TEC was Awarded Contract for No. 4 Aromatics Complex for Iran ,one of largest in the world

Toyo Engineering Corporation (TEC, President Toshihiko Hirose) is acting as the lead company in an international consortium that also includes Shinwha Engineering & Construction Co.,Ltd. of Korea (Head Office: Seoul) and a local Iranian company , Sazeh Consultants (Head Office: Teheran). With the cooperation of Mitsui & Co.,Ltd., the consortium participated in bid tendering for the No.4 aromatics plant production equipment (Benzene: 430,000 T/Y, paraxylene: 750,000 T/Y, olzoxylene: 100,000 T/Y) to be built in the Bandar Assaluyeh region of Iran for the Iranian National Petrochemical Company. Recently agreement was reached, and a formal contract was signed. This contract is worth 43 billion yen to the consortium.
TEC's scope of work includes design, procurement of equipment and construction work supervision. The plant is scheduled to be completed in June 2004.
The operation of the project will be mainly undertaken by Borzouyeh Petrochemical Company , a 100% owned subsidiary of NPC.

NPC is ranked second in terms of the manufacture and sale of petrochemical products in the Middle East , and this project is positioned as a vital element of phase 3 of the 20-year production expansion plans (over 30 new projects worth in excess of US$3 billion) announced in 1997 to allow NPC to respond to future growth in demand for petrochemical products. Of the ten projects launched up to now in this drive to increase production , almost all have gone to European companies. Six groups participated in the international tendering in April this year from Japan , Europe and Korea , etc. The result was that in view of TEC's extensive experience in the field of aromatics plants and the competitive nature of its bid , TEC was selected. The aromatics plant in this project will have one of the top production capacity levels in the world and it is the biggest project this fiscal year in the world plant market. There are many new plant projects emerging in Iran , and our success this time will help us to catch up with the European companies that have been monopolizing the market so far.

The TEC Group is engaged in a major initiative to enhance and expand its transnational system and a policy of forming alliances to undertake major projects. This contract is a successful example of an international alliance between Japan and South Korea within this framework.