Iran plans world’s largest refining unit despite sanctions
By Sara Rajabova
Despite the U.S.-led sanctions against Iran, the country is keen on opening the world's largest oil refining unit.
Iran's Deputy Oil Minister and head of the National Iranian Oil Refining and Distribution Company (NIORDC), Alireza Zeighami, said that the refining capacity of the Residual Fluid Catalytic Cracking (RFCC) unit of Shazand Imam Khomeini Refinery in central Iran is twice that of the world's biggest RFCC unit.
The refining capacity of the world's largest RFCC unit now stands at 45,000 barrels of oil per day, while the refining capacity of Imam Khomeini Refinery's RFCC unit is 90,000-95,000 barrels a day, Zeighami said, stressing that the U.S., European Union and Zionists (Israel) will soon witness the outcome of anti-Iran sanctions with the launch of the country's largest RFCC refining unit.
The U.S. government imposed new sanctions on Iran's energy sector, targeting Iranian oil revenues. The sanctions, which took effect last Wednesday, prevent Iran from gaining access to earnings garnered from its crude exports.
The sanctions require the importing countries to keep their payments at home and only release them in return for purchases of goods from them by Iran, to effectively lock up Iranian oil revenues overseas.
The United States and some of its allies suspect Iran may be trying to develop atomic weapons capability under the cover of a civilian nuclear energy program. But Iran denies the allegations, saying its nuclear fuel is only for energy-producing reactors and medical applications, and insists that its operations will continue.
Furthermore, Zeighami said that Iran's premium gasoline output will increase by 12 million liters per day with the launch of the first phase of the Persian Gulf Star Refinery within months.
"Some 12 million liters of quality gasoline will be produced in the first phase of the Persian Gulf Star Refinery by the first half of the next year [the Iranian calendar starting March 21]," he said.
Noting that an 80-percent progress was recorded during the first phase of the refinery exploitation, Zeighami said the refinery "will emerge as the country's gasoline export hub" when in full swing.
"Some 36 million liters of gasoline per day meeting Euro-5 standards will be produced with the inauguration of the three phases of the Persian Gulf Star Refinery," the Iranian official said, adding that the output will not only meet the domestic needs, but also make way for exports.
He went on to say that Iran will also inaugurate four giant gasoline production units in 40 days.
Once the projects come on stream, the nation's gasoline production capacity will reach 75 million liters per day, Zeighami noted. The mentioned projects are located in Arak, Abadan, Isfahan and Tabriz.
Earlier this month, Iran started the sale of gasoline meeting the Euro-4 and Euro-5 standards in eight major cities with the goal to reduce air pollution.
Some 70 percent of air pollution observed in the Iranian capital city is caused by motor vehicles. Tehran says all carmakers would be obliged to manufacture cars meeting Euro-4 and Euro-5 standards.
Now, Iran produces 14 million liters of gasoline conforming to Euro-4 and Euro-5 per day. The amount would reach 22 million once the RFCC unit of Shazand oil refinery is commissioned.