Iran moots avgas exports as Bahrain plant opens


Iran is set to begin jet fuel exports from a new refinery, while a new Group III plant starts production in Bahrain.

According to the Iranian Oil Ministry, the country is set to export its avgas supplies after production began for the first time at the state-run Bandar Abbas renfinery in Southern Iran.

According to officials, a number of potential customers for the jet fuel have surfaced in East Asia, although they were cautious about releasing names.  Despite US and European export sanctions, instigated as a result of Iran's nuclear development policy, the country has still managed to export some 1.6bn litres of refined product since mid-March.

The sanctions have also led Iran to focus on maintaining its domestic oil and gas products, stating that it is already self-sufficient in gasoline production.  Iran is the second largest oil producer amongst the OPEC countries.

Meanwhile the joint venture between the Bahrain Petroleum Company (Bapco Neste Oil and nogaholding is finally bearing fruit as their new plant on the Sitra site on Bahrain's east coast began production.  Output capacity of Group III Very High Viscosity Index (VHVI) base oil is 400,000 tonnes annually, increasing Neste's total Group III output to 650,000 tonnes.

The plant will produce the high performance lubricant to be sold under Neste's NEXBASE® brand name as the Scandinavian company pursues its 'cleaner traffic strategy' by encouraging the development of low emission fuels and lubricants.