2. In the name of God
The compassionate
The merciful

3. Mohammad Mehdi Siamian Gorji
Iran‘s rising influence in the petrochemicals industry
Mohammad Mehdi Siamian Gorji
7-JULY-2017

4. Low energy costs due to non-conventional fuels
Low energy costs due to non-conventional fuels. The rate of shale gas in the US energy production is expected to grow from current 10% to 36% by 2035.
China is the world leader
in plastics production and conversion. Low production costs in plastics’ conversion have triggered investments
in the plastics industry, including the plastics machinery manufacturing.
67% of the world’s oil reserves and 45% of the world gas reserves are located in the Middle East.
Feedstock provides opportunities for the petrochemical industry there.
Strong growth in plastics conversion sector (more than companies and 4 million employees(.
Key drivers are the growing population and the growth of manufacturing sectors such as the automotive sector.
q21aw
One-third of the bio-plastics are produced in Latin America. Access to bio--based feedstock provides opportunities for the Brazilian bio-plastics industry.
Source: based on The European House Ambrosetti study, 2013

5. Population:
population -million

6. Change in oil demand by sector in the New Policies Scenario, 2015-2040
mb/d 6 3 -3
Power
Buildings
Passenger
Maritime
Freight
Aviation
Petrochemicals
generation
cars
(Feedstock)
The global car fleet doubles, but efficiency gains, biofuels & electric cars reduce oil
demand for passenger cars; growth elsewhere pushes total demand higher

7. Change in oil demand by sector in the 2 °C Scenario, 2015-2040
mb/d 5 -5
-10
Power
Buildings
Passenger
Maritime
Freight
Aviation
Petrochemicals
generation
cars
(Feedstock)
Stronger climate policies curb demand across sectors, but demand for
petrochemicals remains stable
© OECD/IEA 2016

8. Shares of primary energy0%
10%
20%
30%
40%
50%
1965
1975
1985
1995
2005
2015
Nuclear
Oil
Coal
Gas
Hydro
Renewables*
© BP p.l.c. 2017

9. 103 mt/y Iran’s Petrochemical Complexes Region No.
2016
Region
No.
Capacity (million/tons per year)
Mahshahr 21
25.8
Assaluyeh 15
26.9
Other regions 19
11.4
Total output capacity 55
64.1
103 mt/y
Iran’s Petrochemical Under Construction Projects
Region
No.
Capacity (million/tons per year)
Mahshahr 7
1.5
Assaluyeh 16
21.4
Other regions 26
Total output capacity 49 39

10. Mahshahr Assaluyeh Iran is ready to develop the petrochemical industry
Petrochemical complexes
Petrochemical projects
Projects enroute the
ethylene pipeline
6th development plan
:private sector
Special Economic Zone
Future petrochemical Hubs
Iran is ready to develop
the petrochemical industry
Mahshahr
Assaluyeh
Other areas
West Ethylene Pipeline
Central Ethylene Pipeline
The ongoing projects
Complexes under operation
The future hub for the
petrochemical industry
Chabahar
Parsian
Qeshm
Jask
Mahshahr development
Assaluyeh development

11. Mahshahr 7 1.5 ol PDH ol ol Isocyanates-Phase 2 ol Acrylonitrile
Pvc
Mahshahr 21
25.8
Mahshahr 7
1.5
Met ol
Amo
Pvc
PDH ol
Pvc ol
Amo
Met
Isocyanates-Phase 2
Pvc ol
Acrylonitrile
Maleic Anhydride
Acrylates

12. Olefin Methanol Ammonia/Urea PDH Styrene Park OL OL OL OL OL Assaluyeh15
26.9
Olefin
Assaluyeh 16
21.4
Methanol
Ammonia/Urea
Amo
Met
PDH
Met
Met
Met
Styrene Park
Met
Met
Met
Met OL OL OL OL
Amo
Amo
Amo OL

13. The Advantages of Petrochemical Hub Establishment in CFZ
Project
Capacity
k T/Y
Total
Urea Ammonia
1275 4
Methanol
1650
Methanol Ammonia
1. Chabahar, The southernmost city of Iran: Free Trade & Industrial Zone situated in on the Coast of Oman Sea out of Persian Gulf region. 2. Strategically being located in the cross section of the North and South International Corridors. 3. only port with direct access to Indian Ocean and Oman Sea where the location well qualifies it for Industrial Development, Trade and Transit of Goods..

14. Chabahar : future petrochemical hub
Free Trade-Industrial Zone of Chabahar as the location for Mokran Petrochemical Complex.
The main products
Product
Ton / Year
Urea
4,860,000
Ammonia
1,473,000
Methanol
8,910,000
ethylene
270,000
HDPE
600,000
LDPE
LLDPE
MEG
400,000
DEG
40,000
TEG
2,800
Product
Ton / Year
P-XYLENE
750,000
O-XYLENE
100,000
Benzene
430,000
Butadiene 1 & 3
116,000
Heavy aromatics
1,980,000
LPG
65,000
Propylene
450,000
Polypropylene
300,000
Crystal Melamine
80,000

15. * 4/3 Methanol production (capacity) 2015-2025
Ethylene production (capacity)
Propylene production (capacity)
* 4/3
*4/6
49%
44%
80%

16. HDPE production (capacity) 2015-2025 :mt/y LLDPE production (capacity)
PP production (capacity)
:mt/y
80%
60%
100%
90%
51%

