Despite crippling international sanctions Iran has raised domestic gasoline production capacity by over 30% over the past two years and has ambitious plans for further massive expansion.

Iran’s National Oil Refining and Distribution Company (NIORDC) on 25 June, began work on an upgrade of Lavan refinery, on Lavan Island in the Gulf. This marks further progress in the company’s piecemeal expansion program in the face of tightening international sanctions. The upgrade will take Lavan gasoline production capacity from 6,800 b/d to 17,800 b/d, under an initiative originally conceived to reduce gasoline import costs (MEES, 13 March 2006). (CONTINUED - 773 WORDS)