Oil Minister Bijan Namdar Zanganeh has expressed optimism that Kaveh Petrochemical Complex in the Persian Gulf port city of Bandar Dayyer, Bushehr Province, would go on stream in February 2017.
“More than $600 million have been invested on the construction of the complex by the private sector under the sanctions regime,” Zanganeh was also quoted as saying by Shana during a tour of the facility this week.
The complex boasts a methanol production unit that will reportedly become the world's largest, according to the complex’s official website.
As Kaveh Petrochemical complex has a private jetty, it is capable of exporting its output with much ease.
The official added that a small portion of the financing has been procured via bank loans, hoping that the unnamed investor will complete the investment process in time.
Following the easing of western restrictions on Iran's nuclear program in January, Iran hopes to attract $55 billion for petrochemical projects by 2025. Investment over the past two years amounted to a meager $2.5 billion.
Zanganeh also assured the complex of consistent delivery of feedstock and called for setting strict health, safety and environment standards in the process of setting up the petrochemical complex.
He also voiced his satisfaction over the use of domestic potentials in the plant.
The water desalination unit, cooling systems, as well as electrical power requirements for safe and sound operation of the plant have already been installed.
In a meeting with the Leader of Islamic Revolution Ayatollah Seyyed Ali Khamenei this week, President Hassan Rouhani noted that over the past two years, petrochemical production has risen by 14%, while exports have witnessed a 46% jump.
Ahmad Mahdavi, the head of the Association of Petrochemical Industry Corporation, said in June that Iran is planning to raise the share of petrochemical products in non-oil exports to 35%. "The share of petrochemicals in non-oil exports reached 33% from 28%" in the previous Iranian year that ended on March 19, 2016, he added.
Iran's nominal petrochemical production capacity is close to 60 million tons a year, with annual output standing at 40.5 million tons, 44.5 million tons and 45.6 million tons over the past three years. The volume is expected to reach 50 million tons this year.