New Petrochemical Complex Attracts Global Partners
A major downstream petrochemical facility on the Persian Gulf opens a partnership window for international technology providers and equity co-investors.
A USD 2.4B downstream petrochemical complex on the northern Persian Gulf has formally opened a partnership program targeting international technology licensors and equity co-investors. The project — anchored on ethane feedstock supplied through a 20-year offtake from the South Pars field — is structured as a holding-company JV with a 49% slot reserved for foreign participation under FIPPA.
Project economics
- Capex: USD 2.4B over 36 months
- Output: 1.65 MTPA olefins & downstream derivatives
- Feedstock: ethane at NGL+ formula, 20-year offtake
- Target IRR: 17-19% USD post-tax
- Tax: 20-year holiday under FIPPA + free-zone overlay
How the foreign tranche is structured
Up to USD 1.18B of the capital stack is open to non-Iranian sponsors via the offshore JV holdco. Returns are USD-denominated, distributed quarterly post-COD, with NIMA-rate convertibility guaranteed for dividends under FIPPA Article 17. Construction risk is borne by the Iranian sponsor through a fixed-price EPC wrap; foreign participants take operating, market, and FX-spread risk only.
Window for engagement
The technology licensor RFQ closes in 90 days; the equity tranche book-building runs in parallel for the following 60 days. Interested institutional sponsors should engage advisory counsel during the next 4-6 weeks to participate in the formal selection process.