The project is now 14% complete and is expected to come on-stream by 2018, said Managing Director of Masjed Soleyman Petrochemical Plant Yousef Davoudi.
He said Chinese developers have started appraisal studies on the project and are expected to start the underground section of the project by April.
The city of Masjed Soleyman is the birthplace of Iran's oil industry. Oil gushed out of its well 107 years ago.
Two European firms have provided licenses and designs for the project. The Chinese developer has so far fulfilled 64 urea and ammoniac projects in the world.
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