Iran Deputy Oil Minister: Work Resumes on Islamabad-e Gharb Petrochemical Project

The acting head of Iran’s National Petrochemical Company said construction has restarted at the Islamabad-e Gharb petrochemical project, which had been halted since February–March 2026 because of conditions created by the imposed war.

RoydadNaft –  The acting head of Iran’s National Petrochemical Company said construction has restarted at the Islamabad-e Gharb petrochemical project, which had been halted since February–March 2026 because of conditions created by the imposed war.

According to Roydad Naft, Omid Shakeri said the decision to resume work followed several meetings of a specialized working group at the National Petrochemical Company and a review of the project’s latest status.

He said the construction site has been reactivated after a review and optimization of execution stages, and that work is now focused on completing the methanol unit in the first phase while making maximum use of existing facilities and equipment.

The deputy oil minister said that, alongside construction, steps are also under way to raise the capital needed to finish later phases. Talks with the Oil Ministry are continuing to remove obstacles, ease project implementation, and use available incentives and support measures.

The Islamabad-e Gharb GTPP project in Iran—a natural-gas-to-polypropylene value chain—is designed for a combined 960,000 tons a year of product in three phases: converting natural gas to methanol at 660,000 tons a year, converting methanol to propylene at 120,000 tons a year, and producing polypropylene at 120,000 tons a year, plus byproducts.

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