Iran to Add 10 Million Tons to Petchem Capacity with 19 New Projects by 2025

Iran to Add 10 Million Tons to Petchem Capacity with 19 New Projects by 2025
(Tuesday, July 29, 2025) 14:31

TEHRAN (NIPNA) – Iran is poised to expand its petrochemical output by 10 million tons per year by the end of 2025, with 19 new projects scheduled to come online, a senior official at the National Petrochemical Company (NPC) said on Tuesday.

 

Ahmad Jalilian-Fard, NPC’s Director of Projects, said the developments include 15 production units and four feedstock supply projects. “These initiatives are in line with the country’s strategy to complete the value chain and secure feedstock supply,” he said.

The only gas-based project among them is Apadana Petrochemical Plant, Jalilian-Fard noted. “The rest contribute to diversifying feedstock and expanding downstream capacity.”

According to the official, one or more petrochemical projects are expected to launch each month through 2025. Five plants have already achieved commercial production, including the Apadana Methanol Complex, Kimia Petrochemical’s two polystyrene units in Esfahan and Dalahoo, PetroDehloran Refinery, and the East Karoun Associated Gas Recovery Project – though these have yet to be formally inaugurated.

Key Projects for 2025

The 19 projects set for completion include:

  • East Karoun Gas Recovery (Phase I): Collecting 2.7 million m³/day of flare gas to feed Bidboland Gas Refinery and shut down 10 flares, reducing pollution.
  • Apadana Petrochemical: Producing 1.65 million tons/year of methanol.
  • Kimia Petro Esfahan and Dalahoo Plants: Producing a combined 170,000 tons/year of general-purpose and impact-resistant polystyrene.
  • Arman Sepahan Petrochemical: First-time domestic production of 33,000 tons/year of isopropyl alcohol.
  • PetroDehloran Refinery: Annual production of over 1 million tons of C2+ hydrocarbons.
  • Arghavan Gostar Ilam Petrochemical: Output of 150,000 tons/year of polypropylene.
  • Maroon Flare Gas Collection: Supplying ethane recovery and reducing pollution by deactivating 24 flares near Ahvaz; annual output of 535,000 tons of C2+.
  • Karoon Petchem’s HICO Project: Enhancing self-sufficiency in feedstock.
  • Hengam Urea Unit: Producing 1.075 million tons/year of granulated urea.
  • Kangan Olefin Unit: 1 million tons/year of ethylene and 89,000 tons/year of C3 cuts.
  • Bushehr Petrochemical Olefin and MEG Units: Annual production of 1.09 million tons of ethylene and 554,000 tons of monoethylene glycol.
  • Kangan HDPE Unit: Output of 300,000 tons/year of high-density polyethylene.
  • Hoveyzeh Gas Refinery Phase II: Producing 1.3 million tons/year of C2+ hydrocarbons.
  • Maroon Pure Ethylene Oxide: Annual production of 45,000 tons of ethylene oxide for Petronad Asia's ethoxylate plant.
  • Sadf Assaluyeh Petrochemical: Producing 136,000 tons/year of ESBR rubber.
  • Petronad Chemical Park Ethoxylate Plant: Output of 80,000 tons/year for pharmaceutical and hygiene industries.
  • Salman Farsi PDH Project: Producing 450,000 tons/year of propylene.

Energy and Utilities Expansion

Additionally, two gas turbines with a combined capacity of 366 megawatts are under development in Makran and Assaluyeh by the Negine Makran Development Petrochemical Company and Damavand Energy Assaluyeh. Commissioning is expected by mid-September.

A major reverse osmosis water treatment plant is also underway, with a total capacity of 2,083 cubic meters per hour. Of this, 833 m³/hr is currently operational, another 416 m³/hr is expected to come online within 20 days, and the remainder is scheduled for completion by October.

These projects form part of Iran’s broader strategy to enhance value-added production and reduce raw material exports amid ongoing international sanctions.

 


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