A top official at the Research Institute of Petroleum Industry said that small refineries are more profitable than larger ones.
Javid Royayi said mini-refineries have a 45-percent output while refineries currently operating in Iran have a 20-percent profitability rate.
He said that the cost of establishing mini-refineries ranges between $2 million and $5 million, Shana reported.
Siraf refining facilities are to be constructed in an area of 300 hectares in Pars II zone (Kangan) between development phases 13 and 19 of South Pars Gas Field in southern Iran.
The total capacity of the refineries in this complex is 480,000 bpd of gas condensates. In the first phase, Siraf plant is designed to produce 24,800 bpd of liquefied gas, 128,000 bpd of light naphtha, 147,600 bpd of heavy naphtha, 29,600 bpd of jet fuel and 149,600 bpd of diesel.
The infrastructure in this project is to be completed in eight months. After that, construction of eight refineries, each with a capacity of 60,000 bpd, will begin.
Each of eight companies involved in the Siraf project is committed to providing $300 million in equity, but they are not obliged to pay a lump sum. As the project makes progress, they would have to pay. This refinery would supply 70 percent of the feedstock needed for running petrochemical plants.
Namvaran, Gostaresh Energy Pasargad, Sazeh Nargan Falkon, Tapiko, Tanavob, Sata, Petro Farayand and Energy Amin Kasra are the companies participating in the construction of the eight gas condensate refineries
.