Zangeneh also said that long-term fiscal exemptions were among advantages of Iran's petrochemical industry.
Gas-to-Olefin Units
Zangeneh said the Iranian Ministry of Petroleum was determined to push ahead with developing technologies to convert natural gas to olefins.
"Despite huge efforts over the past four years, establishing such units was not possible in Iran due to sanctions. However, this is a policy of government which would be supported and encouraged," he added.
Zangeneh highlighted investment made in the downstream chain of petrochemical industry, saying: "Creation of capacity for producing 13 million tonnes of ethane, 13 to 14 million tonnes of butane and propane from South Pars gas field and more than 10 million tonnes of NGL has created appropriate conditions for domestic and foreign investment and financing in this industry."
72mn Tonnes Petchems
Marzieh Shahdaei, CEO of NPC, said at the conference that sufficient feedstock and infrastructure had been prepared for the petrochemical industry development post-JCPOA.
"We hope that this year with the completion and startup of seven more petrochemical projects in Iran, the output of petrochemical products in the country will reach 72 million tonnes a year, valued at $9 billion," she said, noting that such an objective would be achievable post-sanctions.
She gave a positive assessment of Iran's petrochemical industry in the last calendar year, adding: "Iran's petrochemical production reached 50 million tons in the Iranian calendar year 1395(started in March 2016)."
Shahdaei said Iran's net petrochemical sales were at 28 million tons, worth $15 billion, last calendar year, adding that 21 million tonnes, valued at $9.4 billion, were destined for foreign countries.
She said that in the last calendar year 11 petrochemical projects came on-stream with an investment of $3.4 billion.
Top Non-Oil Export Rank
Shahdaei said that Iran's petrochemical sector had claimed the top spot in non-oil exports, adding: "The presence of foreign companies alongside domestic companies and the memorandums signed with leading industrial companies and international financial bodies are indicative of the beginning of a new phase in development in this industry and heralds a second jump in the petrochemical industry."
She said that attraction of investment, transfer of cutting edge technologies and benefiting from domestic capabilities with a view to completing the value chain in line with the policies enshrined in resilient economy are among the future objectives of petrochemical industry.
"Thirty new projects with available feedstock are planned in the 6th Development Plan with an investment of $40 billion," Shahdaei said.
The NPC managing director said that the company was mulling over construction of new petrochemical zones in Iran.
She said that the annual IPF had always facilitated interactions between Iranian and foreign sides, adding that the 13th IPF would clear the way for a second jump in Iran's petrochemical industry.
Iran Role in World Gas
In his address to the forum, Mohammad-Hossein Adeli, secretary general of Gas Exporting Countries Forum (GECF), highlighted the inauguration of development phases 17 to 21 of South Pars.
"Iran has potential to play a major role in the world gas market through investment and international partnership," he said.
Adeli said Iran was the largest consumer of gas in the Middle East, adding: "Iran accounts for 40% of the Middle East gas consumption and its consumption reached 180 bcm in 2016."
Adeli said the 1.8% growth in gas consumption in the Middle East was high, adding: "Increased consumption in Kuwait, Saudi Arabia, United Arab Emirates and Iran constitute reasons for this growth. What makes Iran different from these countries is that it faces no shortage of gas."
Iran High Energy Consumption
Adeli said energy consumption had doubled in Iran over the 2000-2015 period. He added that energy consumption was forecast to increase again in Iran.
Adeli enumerated high energy consumption, high energy intensity and Iran's limited presence in the world gas market as the three main challenges faced by Iran in the energy sector.
"Although the inauguration of South Pars phases is an appreciable measure for the revival of Iran's gas capacity a comprehensive solution must be sought for Iran's high energy consumption. One of them could be the issue of pricing," he said.
Adeli also noted that Iran was among five countries with the highest energy intensity, saying energy efficiency was very low in Iran.
"Iran owns the largest gas reserves in the world, but its presence in the gas market is at its minimum," he said.