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Of every 100 barrels of oil produced in Iran, the price of around 10 barrels of it is used to purchase the needed imported spare parts, chemicals, etc. to sustain the oil and gas production. The imported items for construction of the new plants for oil industries are not included in the above.
In order to reduce the share of the imported items for oil,gas and petrochemical industries and also to make a better use of available manufacturing hard wares in Iran, it was decided by the ministry of industries to set up a task group for promoting the local manufacturing. The task group which was formed in 1369 (1991) made and extensive study to identify which group of items are the most feasible to make in Iran according to the technical standards accepted by the petroleum industries.
Vessels, tanks , piping and heat transfer equipment were selected to be manufactured first in Iran and prior to making the other items.
In order to implement this project, petroleum equipment industries company (PEIC) was registered (No. 64962) by the ministry of industries to be operated under IDRO (the largest industrial group owned by the Iranian ministry of industries).

The manufacturing policies of PEIC included the followings:

  • To minimize the initial investment on the manufacturing machineries as much as possible and instead make extensive use of free capacity of machineries in other companies by employing them as the subcontractors.

  • Make a survey of other industries in Iran to find out about their potential capabilities as subcontractors and/or independent maker of the needed items also to help them in that direction.

  • Coordinate with the oil industries about their requirements.

  • Plan the manufacturing process by using any one or all of the following procedures:
    (a) making the use of reverse engineering
    (b) purchasing the manufacturing technologies (c) making joint venture companies with well established foreign manufacturer.

  • Establish a commercial department for supplying a complete range of equipment to industries.

By succesful implementation of the above policies, PEIC started to make the piping equipment. In its first endeavor it made a joint venture with a non-Iranian company to make cast steel valves according to API standards. Manufacturing of other piping items such as: bolts-nuts, gaskets, etc. followed the making of valves. Other products such as: fuel pump dispensers, mechanical seals, well head equipment, etc. are now being manufactured also, each in an independent sub-company, as are listed below.

PEIC has a policy to expand the range of its products and also look for other items to be made. Some of the former PEIC group companies are now independent for making seamless steel pipes, fin-fan air coolers, centrifugal process pumps, etc.

PEIC group has a general policy for high engineering work, extensive quality control and providing good services to the customers.

Customers could either contact PEIC or contact directly the following sub-companies for their needs.

We respond to your enquiries and our quotations are for material which is certified to be in compliance with a stated standard specification

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