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Iran plans new phase at sprawling PGSGCR refinery: Contractor

US Rep. Ilhan Omar (D-MN) (L) talks with Speaker of the House Nancy Pelosi (D-CA) during a rally with fellow Democrats before voting on H.R. 1, or the People Act, on the East Steps of the US Capitol on March 08, 2019 in Washington, DC. (AFP photo)
File photo shows a view to installations at the Persian Gulf Star Gas Condensates Refinery (PGSGCR) located on the Persian Gulf in southern Iran.

Iran is planning to build out its largest gasoline refinery located south of the country on the coasts of the Persian Gulf, says a contractor.

Head of Khatam al-Anbiya Construction Headquarters said on Saturday that the contractor, which is run by Iran’s elite IRGC military force, could win the right to build a fourth phase at Persian Gulf Star Gas Condensates Refinery (PGSGCR).

“We are reaching an agreement with the Oil Ministry for construction of a new phase at PGSGCR,” said Saeid Mohammad, adding that the project would completely rely on home-made equipment and expertise.

The PGSGCR is responsible for more than a third of Iran’s gasoline production of more than 100 million liters per day. The refinery, founded over a decade ago, has turned Iran from a net importer of gasoline into a fuel exporter.

Reports last month suggested that a bulk of a massive cargo of gasoline sent from Iran to Venezuela onboard five large tankers had been supplied by the PGSGCR.

However, government plans for expanding the massive refinery hit a snag in 2018 when the United States imposed its unilateral sanctions on Iran’s energy sector.  

Mohammad said that sanctions had caused the Khatam company to become increasingly involved in the supply of home-made equipment to various phases of key energy production facilities in southern Iran.

He said his company is currently supplying equipments to refineries linked to the PGSGCR and others working for the South Pars, a sprawling gas field in the Persian Gulf which is shared between Iran and Qatar.

“Some 70 percent of the equipment at PGSGCR and (various) phases of the South Pars have become Iranianized,” Mohamma told the Iranian parliament’s news service ICANA.

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