China to upgrade Iran's refinery in $2.7 billion deal
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SPECIAL TO WORLD TRIBUNE.COM
Wednesday, August 2, 2006
NICOSIA — Teheran has signed another major energy deal with leading
energy client China which will alleviate Iran's gasoline shortage problems.
Officials said Teheran signed a $2.7 billion oil refinery upgrade deal
with China to expand Iran's gasoline supply. They said China's Sinopec would
increase capacity at the Arak refinery from 150,000 barrels of crude oil per
day to 250,000 barrels.
"Currently, Arak refinery produces about six million liters of petrol a
day, and when the upgrade operation is done the figure will reach about 16
million liters," Iranian Deputy Oil Minister Mohammad-Reza Nematzadeh said.
Nematzadeh said the project would be completed by 2010. Iran produces 40
million liters of gasoline per day, 55 percent of its daily consumption.
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