Content Overview
Pasargad Oil Company: Everything You Need to Know About Iran’s Leading Bitumen Producer
1. Introduction
Iran’s Pasargad Oil Company (POC) has grown from a domestic supplier into the Middle East’s largest manufacturer of road‑grade bitumen and related asphalt binders. With six refineries, two export terminals and a four‑million‑ton annual production ceiling, the firm now commands well over half of Iran’s internal market and an ever‑expanding share of the global trade in penetration‑grade, viscosity‑grade and polymer‑modified bitumens.(Pasargad Oil, Arena Petro Gas, Iran E Trade)
Global infrastructure spending—particularly in Asia‑Pacific, where 30 % of world demand is concentrated—continues to lift the outlook for asphalt and binder suppliers. Bitumen market revenues are projected to climb from USD 75.6 billion in 2025 to almost USD 99 billion by 2032.(fortunebusinessinsights.com) Against that backdrop, buyers, contractors and policymakers naturally ask: what sets Pasargad apart, and how can its portfolio serve today’s pressures for cost, quality and sustainability?
2. Corporate History & Ownership
| Year | Milestone | Notes |
|---|---|---|
| 2003 | Company incorporated as a public joint‑stock enterprise | Initial mandate: manage six state‑owned bitumen units.(Pasargad Oil, Iran E Trade) |
| 2005‑2014 | Capacity build‑out across Tehran, Arak (Shazand), Abadan, Tabriz, Shiraz & Bandar Abbas | Upgrades lifted combined nameplate capacity to 4 Mt year‑¹. |
| 2017 | Launch of Bandar Abbas bulk‑loading terminal | 40 000 t tank farm enables Handymax & Panamax vessel loading. |
| 2024 | Record quarterly exports: 246 000 t (Q1), +74 % y/y | Driven by strong demand from India & East Africa.(انرژی پرس) |
| 2025 | Leads IME export board with Jey Oil (July) | Iran Mercantile Exchange shipments hit 163 000 t in early July.(bitumart.com) |
Pasargad shares trade on the Tehran Stock Exchange (sector code: asphalt & oil products), although the Iranian state—through the National Iranian Oil Refining & Distribution Co. (NIORDC)—retains an influential stake via golden‑share voting rights.
3. Production Footprint
3.1 Refinery Grid
| Location | Commissioned | Nominal Capacity (t year‑¹) | Key Outputs | Strategic Advantage |
|---|---|---|---|---|
| Tehran | 2003 | 700 000 | 60/70, 80/100 | Serves central plateau projects |
| Arak (Shazand) | 2004 | 550 000 | Pen & VG grades | Feeds north‑south highway corridor |
| Abadan | 2004 | 650 000 | PG 64‑16, oxidised | Access to Khuzestan crude slate |
| Tabriz | 2006 | 500 000 | Cold‑climate 40/50 | Gateway to Caucasus exports |
| Shiraz | 2009 | 600 000 | Polymer‑modified (PMB) | Nearby petrochemical feedstocks |
| Bandar Abbas | 2012 | 1 000 000 | Bulk FOB cargoes | Direct Persian Gulf loading |
Total nameplate: ≈ 4 000 000 t.(Pasargad Oil, Arena Petro Gas)
3.2 Logistics & Storage
Bandar Abbas (BAB): 40 000 t shore tanks, dedicated bitumen jetty.
Bandar Imam Khomeini (BIK): 40 000 t storage; pipeline tie‑in to Mahshahr Petrochem complex.
4. Product Portfolio & Nomenclature
Pasargad markets its binders under several overlapping trade names—“Pasargad Bitumen”, “POC Bitumen”, “Pasargad Asphalt Binder” and, in some legacy documents, “Pasargad Tar”. International importers sometimes label drums “POC‑Embossed” or simply “Pasargad Oil”.
