Register with us today

and in less than 60 seconds continue your access to:Latest news headlinesAnalytical topics and featuresCommodities videos, podcast & blogsSample market prices & dataSpecial reportsSubscriber notes & daily commodity email alerts

Already have an account?

Log in to register

Forgot Password

Please Note: Platts Market Center subscribers can only reset passwords via the Platts Market Center

Enter your Email ID below and we will send you an email with your password.


  • Email Address* Please enter email address.

If you are a premium subscriber, we are unable to send you your password for security reasons. Please contact the Client Services team.

If you are a Platts Market Center subscriber, to reset your password go to the Platts Market Center to reset your password.

In this list
Natural Gas | Oil

Iran adding gasoline storage capacity as COVID-19 curbs demand

Crude Oil | Oil Risk | Coronavirus

OPEC+ Oil Output Cuts

LNG | Natural Gas | NGL

Platts LNG Alert

Capital Markets | Commodities | Oil | Crude Oil | Refined Products | Fuel Oil | Gasoline | Jet Fuel | Naphtha | Marine Fuels | Equities | Financial Services | Banking | Non-banks | Private Markets

North American Crude Oil Summit, 3rd annual

Oil | Crude Oil

IRAQ DATA: June crude exports tumble, show progress on OPEC+ compliance

Iran adding gasoline storage capacity as COVID-19 curbs demand

Highlights

Persian Gulf Star refinery expansion adding need for storage

Storage capacity being expanded as domestic policy matter

Gasoline demand may pick up with summer

Tehran — Iran is adding gasoline storage capacity as the coronavirus pandemic curbed gasoline demand and the Persian Gulf Star refinery is being expanded.

Not registered?

Receive daily email alerts, subscriber notes & personalize your experience.

Register Now

The country moved 770,000 barrels of crude oil out of storage to make room for gasoline stockpiles, the oil ministry's news service Shana reported May 31. The crude was moved from the oil terminals at the northern Neka port to the Tehran oil refinery, Arsalan Rahimi, director of the Oil Pipelines and Telecommunication Co. for the northern region, said, according to Shana. The transfer occurred over the past few days, creating new capacity for gasoline at the Neka oil terminals, he said. After dredging by the Oil Terminals Co., the gasoline transfer and storage through the Rey-Sari-Neka pipeline will begin, he said.

Iran has been one of the hardest hit nations in the Middle East from the coronavirus pandemic. Gasoline demand has dropped to about 55 million liters/day from 70 million to 75 million liters/day in November. Iran doesn't report gasoline stockpiles publicly but Rahimi said the country is intentionally adding capacity to store oil products as a domestic policy matter.

Refinery expansion

The increased capacity is coming as the Persian Gulf Star refinery is being expanded, adding even more pressure for increased storage space. The refinery which uses gas condensates from the offshore South Pars gas field has been pivotal to help Iran cut millions of liters of gasoline imports.

Capacity is being expanded to meet cleaner gasoline requirements but an oversupply has been created by the drop in driving and gasoline demand. And available storage tanks are in the north and the refinery is in the south. The 420,000 b/d gas condensates refinery produces 45 million liters of gasoline and 17 million liters of gas oil daily and plans to boost products output by 20% by October, or to 54 million liters of gasoline/day.

The southeast region has created 120 million liters of storage for gasoline from the refinery, ISNA reported on May 9, citing Ali Ahmadipour, deputy head of operations affairs at the Oil Pipelines and Telecommunications. A crude oil tank in Tehran's Moghanak region has been emptied to make room for 40 million liters of gasoline storage capacity, and the Sari region in the north is also preparing to allocate space for gasoline storage, Ahmadipour said.

"It seems that in summer the conditions will improve and possible increased traffic and higher gasoline consumption will lessen the concern over gasoline storage," he said, adding that the coronavirus pandemic hasn't disrupted operations.

"Fortunately, in the current year (2020-2021) gas oil and other products didn't have any problem regarding storage and transfer," he said.