Iran Petroleum Ministry said that the refineries will be built over an area of around 300ha between phases 13 and 19 of South Pars gas field.

Each of the eight companies selected to undertake the projects will invest around $300m.

The refineries are expected to have daily production capacity of 24,800 barrels of liquefied gas, 128,000 barrels of light naphtha, 148,000 barrels of heavy naphtha, 29,600 barrels of jet fuel and 149,600 barrels of diesel.

Press TV cited an official in charge of Siraf refineries project as saying: "The naphtha, which will be produced by the Siraf refineries, is one of the main feeds of the petrochemical industry and can be used by various petrochemical plants across the country."

"At present there is high demand for the liquefied gas in international market.

"Therefore, marketing the end product of the refineries will not be a problem."

The South Pars gas field is estimated to host around 8% of the world’s natural gas reserves, and around 18 billion barrels of condensate.