Iran to Invest $1.3bln in Shiraz Oil Refinery Project

A senior Iranian official announced that the Iranian contractors will take over the construction of Shiraz Pars oil refinery, adding that the country’s governmental and private sectors will invest $1.3bln in the project.

National Iranian Oil Refining and Distribution Company (NIORDC) Managing-Director Alireza Zeiqami announced the news, adding that some $1.3 billion will be invested in Shiraz Pars Refinery project by government and private sector.

“While some of the equipment needed for the project might be imported from abroad, the management, designing, construction, and commissioning of the refinery’s units will be entirely carried out by Iranian contractors,” he stressed.

He said that the oil ministry has revoked a contract with the Malaysian SKS Company for the implementation of the Shiraz Pars Refinery project.

Zeiqami said on Friday that the annulment has been due to the firm’s repeated delays and failure to start the construction and financing of the project, adding that Iranian contractors will now take over the construction of the refinery.

Shiraz Pars Refinery will be the first national condensate refinery in Iran.

Upon inauguration, it will have a daily capacity to refine 120,000 barrels of condensate and produce a daily amount of 12 million liters of gasoline conforming to Euro-5 standard.