17. PETROCHEMICALS & CHEMICALS
For producing complicated, high quality, low cost products with special effect, petrochemical products are first choice.
Energy
Packaging
Defense
Agriculture
Electronic
Automobile
Aero space
Transportation
Shoe and wear
Food & nutrition
Painting and coating
Health and medical
Building & construction
In 2050, nine billion people will live on this planet.
Three-quarters of this population will live in cities.
The increasing urbanization of the population will require new concepts for housing and construction.
PETROCHEMICALS & CHEMICALS

22. plastics packaging some of the benefits offered by plastics packaging:
1- The lightest packaging material.
2- Food conservation and preservation.
3- Convenient and innovative.
4- Safe and hygienic

24. Agriculture Applications
1- Greenhouses
2- Tunnels
3- Mulching
4- Plastic reservoirs and irrigation systems
5- Silage
6- Other plastic applications

26. Dutch company KWS Infra has signed a cooperation agreement with processor Wavin and resin supplier Total to develop roads manufactured from plastics as a sustainable alternative to traditional asphalt roads. The intent is to utilize post-consumer recycled polyolefins (polyethylene and polypropylene) mainly sourced from packaging and industrial applications. Processing techniques will include, but not be limited to, injection molding and extrusion
Plastic roads under development
Service life is typically extended by a factor of two to three, for example. Construction time, meanwhile, is reduced by 70%, and the structure is four times lighter than a traditional road structure.

27. Polymer-modified Asphalt Mixtures
Polymer-modified asphalt mixtures are used as a wearing course over high performance pavements, having as main purpose to provide greater useful life to pavement, high resistance to traffic and comfort to road users

29. Marun petrochemical company was established in 1999
first designed Iranian plants in which C2+ (mainly ethane) is separated from natural gas, and reformed to olefin products and then to polymeric and chemical products

31. Ilam Petrochemical Complex
100%
Marun petrochemical complex
1- Ahwaz: Ethane recovery unit
2- Mahshar: Petrochemical Special
Economic Zone Olefin Plant
64%
Laleh Petrochemical Company 5 1
40%
Bushehr Petrochemical Complex
95 km pipe line 4
34%
Salman Farsi Petrochemical 6 2 1 7%
Ilam Petrochemical Complex
100
Marun supplementary industry 3

32. Product Total 4,598 1,185 3,413 ETHYLEN 1000 850 150 METHANOL 1650 162
BUPC :South Pars Phase
Three parts:
Gas Sweetening
C2 Recovery & Methanol units
C2 Cracker Unit (Olefin)- Poly Ethylene & MEG.
Product
Total Capacity
Internal Use
Export
ETHYLEN
1000
850
150
METHANOL
1650
162
1488
ACETIC ACID
300
173
127
VAM
250
HDPE/LDPE
450
MEG
500
DEG
50.5
TEG
3.5
SULFOR
125
C3/C4
181
C3+ 88
Total
4,598
1,185
3,413

33. Products - Holding of Marun Product MPC
% Share
Company Name
100%
Marun petrochemical complex
MPC 1
64%
Laleh Petrochemical Company
LPC 2
40%
Bushehr Petrochemical Complex
BUPC 3
34%
Salman Farsi Petrochemical Company
SFPC 4 7%
Ilam Petrochemical Complex 5
Products - Holding of Marun
Product
MPC
BUPC
ILAM
LPC
SFPC
ETHYLEN
1100
1000
460
PROPYLENE
200
127
450 PP
300
METHANOL
1650
ACETIC ACID
VAM
250 PE
MEG
400
500
DEG 40
50.5
TEG 3
3.5
SULFOR
125
C3/C4
181 33
C3+
160 88 PG 90
134

35. 2017 2018 2022 PORTFOLIO NEW PROJECTS TOTAL PRODUCTION 2,160,000 T/Y
EXISTING CAPACITY
PORTFOLIO
NEW PROJECTS
TOTAL PRODUCTION
2017
2018
2022
2,160,000 T/Y
3,174,000 T/Y
8,671,000 T/Y
% MPC SHARE
Capacity (T/Y)
Product
Name No
100
60,000
Polyolefin Compounds
Compounding Unit 1 60
30,000
Marun Pooya Polymer Compounds 2
40,000
E.O
EO Plant (purification) 3
72,000
Ethoxylated Products
Ethoxylation Plant 4
300,000
LLDPE
LLDPE Plant 5
5,000,000
Identified after F.S
Petrochemical HUB (Integration) 6

36. diversification of products
MARUN
Supplementary
Industries
Job creation
diversification of products
Investment
Added value
Energy
Packaging
Agriculture
Electronic
Automobile
Food & nutrition
Painting and coating
Health and medical
Building & construction
Water treatment
Advanced polymer

37. Challenges Row material Market export financial
Price &Market place
inadequate
Quality
quality
distribution
Market
export
financial
Transaction
Investment
corporation
Integration
Joint venturing

38. Domestic manufacturer
Needs
Making Corporation
&
Joint venture
Production-oriented managing should be replaced by market-oriented one
Investment in the petrochemical and chemical industry
Foreign investor
Row material supplier
Domestic manufacturer
Engineering polymer & Chemical should be taken seriously
Investment in making EFFICIENT RELATION with neighbors
Integration in manufacturing –marketing- studies & finance
preparing the ground for face to face talks

39. Thank You
For
Your Attention