In the future, there is no hope for the Chinese market for Iranian polypropylene/ Pars Petrochemical PDH project implementation operations will start by the end of the year

According to the exclusive report of Energy Press, experts believe that PDHPP projects will suffer the fate of Iranian methanol producers and they do not see a bright future for them. Pars Petrochemical, like many petrochemicals in the country, is seeking to implement the PDHPP project to complete its value chain. Siavash Mirhaji, CEO of Pars Petrochemical, told “Energy Press” about this project: Feasibility studies of Pars Petrochemical’s PDH project were conducted three times, which was also the output of value chain studies.
In the value chain studies for the propane product, among all the scenarios, we reached the PDH plan and then two PP units.

The CEO of Pars Petrochemical continued: In the value chain studies, the grades are not determined, after selecting the contractor and the technology, the grade of polypropylene is finalized.

The CEO of Pars Petrochemical pointed out that no changes have been made in the PDH plan and stated: In this plan, the best technology in the world is used and the plan to convert 700,000 tons of propane into 600 tons of propylene is being implemented. The contractor has been identified and we are trying to start its executive operations by the end of the year.

Mirhaji said about the polypropylene project: In the context of the polypropylene project, there were concerns about whether the production of 600,000 tons of polypropylene would have a good market and economy. According to previous reports, the answer is yes and there is no problem. When we were preparing the tender documents for polypropylene, more research was done on what technology to implement this project. In the research and studies, we decided to produce only 300,000 tons of polypropylene for the better economy of the plan.

He added: Domestic and foreign competitors were examined again. In Iran, at the same time, Bidbland Refinery of the Persian Gulf, Alai Mehstan, Mehr Petro Kimia, Jam Petrochemical and Ekhet have polypropylene plans. Also, China, which currently imports 1.5 million tons of polypropylene, will become an exporter of 4 million tons of polypropylene in 2028.

CEO of Pars Petrochemicals said: Considering these conditions, we decided to implement the production of 300,000 tons of polypropylene on the gas phase, whose economy and market are guaranteed until 2050, and for the rest of the production capacity, we will carry out other value chain projects.

Mirhaji reminded: If we want to implement the PDHPP chain with the hope of the Chinese market, definitely when our units are put into operation, they will not have a place in the Chinese market and we will not be able to export.