Wednesday, 24 August 2016

Iran is ready to build an oil refinery in Afghanistan

Iran is capable of providing Afghanistan with its much-needed oil products for 30 years, said the Managing director of National Iranian Oil Refining and Distribution Company.  “Regarding the two states' low crude oil transaction level, building a pipeline to transfer oil products to Afghanistan is not economically viable,” Abbas Kazemi was also quoted as saying by Mehr News Agency. Kazemi expressed Iran's readiness to build an oil refinery in Afghanistan. Noting that a new oil storage reservoir will go on stream in South Khorasan in the near future, the official said, “The new reservoir can store 100,000 barrels of different oil products.” According to Kazemi, Iran's oil byproduct exports are holding steady at 400,000 barrels per day. According to Oil Minister Bijan Namdar Zanganeh, Afghanistan is set to purchase up to 1 million tons of diesel from Iran per annum. Stressing that Iran's diesel export to Afghanistan stands at 200,000 tons per year, the minister said, "Afghans have expressed readiness to increase import by 1 million tons, if negotiations yield positive results." He added that the idea of exporting compressed natural gas to Afghanistan seems to have an acceptable profit margin, but requires time to develop it.
Commenting on Afghans' interest in importing 200,000 tons of liquefied petroleum gas from Iran, Zanganeh said reasonably priced LPG would translate into a win-win deal.
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Iran-business news
Export of petrochemical products showed remarkable increase in value in the first four months of this Iranian calendar year of 1395 (started on March 20) and exceeded six billion dollars. Iran’s Customs Administration says non-oil commodity exports in the four months rose by 21.11 percent to $16.308 billion. Iran’s balance of trade was thus positive and showed $3.443 billion in Iran’s favor. The reason for increase in export of non-oil commodities was remarkable growth in export of petrochemical products that accounted for 41.51 percent of the total earnings while other commodities accounted for $16.308 billion. The figure stood at $13.465 billion, including gas condensates, in the first four months of last year. Despite considerable fall in export of such products as gas condensates, polyethylene, methanol, urea and the like, 34 percent growth in weight and 25 percent in value was still observed in the exports in the period. In the period under study, Iran’s petrochemical exports showed record rise of the products in the total exported goods. In the period, 13,684,000 tons of petrochemical products, worth $6.769 billion, were exported and the share of petrochemical goods in total exports of Iran in the first four months of last year was 35.52 percent. [Source: Shana]