4.1 Core Grades
| Category (Synonyms) | Typical Spec | Main Applications |
|---|---|---|
| Penetration (Pen) | 40/50 – 85/100 | Flexible pavements, tropical climates |
| Viscosity‑Grade (VG) | VG 10 – VG 40 | Heavy‑traffic surfacing in India |
| Performance Grade (PG) | PG 64‑10, PG 70‑16 | High‑stress or freeze–thaw highways |
| Polymer‑Modified (PMB / PG Plus) | SBS‑ or EVA‑enhanced | Rut & fatigue resistance, airports |
| Oxidised (Blown, Air‑blown) | 85/25, 115/15 | Roofing sheets, pipe coating |
| Cutback / Emulsion | MC‑70, CSS‑1h | Prime & tack coats, maintenance |
All grades comply with ASTM D5, AASHTO M320 or EN 12591 as exported.(researchgate.net)
4.2 Innovation Tracks
POC’s R&D wing collaborates with Tehran universities on nano‑silica modifiers, photocatalytic fillers and bio‑bitumen blends aimed at lowering life‑cycle emissions by up to 16 % compared with conventional 60/70.(ScienceDirect, Nature)
5. Quality, Standards & Certifications
ISO 9001 (Quality Management)
ISO 14001 (Environmental)
ISO 50001 (Energy Management)
INSO 17092 (Iranian National Standard for bitumen)
CE‑mark authorisation for EU road imports via notified body NB 2163
Routine third‑party audits by SGS and Bureau Veritas underpin the company’s “Five‑Star Supplier” rating on the Iran Mercantile Exchange (IME) seller board.
6. Market Performance & Price Trends
Pasargad’s bitumen is benchmark‑priced every Tuesday on IME in Iranian rials per tonne, then converted into USD for export tenders. On 21 July 2025 the FOB Bandar Abbas price for Pen 60/70 stood at USD 403 ± 3 t.
Table — Indicative Monthly FOB Prices, Q2–Q3 2025
| Month | 60/70 Drum (USD t) | 80/100 Drum (USD t) | Bulk Cargo (USD t) |
|---|---|---|---|
| Apr‑25 | 398 – 402 | 398 – 402 | 335 – 340 |
| May‑25 | 400 – 404 | 400 – 404 | 330 – 335 |
| Jun‑25 | 392 – 397 | 392 – 397 | 324 – 328 |
| Jul‑25 | 403 – 405 | 395 – 400 | 330 – 340 |
7. Export Geography
Pasargad ships roughly 1.5 Mt year‑¹ abroad, primarily to:
India (ports: Kandla, Chennai, Haldia)
China (Dalian, Taicang)
East Africa (Mombasa, Dar es Salaam)
South‑East Asia (Ho Chi Minh, Port Klang)
Southern Africa & Latin America (Durban, Navegantes)
Sustained export growth reflects favourable freight rates and the IME’s dollar‑denominated clearing, allowing buyers to hedge currency‑sanction risk.
8. Sustainability & ESG Outlook
8.1 Decarbonising Asphalt
Polymer‑modified “PG Plus” binders cut rutting by 55 % and extend pavement life by ~4 years, reducing maintenance emissions.
Pilot projects using rice‑bran bio‑oil and nano‑CaO show 9‑11 % lower CO₂ footprint per lane‑km.(ScienceDirect)
8.2 Circular Economy Steps
Re‑refining of reclaimed asphalt pavement (RAP) at Shiraz unit (target: 20 % RAP blend by 2027).
Bitumen‑in‑bags programme to recover steel drums for smelting, slashing packaging scrap by 12 000 t year‑¹.
POC’s 2024 sustainability report (internal) pledged a 30 % energy‑intensity reduction by 2030—aligned with Iran’s National Climate Vision.
9. Global Context & Future Demand
Analysts forecast a 3.9 % CAGR for worldwide bitumen through 2032, driven by post‑pandemic stimulus, EV‑ready road surfaces and climate‑resilient pavement technologies.(fortunebusinessinsights.com) Polymer‑modified grades—where Pasargad is expanding capacity—should outpace conventional binders at 4.7 % CAGR to 2032.(fortunebusinessinsights.com)
Conclusion
Pasargad Oil Company’s combination of scale, diverse grade slate, strategic Persian Gulf terminals and ongoing R&D places it among the most versatile bitumen suppliers in the Eastern Hemisphere. Its recent export records underscore increasing global acceptance—even amid sanctions headwinds—while innovation in nano‑additive and bio‑binder technology positions the firm for the sustainability challenges that define modern infrastructure.
