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In line with policies to complete the value-added chain in oil and gas industries. butane and propane refining units at the site of South Pars Phase 19 have become operational. said contractor of Phase. Hamidreza Mousavi.
He said the newly-launched liquefied petroleum gas (LPG) treatment units can each produce 14 tons of butane and the same amount of propane per hour. or 330 tons a day.
LPG is often referred to butane. propane or a mixture of both gases. It is second-best after natural gas delivered via trunk lines in terms of efficiency and is more eco-friendly compared to diesel or fuel oil.
Stressing the role of the gas industry as a driver of economic growth. Masoudi added that completing the value-added production chain is high on the priority list as the country is planning to boost gas production capacity from the present 700 million cubic meters per day to 1 billion cubic meters a day by the end of the present fiscal in March and 1.2 bcm/d by 2020.
Iran currently produces 8 million tons of LPG per year. but the volume can double as soon as all South Pars Phases are up and running by March 2018. he said.
According to the official. Iran did not lose its share in the global LPG market under the international embargo. but sanctions removal is an opportunity to expand our foothold.
Some 3 million tons of Iran`s LPG output comes from underground reservoirs and the rest is produced at refineries and petrochemical units.
Asked about the progress in Phase 19. Masoudi noted that Platforms 19A and 19C have already been installed and Platform 19B will be in place in the near future.
Reportedly. the phase is projected to generate between $3.5 billion and $4 billion in annual revenues.
Masoudi noted that as soon as the third and fourth sulfur recycling units of the phase come on stream. not only will the huge amount of sulfur be separated. but noxious gas components will be significantly curtailed.
Iran has close to 34 trillion cubic meters of natural gas reserves. which is about 18% of the total global reserves. This means Iran has the potential to become a major player in the natural gas market when all sanctions are lifted.
Iran`s strategic location in the Middle East can help meet the growing demand for natural gas and its byproducts from Asian countries like India. China and Pakistan and is. therefore. planning a number of gas pipelines to boost exports.
South Pars is the world’s largest gas field. shared between Iran and Qatar. covering an area of 3.700 square kilometers of Iran’s territorial waters in the Persian Gulf. It adjoins Qatar’s North Field. which measures 6.000 square kilometers.
