Iran will roll out more than $3 billion worth of new refinery projects by March 2026, signaling a potential turnaround for the country’s long-stagnant refining sector, a senior energy official announced Saturday.

Speaking at the 29th Iran International Oil, Gas, Refining and Petrochemical Exhibition (Iran Oil Show), Mohammad Sadegh Azimifar, deputy oil minister and head of the National Iranian Oil Refining and Distribution Company (NIORDC), admitted that Iran’s refining capacity had seen “little development over the past three years.”Once a gasoline exporter in 2020, Iran has recently turned into an importer, highlighting the urgent need for infrastructure upgrades.

“Fuel consumption by power plants has increased by 80 percent this year,” Azimifar said, despite a 43 percent drop in fuel reserves when the current administration took office.

The official also pointed to delays in major refinery overhauls caused by “imbalances in the energy sector,” and noted a decline in compressed natural gas (CNG) usage—from 23 million cubic meters per day in 2020 to 18 million cubic meters now.Still, Azimifar stressed progress under President Masoud Pezeshkian’s government.

“We have boosted oil and gas production by nearly 8 million liters per day, and gasoline output has increased by 7 million liters,” he said.The newly announced projects are expected to come online by the end of the Iranian calendar year in March 2026.