In a landmark event, eight major oil, gas and petrochemical projects, valued at more than $20 billion, came on-stream in Assaluyeh on April 16 at a ceremony attended by President Hassan Rouhani. It was the first time that such a number of projects were being inaugurated; therefore, they represented the biggest investment ever made in Iran's petroleum industry. President Rouhani said it was a memorable day in Iran's oil history.
Phases 17, 18, 19, 20 and 21 of South Pars gas field and South Pars oil layer become operational in the morning of April 16. The same day in the afternoon, four petrochemical projects – phase II of Kavian Petrochemical Plant, Morvarid MEG Entekhab styrene and Takht-e Jamshid Pars – were launched in the presence of President Rouhani, Minister of Petroleum Bijan Zangeneh, Minister of Foreign Affairs Mohammad Javad Zarif, Minister of Industry, Mine and Trade Mohammad Reza Nematzadeh as well as other senior officials and a group of Iranian MPs.
Addressing the ceremony to inaugurate the South Pars development phases, President Rouhani said it was a historic day for Iran's oil industry.
"Our biggest objective is to develop Iran," said the president.
Rouhani said slashing the runaway inflation rate, increasing the economic growth rate to 12%, implementation of healthcare scheme and Iran's landmark nuclear deal with six world powers constituted Iran's sources of national honor under the 11th administration.
Memorable Day
President Rouhani described April 16 as a memorable day in Iran's petroleum industry, saying: "This day is the day of realization of Iran's resilient economy. Of course, Iran's petroleum industry has been creating honorable days (over the past two years)… and has managed to double Iran's petroleum products exports within months."
Rouhani referred to Minister Zangeneh's firm opposition to any reduction in Iran's OPEC production quota, saying: "Iran's oil managers and petroleum minister managed to regain the right the Iranian nation had been denied for years so that we would be able to bring Iran's oil supply to world markets back to pre-sanctions levels while other producers were reducing their output. That way was a source of national honor."
"16 April 2017 is a memorable day in the country's oil and gas industry. Five phases, one of which is equivalent to two phases, and in other words six phases of South Pars became operational in a single day and we are at the same time starting production from the oil layer of South Pars. Furthermore, operation of several petrochemical projects in this zone is to start in the afternoon," said the president.
"The point that powerful Iran can inaugurate and operate more than $20 billion of projects in a single day will mark a historic day for Iran's petroleum industry," he added.
Jump in Iran Oil/Gas Output
President Rouhani also highlighted Iran's efforts to enhance recovery from oil and gas fields jointly owned by neighbors. He heaped praise on oil managers for their contribution, saying: "Today, we outproduced our neighbor in a jointly owned oil field."
He referred to enhanced gas recovery from South Pars in the 11th administration, saying: "Iran's gas production has increased from 240 mcm/d to 575 mcm/d after three and a half years under the 11th administration, i.e. a 2.4-time increase."
"That means we can experience renewed success, exercise knowledge-based economy and move towards summits of progress," said Rouhani.