Iran offers $40bn worth of petroleum projects to China

Iran has offered some $40 billion worth of investment projects in its petroleum sector to China during a recent visit by President Ebrahim Raeisi to Beijing, according to the Iranian Oil Ministry’s deputy for international affairs.

Ahmad Assadzadeh said in remarks published on Thursday that a bulk of projects offered to China will be in the downstream sector of the Iranian oil and gas industry.

Assadzadeh said that projects will include the construction of methanol to olefins (MTO) units as well as petrochemical refinery complexes in southern Iran.

“The important thing is that the Chinese side does believe in cooperating with us despite the oppressive American sanctions against our country,” he was quoted as saying in an interview with the state TV.

The official said that in addition to the investment projects, Iran is also seeking to obtain a $20 billion finance package from China to expedite development works in its petroleum sector.

Assadzadeh said that the finance scheme will come on top of a previous $20-billion package which enabled Iran to access funds needed to build five petrochemical plants.

Iran and China signed multiple documents to expand their economic and energy cooperation during a three-day visit by Raeisi to Beijing that ended on Thursday.

MG