0619 GMT October 23, 2019
Mohammad Hassan Peyvandi, deputy managing director of National Petrochemical Company (NPC), said the amount will lead to an oversupply of the product in global markets, reducing its price dramatically, but, as many analysts say, will become Iran's trump card and turn the country into the item's kingpin in the market, Shana reported.
Iran could boost methanol output under the sanctions through four factors: China's financing of projects in Iran, abundance of coastal areas in the country, low price of natural gas and the transfer of gas-to-methanol technologies prior to the sanctions, said Peyvandi.
He said MTP and MTP units in China are the regular customers for Iran's methanol.
He further said Iran has indigenized polyvinyl methyl-ether (PVM) technology which is used for converting methanol into propylene.
Peyvandi said NPC has devised a 120,000 ton propylene production project which can benefit from state funds.
Iran has prioritized its petrochemical sector and National Petrochemical Company is legally banned from directly financing petrochemical projects unless they introduce new technologies.
Peyvandi further said NPC will finance the projects from its earnings. It holds a 31-percent stake in Persian Gulf Holding.