Iran Eyes Petrochem Expansion Through New Investment Drive

Iran Eyes Petrochem Expansion Through New Investment Drive
(Sunday, November 9, 2025) 09:44

TEHRAN, Nov. 7 (NIPNA) – The National Petrochemical Company (NPC) is prepared to fully support domestic and foreign investors as part of Iran’s broader strategy to accelerate development in its petrochemical sector, a key driver of the national economy, a senior official said on Saturday.


Hassan Abbaszadeh, Deputy Petroleum Minister and NPC Managing Director, said that petrochemical development remains one of the core priorities of Iran’s oil and gas industry, with investment attraction and financing for ongoing projects playing a central role in completing the value chain and boosting foreign currency revenues.

“Maximizing the use of hydrocarbon resources to produce higher-value products is among the main goals defined under the Seventh Development Plan,” Abbaszadeh said.

He noted that 66 petrochemical projects are included in the plan, requiring an estimated $26 billion in total investment. These projects, which have reached an average of 60% physical progress, have so far attracted about $13 billion in funding, with “notable advances” achieved during the first two years of implementation.

According to Abbaszadeh, ensuring stable feedstock supply, attracting sufficient investment, and securing reliable markets for petrochemical products are key conditions for sustainable growth. He also stressed the importance of maintaining a stable and predictable business environment to draw in investors.

Looking ahead, Abbaszadeh said that 46 new petrochemical projects are currently ready for investment and scheduled to come online by 2033 under the Eighth Development Plan. These projects, collectively valued at $44 billion, have already obtained the necessary environmental, land-use, and safety permits, and are supported by designated project managers. “Each project has a clear plan prepared for introduction to potential investors,” he added.

The NPC chief underscored the company’s focus on attracting investment from genuine private-sector players. “Of the roughly $90 billion invested in the petrochemical industry so far, only about 15% has come from the real private sector. Increasing this share is crucial, as private investors tend to act more efficiently, execute projects faster, and make more informed strategic decisions,” he said.

Abbaszadeh concluded that completing ongoing projects through coordinated financial participation from domestic and international investors, the banking system, and capital markets could significantly accelerate industry growth. “With sound planning and effective measures, Iran can successfully attract new investments into its value-creating petrochemical sector,” he said.

 


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