Petrochem projects will receive $3.3b

About 20.425 trillion rials ($2.04 billion) plus $1.285 million will be invested in 21 petrochemical projects which are expected to be implemented under “Mehr-e Mandegar” Plan.

According to an IRNA report on Tuesday, butane production unit of Jam Petrochemical Complex and polyvinyl chloride (PVC) production line at Arvand Petrochemical Complex are the two projects which have come into stream.

It added that other 19 projects will become operational by June 2013.

According to a statement released by the Oil Ministry, some $2 billion of the sum required for implementation of the petrochemical projects has been procured through the financial resources of National Development Fund (NDF).

Bank Mellat is also expected to extend 500 billion rials ($50 million) loan facilities to the projects which are 90 percent complete. The remaining fund required to implement the projects will be procured through issuance of 10 trillion rials ($100 million) of bonds by Bank Sepah.

Earlier in February, the Managing Director of National Petrochemical Company Abdolhossein Bayat said plans have been drawn up for using the vacant capacity of petrochemical industry.

He added that optimal utilization of the industry’s empty capacity will lead to an increase in the production of petrochemical commodities.

He put the installed capacity of the country’s petrochemical industry at 51 million tons, noting efforts are underway to increase the figure to 100 million tons.

Iran Daily 2012, Jul 25 2012