PGPIC Invests $6.2b in Petrochemical Projects
TEHRAN, March 05 – The Persian Gulf Petrochemical Industries Company (PGPIC) has invested over 6.2 billion dollars for development of petrochemical projects in Iran, the company’s CEO says.
Speaking to NIPNA, Adel Nejad Salim said his company is currently running 70% of Iran’s petrochemical development projects by investing the amount in them.
PGPIC is governing 80 petrochemical companies which have a lion’s share in the country’s total petrochemical output.
The company started off a master plan in 2013 and expects to see the result of its developments in 2018, said Nejad Salim.
The CEO further said that the company is planned to tap upstream projects in oil industry in the near future.
He also said that PGPIC eyes being ranked among ICIS’s top 10 major chemical and petrochemical companies in the world in the future.
PGPIC History:
Persian Gulf Petrochemical Industries Company (PGPIC) was established in January 2008 in line with the implementation of Article 44 of the Constitution on the basis of Authorization No. 161681 of transferring commission to transfer the shares of 15 petrochemical companies including Fajr, Mobin, Rahavaran Fonoon, Mahshahr non-industrial operations, Pazargad PIDMCO , NPC International and non-industrial operations, Petrochemical Industries Development Management (Petrochemical Commercial Co. (PCC) Bandar Imam, Shahid Tondgooyan, Bu Ali Sina, Nouri, Pars, Arvand, Khuzestan,
Its formation sought to maintain the integrity of the Iranian petrochemical industry and obtaining the objectives of 2025 Iran vision plan.
The company was transferred to the private sector in 3 stages. 40% of its shares were allocated to provincial investment companies according to the cabinet authorization dated July 2009 for justice shares.
In the first stage, 5% of shares were transferred to Tehran Stock Exchange in January 2013 for price discovery.
In the second stage, 17% of its shares were transferred by auction to NIOC’s Pension, Saving & Welfare Fund in May 2013. Therefore, holding 62% shares of the private sector and non-governmental organizations, PGPIC was separated from governmental sector since May 2013 acting as the country’s largest petrochemical holding with more than 22 million tons output capacity of producing 40% of Iran’s petrochemicals encompassing over 350,000 billion Rials capital as the largest and most important member of the stock exchange entered the private sector possessing about 10 percent of the stock market.
In the third stage, a 17 percent block of the company’s shares was released in March 2014. The block was jointly purchased by Oil, Gas & Petrochemical Investment Supply (Tapico) and the NIOC’s pension fund in a 50-50 partnership.
At present, the latest shareholders are as follows:
40% Provincial Investment Company
20% National Petrochemical Company
17% Oil Industry Employee Pension Fund
8.28% Tamin Petroleum & Petrochemical Investment Company
8.5% Taban Farda Petrochemical Group Company
5.42% IPO , Others
0.76% Employee Shares
0.04% Collateral Shares
