud
in 2019, the World Bank said in a report on July Aminnejad, said at the ceremony.
2020. The plant will initially receive associated
“At full capacity, around 60% of our flaring gas from the East Karun oilfields, followed by
gas will be taken care of by Bidboland and won’t the West Karun fields at a later stage. It will also
be burned,” Iranian Oil Minister Bijan Zanganeh produce 500,000 tpy of pentane plus, which
said at the launch ceremony. “Around 15% of the will be used to develop 15,000 barrels per day
flaring gas will be taken by a project in Marun (bpd) of gasoline at a mini-refinery, according
and in 2023, our flaring gas will near zero.” to Zanganeh.
The project will annually produce 10.4mn Iran boasts the second-largest proven gas
tonnes of purified methane for injection into the reserves at 32 trillion cubic metres, most of
national gas grid. It will also produce 1.5mn tpy which is found at the South Pars field in the Per-
of ethane, which will serve as feedstock at petro- sian Gulf. Speaking at the event, President Rou-
chemicals plants in Mahshahr and Gachsaran. hani lamented that Iran had not fulfilled its gas
Iran is looking to build up its petrochemicals export potential.
sector to add value to its resources and diversify “We are behind in gas exports. We should be
its economy. one of the top five gas exporters in the world,” he
A further 1mn tpy of propane and 0.5mn said. “The world is in need of Iran’s oil and gas.
tpy of butane will be exported, while 0.9mn We can become the region’s hub in production
tonnes of acid gas will be injected into oil wells and exports of electricity or gas.”™

Plans announced for Qeshm oil reserve

IRAN IRAN has announced it will build a strategic a specialised workforce was trained in the com-
reserve of 30mn barrels of oil on Qeshm Island pany and the knowledge became localised with
as a buffer against the impact of further US sanc- cost savings,” he said.
tions, an official from the island announced, Zenalpour said that the cost of building the
IRIB reported on January 26. reserves with Iranians is 40% less than with for-
Qeshm Island is a unique location for pet- eign companies with around noting that $61mn
rochemical exports from Iran as it sits outside was saved with the use of Iranian companies to
the Persian Gulf and Strait of Hormuz allowing fill the foreigners’ departure after 2012 and 2018
access and shorter load times than further down when sanctions were renewed.
the coast. He added the storage facility will have an
As part of the plan a 60 strategic petroleum average of storage capacity of 6.5mn barrels per
reserves (SPRs), each with a capacity to store day (bpd) of crude and condensates once the
500,000 barrels will be built said Panahsaz Iran second and final phase of the project is launched
Engineering CEO Gholamreza Zenalpour to in 2021.™
IRNA.
The company has experience in building LPG
facilities in the large South Pars gas field follow-
ing the departure of foreign companies since the
resumption of US sanctions under former Pres-
ident Trump.
“With the measures taken, not only was there
no disruption in the absence of foreigners, but

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