Petrochemical Business in Iran
The delegation of Hyosung recently visited the production facility of Fajr Petrochemical Company (FPC) located in Mahshahr Special Petrochemical Economic Zone in Khuzestan Province, Iran, according to a recent report by Shana, which is a news agency under Iran’s oil ministry.
The delegation's aim was reportedly to check investment environment of Iranian petrochemical industry. It was known that Hyosung’s delegation paid attentions mostly to FPC’s production utilities for its investment.
The delegation of Hyosung, which is considering an investment in the production of polyethylene and polypropylene in Iran, said that the utility supply is its main concern when it gave one-day visit to Mahshahr Special Petrochemical Economic Zone. At a meeting with CEO of FPC in the special economic zone, the delegation exchanged views and discussed issues such as the production and supply of feedstock, production procedure, and cost of production.
The South Korean company’s delegation signed an MOU to build a petrochemical facility with FPC in Iran. FPC is producing and supplying side products and services such as electricity, steam, oxygen, nitrogen, Argon, compressed air, industrial waters, filteration of industrial sewage in sites 2 and 4 of the petrochemical economic special zone, northwest of the Persian Gulf.
An official at the headquarters of Hyosung in Seoul, however, said to BusinessKorea, “There is nothing we have done in Iran.” Kim Sung-soo, manager of PR department of Hyosung,” adding, “We really looked forward to visible results in business sector after President Park Geun-hye’s state-visit to Iran on May this year, but most of Korean firms now have not made any specific achievements in business with Iran as far as I know.”