Aria Sasol Outlines Capacity Expansion Roadmap to Boost Market Flexibility

Aria Sasol Outlines Capacity Expansion Roadmap to Boost Market Flexibility
(Sunday, November 30, 2025) 15:55

TEHRAN, Nov. 29 (NIPNA) – The CEO of Arya Sasol Polymer Company said the firm’s new medium- and high-density polyethylene (MD/HDPE) project, along with a tenth ethylene furnace and a C3-plus separation unit, form the company’s strategic roadmap to strengthen capacity, diversify its product slate and enhance profitability.

According to the company, shareholders approved a 150% capital increase sourced from retained earnings during an extraordinary general meeting on Nov. 24. CEO Mohammadreza Heydarzadeh said the decision ensures stable financing for Arya Sasol’s critical expansion projects without disrupting construction schedules.

He said the 300,000-tonne-per-year MD/HDPE unit, now under construction, is scheduled to come online by late September 2026. The capital increase, he added, is designed to guarantee timely execution so the project can begin production without delay.

Capacity Additions to Strengthen Product Balance

Arya Sasol currently produces 1.1 million tonnes of ethylene at its olefins unit, 375,000 tonnes of LDPE, and 375,000 tonnes of MD/HDPE annually. Heydarzadeh said the new 300,000-tonne MD/HDPE line will improve the balance of the company’s product mix, give it more flexibility in target markets, and create stronger synergies with ethylene feedstock.

He noted that the company’s tenth olefins furnace—designed to reinforce stable ethylene supply—is nearing start-up, while construction of the C3-plus separation unit remains underway. Together, these three projects form the backbone of Arya Sasol’s long-term plan to expand capacity and sustain profitability.

Additional initiatives, including a seawater supply pipeline, are also progressing in parallel.

The CEO said the new MD/HDPE unit is expected to deliver an internal rate of return of 35% and a net present value of 545 trillion rials. The new furnace and C3-plus unit are likewise aimed at debottlenecking production, improving value recovery, and strengthening cash flow and margins.

“These are profitable, high-priority projects,” Heydarzadeh said, adding that the capital increase will help accelerate their completion and support the company’s broader growth strategy.

 


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