Iran is about to create its third petrochemical hub on the shores of the Persian Gulf in a blow to the recent US sanctions on the country’s petrochemical sector.
Iran’s National Petrochemical Company (NPC) signed a Memorandum of Understanding (MoU) with Iranian Mines and Mining Industries Development and Renovation Organisation (IMIDRO) to build 14 petrochemical complexes in the Parsian Energy-Intensive Industries Special Economic Zone (PEISEZ).
Energy-intensive industries refers to the group of industries whose share of energy consumption in production costs is higher than other manufacturing factors, including raw materials, workforce, and so forth compared to other industries, and has a determinant role in the final price of their products.
The 9,800-hectare Special Economic Zone is located 15 kilometers west of the city of Parsian in the southern Hormozgan Province on the shores of the Persian Gulf.
It’s very close to Asaluyeh, Iran’s second petrochemical hub in the adjacent Bushehr Province.
Bandar Mahshahr in the south east of Khuzestan Province, on the other side of the Persian Gulf, is considered Iran’s first petrochemical hub.
The petrochemical projects in Parsian Special Economic Zone is expected to increase Iran’s annual petrochemical production capacity by 15 million tons with $19 billion of investment.
The US slapped sanctions on Iran's petrochemical sector on Friday as part of its so-called "maximum pressure" campaign to cripple Iran's export revenues.