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Iran & China agree on $6.5b refinery project

Lankan Ranger

Aug 9, 2009
Iran & China agree on $6.5b refinery project

TEHRAN – The Chinese refiner Sinopec has signed a memorandum of understanding with the National Iranian Oil Refining and Distribution Company to invest $6.5 billion for building oil refineries in Iran.

It is predicted that the two sides will close the deal in the next two months, the Mehr news agency reported on Wednesday without stating further details on where and when the agreement was signed.

The report noted that technical experts from the two companies were studying the MOU and figuring out ways to implement it.

Feasibility, profitability and land acquisition studies regarding the construction of the new refineries have been conducted and tenders will be held on EPC (engineering, procurement, construction) basis in the near future, the report said.

Seven crude oil refineries with a total capacity of 1.56 million barrels per day at an estimated cost of $23 billion are planned to be built in Iran to boost the domestic refining capacity to 3.2 million bpd.

Sinopec had earlier agreed to import 150,000-160,000 bpd of Iranian crude this year, unchanged from 2008.

China, which is among six world powers seeking to resolve Iran's long-running nuclear row diplomatically, is the second-largest buyer of Iranian oil

From:tehran times : Iran, China agree on $6.5b refinery project


Sep 8, 2009
I honestly think once we build the Gass pipe line project form Iran , to Pakistan and to China , the economic benefits would be wonderful

Imagine if China , constructs the oil refineries , and then protects these from Bases in Gawadar - I think it next phase of economic development would be construction of an oil line from Iran to China
thru Pakistan

Saving billions in transporation costs, and not to mention the impact of accidents of ships carrying oil thru water endangering wild life and coasts-

Its a very logical Move

Russia / China/ Iran/ Pakistan are the future - for next 100 years

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