Iran: Following the Lifting of Sanctions Shell Returns to Iran
Shell has signed a letter of intent with Iran's National Petrochemical Co. (NPC) covering cooperation in petrochemicals.
Teheran/Iran — Hans Nijkamp, Shell's head of Iran affairs, told Reuters: "We can confirm that we have expressed our interest to further explore potential areas of cooperation with National Petrochemical Co. through a letter of intent," adding during the signing that "the cooperation will involve 'enhancements' to gas-to-liquids (GTL), among others". He says the document would provide Shell and NPC with a framework for further project discussions. Shell could be involved in a gas-based cracker, diesel, GTL, and other projects, which would also be of interest to Iran, he continued. In 2003, Shell pulled out of a petrochemical project due to the sanctions.
Shell's competitor Total signed a memorandum of understanding (MOU) earlier this year with NPC to study constructing a jointly owned petrochemical complex in Iran, and the Japanese company Sojitz, signed an MOU last week with NPC to study constructing a methanol-to-propylene plant. NPC has also said it is talking with BASF on possibly jointly building a petrochemical complex in southern Iran, but BASF has denied this.