Israel struck the South Pars petrochemical complex at Asaluyeh on Monday, targeting the Jam and Damavand facilities in what Defense Minister Katz called “a powerful strike on the largest petrochemical facility in Iran.” Katz claimed the two complexes account for ~85% of Iran’s petrochemical exports and have been rendered inoperative, projecting “tens of billions of dollars” in lost revenue.
Iran disputes the damage assessment. Tasnim reported that support infrastructure providing electricity, water, and oxygen to the complex was hit, but the Pars petrochemical company itself was not directly damaged. Power supply to all Asaluyeh units was cut.
South Pars is the world’s largest natural gas field, shared with Qatar’s North Dome. The petrochemical complex processes gas condensate into exportable products. Even if the main processing units survived, the loss of utilities infrastructure forces a full shutdown. Restart timelines depend on the extent of electrical and water system damage, likely weeks at minimum.
Combined with the IDF’s overnight strikes on three Tehran airports (Mehrabad, Bahram, Azmayesh), the destruction of dozens of Iranian aircraft, and the ongoing 48-hour blitz, this represents a systematic escalation from military to economic infrastructure targeting. The pattern mirrors the Gulf industrial strikes Iran conducted against Bapco, KPC, and Borouge on Saturday, now returned in kind.
Watch: Whether Iran retaliates against Gulf petrochemical facilities (it threatened Saudi Hadeed, UAE Emsteel, Qatar Steel on Mar 28) and how Asian buyers of Iranian condensate respond. Brent traded ~$109 after spiking to $112 earlier on ceasefire rejection.