Ethane Extraction from Iran’s SP Gas Field to Yield Up to $300 Million Profit Annually: Oil Minister
TEHRAN (Tasnim) – Iran’s oil minister said that ethane extraction from nine refineries in the South Pars (SP) Gas Field will generate a $250-$300 million profit per annum.
Javad Owji made the remarks on Monday in a ceremony to sign a memorandum of understanding on increasing ethane extraction from the nine refineries of the 18 phases of the field.
The construction operations of the giant project will start within the next two months, he said, adding that this project will create added value and also job opportunities when it comes on stream.
More than 700 million cubic meters of gas are extracted from the South Pars Gas Field, the oil minister said, emphasizing that the oil output will increase when the development project of South Pars Gas Field's Phase 11 becomes operational.
Some 66 percent of ethane produced in South Pars refineries is currently extracted and the remainder is injected to the countrywide pipeline and burnt, Owji continued.
The country’s first ethane extraction project was implemented by the Execution of Imam Khomeini Order (EIKO) in the Parsian Gas Refinery and its affiliated companies have valuable experience in this field, he highlighted.
The annual ethane extraction from the nine refineries of the field will be 1.1 million tons, said the minister, explaining the profit will be invested in the headquarters’ projects or value chain of the same project or public utility projects.