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Iran to set up first national gas refinery costing $1.6B


Source: Mehr News Agency, Tehran

The first gas refinery in Iran will be built at the cots of $1.6 billion, the Shana News agency reported. The Khatam-ol Anbiya Construction Headquarters will ink a deal by the next month with the National Iranian Central Oilfields Company to start designing processes.

The gas refinery is due to be fed with some 20 million cubic meters of gas produced in Halgan and Sefid Baghoon fields.

Iran's Oil Minister Rostam Qasemi says Iran has the capacity to produce 4 million barrels of crude and 600 million cubic meters of gas per day, according to press TV.

Referring to the fact that Iran possesses 12 percent of the world's oil reserves and 18 percent of its gas reserves, Qasemi said that, "The capacity to produce oil must reach 5.2 million barrels and gas production capacity must hit one billion cubic meters per day by 2015."

Iran holds the world's third-largest proven oil reserves and the second-largest natural gas reserves.

Iran gas income up 8 Billion Dollars

The Managing Director of Natural Gas Storage Company has provided the details of an $ 8b increase in Iran's gas income, and has said that with two new storage facilities, a volume of gas tantamount to gas from 3 phases of South Pars would be extracted and stored.

Masoud Samivand told Mehr News that Seradjeh gas storage facility can hold 3.3m3 and Shurijeh storage can hold 4.8m3.

"Currently, the construction operation of the Shurijeh gas storage facility has progressed 8.6 per cent, and by the end of the year, a new project will be launched," he added.

He pointed to the construction of a 20Mm3 refinery plant in Shurijeh, Khorasan Province besides the gas storage facilities, and said that with the two gas storage facilities operative, more than 8bm3 natural gas storage facility will be operative.

"In the first phase of Seradgeh storage facility, we will store 7Mm3 in first 8 months and will withdraw 10Mm3 in last 4 months of the year," he added. He also said that with plans to store 1.5bm3 gas within two years, annually, $ 2.2b will be saved through gas storage and gasoline decreased usage.

"The extraction of 12.5m gallons of gas fluids is on the card, worth of $ 1.5b," he said. "By three years, with first gas storage facility operative, $ 8b will be saved from gas fluids and decrease in gasoline usage," he added.

Samivand stated that the storage capacity of Seradgeh and Shurijeh is a massive total of 79Mm3, and added that with two new storage facilities, a volume of gas tantamount to gas from 3 phases of South Pars would be extracted and stored during cold seasons.

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