Petro Naft is proud to act as an authorised business partner of Pasargad Oil Company and supplies its full product range to customers throughout Global.
Frequently Asked Questions
| # | Question | Answer |
|---|---|---|
| 1 | What is the annual production capacity of Pasargad Oil Company? | Approximately 4 million tonnes per year across six refineries, covering more than half of Iran’s domestic demand.(Pasargad Oil, Arena Petro Gas) |
| 2 | Which bitumen grades are most popular with international buyers? | Penetration grades 60/70 and 80/100 dominate tropical road projects, while VG 30/VG 40 and PG 70‑16 are favoured for heavy‑load or high‑temperature zones. |
| 3 | How does Pasargad ensure product quality? | All shipments undergo SGS/BV inspection, comply with ASTM D5 or AASHTO M320, and the firm is certified under ISO 9001, 14001 and 50001. |
| 4 | Can buyers hedge price risk? | Yes. The Iran Mercantile Exchange lists USD‑cleared mini‑contracts on bitumen that track Pasargad’s weekly auction prices, allowing physical buyers to offset volatility. |
| 5 | What are the typical shipping times to India and East Africa? | 20-30 days to western India (Kandla), 30-40 days to Mombasa or Dar es Salaam, assuming immediate berth availability at Bandar Abbas. |
| 6 | Does Pasargad produce eco‑friendly binders? | The Shiraz refinery is piloting rice‑bran‑bio‑oil and nano‑SiO₂‑modified asphalt that lowers life‑cycle CO₂ by ~10 %.(ScienceDirect, ScienceDirect) |
| 7 | How resistant are Pasargad PMBs to rutting? | Lab data show SBS‑modified PG 76‑10 reduces permanent deformation by up to 55 % versus conventional 60/70 in 60 °C wheel‑track tests. |
| 8 | What payment terms are available? | Standard terms require 100 % advance; however, Petro Naft offers staggered payment (e.g., 30 % deposit, balance at loading) for qualified clients. |
| 9 | Is it possible for international buyers to purchase products from Pasargad Oil Company (POC) directly? | Yes, international buyers can purchase products from Pasargad Oil Company (POC) either directly or through authorized partners such as Petro Naft. The company offers a wide range of products including drum-packed, bulk, polymer-modified, and oxidized bitumen, all manufactured according to international standards like ASTM and EN. Flexible shipping options (such as FOB and CFR) |
| 10 | Where can I get live price updates? | Weekly IME listings, Petro Naft’s market bulletins and specialist platforms such as Bitumart provide up‑to‑date Pasargad FOB and CFR indications.(bitumart.com) |
References
Pasargad Oil Company official website. https://www.pasargadoil.com
Arena Petro Gas. “Pasargad Oil Company Profile.” https://arena-petrogas.com/en/petroprice/pasargad-oil-company
Iran Energy Press. “Pasargad Oil Broke the 5‑Year Export Record.” 23 Jul 2024. https://energypress.ir/en/pasargad-oil-broke-the-5-year-export-record
Bitumart. “Iranian Bitumen Exports on IME Reached 163,000 MT in Early July 2025.” 23 Jul 2025.
Fortune Business Insights. “Bitumen Market Size, Share & Growth Analysis 2025–2032.” https://www.fortunebusinessinsights.com/bitumen-market-104300
Fortune Business Insights. “Polymer Modified Bitumen Market Size.” https://www.fortunebusinessinsights.com/polymer-modified-bitumen-market-106317
Nature Scientific Reports. “Effects of Dodecyl Amide, Nano CaCO₃ and Dry Resin on Bitumen.” 2025.
ScienceDirect. “Enhancing the Economics and Environmental Sustainability of Air‑Blown Bitumen…” 2024.
Prepared by the PetroNaft Co. research team.
