Olefin no. 6 project

Olefin no. 6 project is already under construction at Bandar Imam Petrochemical Special Economic Zone (Petzone) in a 55 hectare area. The NPC subsidiary Amir Kabir Petrochemical Company is responsible for implementing and running the project. The project was originally designed to be built within Bandar Imam Petrochemical Complex. Later on, NPC decided to construct the project as an independent facility in the neighboring Petzone.

Olefin no. 6 project is designed to produce 520-t/y of ethylene, 158,000-t/y of propylene, 137,000-t/y of pyrolysis gasoline, 104,000-t/y of C4, 300,000-t/y of low-density polyethylene (LDPE), 300,000-t/y of linear low-density polyethylene (LLDPE), 140,000-t/y of high-density polyethylene (HDPE), 160,000-t/y of polypropylene, 50,000-t/y of butadiene and 20,000-t/y of butene-1. The project's overall physical progress was 43% until September 2000.
Germany's Linde provides the license, basic engineering and supply of equipment for the olefin plant whereas Iran's Energy Industries Engineering and Design (EIED) provides the detailed engineering and supply of locally manufactured equipment. Basic engineering was completed last year and detailed engineering is already being carried out. Construction activities are also under way. The olefin plant is due onstream in the first half of 2002.

NPC and Elenac are currently negotiating joint venture investment for the LDPE plant. The contract for the provision of license, basic engineering and technical assistance for the high-density polyethylene (HDPE) plant has been awarded to Germany's Krupp UHDE. The plant will be built based on Hochest technology.

Detailed engineering and supply contract has been given to Iran's PIDEC as the main contractor and Spain's Intecsa UHDE as the sub-contractor. Detailed engineering is already under way. The plant is planned to be on track in the forth quarter of 2001. Until the olefin plant becomes operational, the feed for the HDPE unit will be provided by other sources, including BIPC or will be imported.
The linear low-density polyethylene plant will be constructed on a joint venture basis by NPC and the London based Balli. NPC will have 40% stake in the 300,000-t/y plant and Balli will take the remaining 60%. France's Technip, in conjunction with Iran's Enerchimie, will engineer the plant using Innovene process under the license of BP Chemicals. They will also supply the plant's equipment and material. The plant is due onstream in 2003.

The complex's 160,000-t/y polypropylene (PP) plant has been sold to Iran's privately owned Navid Zar Chimie Company. It will use Montel's technology. Italy's Technimont and Iran's Nargan will provide the license, engineering and supply of equipment for the PP plant.

The license, engineering and supply contracts for the butadiene plant have been awarded to Lurgi-Zimmer of Germany and Chagalesh of Iran. The plant will be based on BASF technology. The Iranian partner is responsible for the detailed engineering and supply of the locally produced equipment. Basic engineering has been completed while the detailed engineering is already being done.

For butene-1 plant, IFP of France will provide the license and basic engineering and PIDEC of Iran will carry out the detailed engineering and supply of equipment.

The total capital investment for the olefin no. 6 project is 30% less than Stanford Research Institute (SRI) estimate.