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Tabriz Petrochem Company Signs Agreement With Russian SIBUR

Tabriz Petrochemical Company in East Azarbaijan Province has signed a memorandum of understanding with one of the world's fastest-growing petrochemical players in Russia (SIBUR) to expand cooperation in the field of petrochemical technology, TPCO’s managing director said.

“The two sides discussed ways of expanding cooperation in the key sector in Tehran on Thursday,” Siavash Derafshi was also quoted as saying by the National Petrochemical Company’s news portal.

Russia’s SIBUR agreed to provide a part of TOPC’s much needed feedstock, he said, adding that the Russian firm is willing to buy certain commodities from TOPC.

Located in northwest Iran, TPCO annually produces 840,000 tons of various products, including raw polymers, polyethylene, polystyrene and acrylonitrile butadiene styrene.

Almost 40% of the plant's output are sold domestically and the rest is exported to clients in Asia and Europe. It is built on 380 hectares and its main feedstock and raw materials include naphtha, LPG, mineral oil and other chemicals provided by Tabriz and Tehran refineries, as well as petrochemical companies in southern Iran.

The company set a record in polyethylene production in the first three months of the current fiscal year (started March 21).

Launched in 1992, TPCO’s petrochemical products include raw polymers, polyethylene, polystyrene and various grades of a thermoplastic polymer known as acrylonitrile butadiene styrene, or ABS.

"TPCO products are exported to 35 countries, mostly in Asia," Derafshi said.

According to Morteza Shahmirzaei, managing director of NPC, 1 ton of Iranian catalyst is being used in Russian petrochemical complexes that have also placed new orders to purchase more domestically-made catalysts.

“This is the result of negotiations held since March with Russian delegations for the export of Iranian catalyst to Russia,” he added. 

Earlier this year, NPC signed deals with Russian private petrochemical firms, including SIBUR, to provide them catalysts. SIBUR is one of the world’s leading polymer and rubber manufacturers.

Referring to the quality of Iranian catalysts, the NPC chief said, “Russian firms could not use Chinese catalysts as they did not work in the reactors of petrochemical complexes. However, Iranian catalysts have proved to be of high quality and competitive with the best in the world.”

Shahmirzaei pointed to the indigenization of catalysts as one of the strategies of the Oil Ministry and stressed that the localization of all catalysts of this industry has been planned.

Of the 87 types of catalysts used in the petrochemical industry, 60 have been indigenized in collaboration with knowledge-based companies.

The indigenization of all catalysts will help save about $1.15 billion annually, which would otherwise be spent on importing them. 

By the end of the current Iranian year [March 2023], eight more will be localized while the remaining 19 groups are expected to be developed by 2025 when Iran will no longer need to import catalysts.