Industrial Prosperity in Makran

CEO of National Iranian Gas Company (NIGC) Hassan Montazer Torbati has said that so far about IRR 120 trillion (over $2.85 billion) has been spent for connecting the southeastern Chabahar port to the Iran's national gas network.

According to Torbati, the supply of natural gas to the strategic port and to the Makran coasts is going to create industrial prosperity in the region.

Speaking in a follow-up meeting on Sistan & Baluchestan gas supply projects, Torbati said due to the vastness of the province, in total, 2,000 sections of gas pipelines have been designed and planned to be implemented across the province, of which so far 300 kilometers (km) have been implemented and 770 km of pipelines are currently being implemented.

Torbati put the projected capital for the implementation of the mentioned pipelines with the gas supply facilities in the cities at more than IRR 200 trillion (about $4.7 billion), saying that the required steel sheets and pipes for the mentioned pipelines have been provided.

He said that the Iran Gas Trunkline-7 (IGAT-7) had been built to carry gas from Assaluyeh for export to Pakistan. “But the issue of Pakistan was put on hold and gas supply to Sistan & Baluchestan was not on the agenda. Gas supply to Zahedan was finally followed up on and in March 2018, the first section of the Iranshahr-Zadegan pipeline came online while President [Hassan Rouhani] was in attendance. Iranshahr had earlier been connected to the gas network.”

Montazer-Torbati said other provinces would help with gas supply to Sistan & Baluchestan, adding two pipelines – one 36 inches in diameter and one 24 inches – would come online by September.

 Key Equipment for Vessels Made in Iran

 CEO of Iran Oil Terminals Company (IOTC) Abbas Assadrouz has announced that a key item used in vessels has been developed by IOTC in partnership with Iranian knowledge-based companies.

“Specialized berthing and separation operations up to global standards at this company, is under way in line with a mission assigned by the Petroleum Ministry and National Iranian Oil Company (NIOC),” he said.

“One of the IOTC-owned vessels that is tasked with berthing and separating oil tankers and fighting fire and providing other offshore services has been out of service due to problems in the speed control system,” he added.

“The ASD vessel’ propulsion system is Z/P, which is among the latest systems for tugboats. It has been developed by Japanese companies,” said Assadrouz.

“After expert work by electronic and instrument engineers at the Offshore Operations Department, it came out that the M/E Control electronic card has experienced disruption in commanding speed control, thereby causing RPM fluctuations.

South Pars Meets Annual Target

 The CEO of Pars Oil and Gas Company (POGC), which is in charge of developing the country’s giant South Pars gas field, has announced that the production goals set by the Petroleum Ministry for the field in the previous Iranian calendar year (ended on March 20) have been completely realized.

Mohammad Meshkinfam said that the South Pars gas field’s output even exceeded the ministry’s production targets by 15 mcm/d during the previous year’s winter period.

“Fortunately, via the efforts made by our colleagues in the operations and support department, about 15 mcm/d of gas was produced in excess of the target output approved by the Petroleum Ministry during the last winter,” the official said on the sidelines of a meeting with the managers of POGC’s operations and support department.

Referring to the preparation of a 20-year vision plan for South Pars’ development and maintenance, he added: "It is necessary to form a working group to prepare and compile a guiding document for maintaining sustainable gas production from South Pars in short-term and long-term periods and in order to identify problems and to make plans for eliminating bottlenecks.”

 Iran Set to Lift Oil Output

 Deputy Minister of Petroleum for Planning Houshang Falahatian has said the most important plan envisaged by the Petroleum Ministry for the current calendar year is to enhance crude oil production.

Falahatian said as demanded in the annual budget bill, oil production level has to increase to supply domestic needs and provide an acceptable portion for export to world markets.

“In parallel with this important objective, the subsidiaries of National Iranian Oil Company (NIOC) have developed plans for production, support and removal of obstacles,” he said.

Falahatian touched on low-yield oil wells, saying efforts were under way in collaboration with knowledge-based companies and universities to increase their yield.

“Removing the obstacles ahead of contractors and investors is incorporated in the agreements,” he said.

Falahatian said natural gas held a 70% share in the energy mix, adding that gas production exceeded 1bcm last calendar year to hit a new record.

 Self-Sufficiency in Petchem Catalysts

 Petrochemical Research and Technology Company (PRTC) plans to develop two catalysts for the production of polypropylene and high-density polyethylene.

PRTC has in recent years made big achievements in terms of developing technical knowhow for processes and catalysts.

Last year, the technical savvy for converting natural gas to PP was unveiled in the Mahshahr branch of PRTC. The same technology helped operate the GTPP plant in Eslamabad Gharb Petrochemical Plant.

The projects under way in the Tehran, Arak and Mahshahr branches of PRTC are big opportunities for the petrochemical industry.

The remaining projects from a total of 17 projects planned for last calendar year that could not become operational due to the coronavirus pandemic are on the line to become operational.

In coincidence with the accelerated development of the petrochemical industry and increased production capacity, various aspects of technology, research and knowhow are also pursued.

Zangeneh Highlights Achievements

Iranian Minister of Petroleum Bijan Zangeneh has said the country saw breakthroughs in the oil sector despite sanctions and the coronavirus pandemic.

Zangeneh made his remarks during a meeting with the heads of the major four subsidiaries of Petroleum Ministry; National Iranian Oil Company (NIOC), National Iranian Gas Company (NIGC), National Petrochemical Company (NPC), and National Iranian Oil Refining and Distribution Company (NIORDC).

The minister said sanctions largely affected the Petroleum Ministry’s plans, adding: “Meantime, the outbreak of the coronavirus directly did not affect the petroleum industry plans, but sanctions were effective.”

“We need to acknowledge that non-removal of sanctions could largely affect exports and investment. We will try our best, but we cannot ignore realities,” he said.

Zangeneh said during the several months left from the mandate of the current administration, the Petroleum Ministry was planning to overcome obstacles and challenges within the petroleum industry.

“But it would not deflect our attention away from other petroleum industry aspects. We will also consider them as in parallel with our major plans and we will take measures for their materialization,” he said.

Separately, during a visit to Sistan & Baluchestan Province, Minister Zangeneh said IRR 200,000 billion had been allocated to supplying gas to the province.

“Development needs infrastructure. In Sistan, we have to go beyond the issue of water,” he said.

Zangeneh said all gas supply projects had to be completed by July because after that a new administration would be taking office.

The minister said that studies on the Chabahar-Konarak and Khash-Saravan gas transmission lines had to be followed up on. He said he would be visiting the province after the holy fasting month of Ramadan.

“Last [calendar] year, 221 million liters of liquefied petroleum gas and kerosene was distributed in Zabol, up 30% year-on-year. Kerosene distribution currently stands at 4.7 ml/d in the country, 2.2 ml/d of which in this province.