What Araz Silicon Industries does

Araz Silicon Industries is an Iranian industrial silicon manufacturer founded in September 2019 and headquartered in Tehran, with production operations at the Khoy Industrial Park in West Azerbaijan Province. The company produces silicon metal (99%+ purity) via carbothermic reduction of silica ore in electric arc furnaces, and recovers micro silica powder as a by-product. Araz began commercial production in summer 2022 with an initial 15,000 tons/year capacity from two furnaces, with Phase 1 expansion to 40,000 tons/year (four furnaces) targeted. The company self-identifies as the first industrial silicon producer in Iran and the Middle East, displacing imports of approximately 30,000 tons/year of domestic consumption and projecting $90M+ in annual foreign exchange earnings at full Phase 1 capacity. The company's product portfolio is positioned to span the full silicon value chain, with stated plans for polysilicon (10,000 t/yr), silicon wafers, PERC monocrystalline solar panels (650-670W), and solar farm EPC/EPCF/EP/EC/P contract services, though only silicon metal and micro silica are currently in production.

The business model is B2B industrial sales with a planned 90% export / 10% domestic revenue mix, targeting aluminum manufacturers, solar and photovoltaic producers, electronics and semiconductor customers internationally, and cement/concrete manufacturers for the micro silica by-product domestically. Revenue mechanics rely on direct negotiated contracts with enterprise buyers; pricing is not publicly disclosed. The company has secured financial backing from Pasargad Bank and Parsian Bank, and operates with extensive government alignment including the Ministry of Power, Ministry of Industry, SATBA, IMIDRO, and the Vice-Presidency for Science and Technology, positioning the project as a strategic national initiative for import substitution and renewable energy supply chain development. The leadership team includes 5 university faculty members and 7 national scientific Olympiad medalists, with a founder (Mohammad Hossein Fardad) who previously built Iran's largest solar panel manufacturer. An engineering office in Grenoble, France supports international operations, and a $70 million Phase 1 capital investment has been deployed to date.

Name

Araz Silicon Industries

Legal name

Araz Silicon Industries

Website

https://arazsilicon.com

Company type

Private

Founded year

2019

Operating status

Operating

Headcount range

11–50 employees

Short description

Araz Silicon Industries is an Iranian industrial silicon manufacturer producing 99%+ purity silicon metal via carbothermic reduction in electric arc furnaces, plus micro silica by-product. It serves aluminum, solar, electronics, and cement industries with B2B sales targeting 90% exports to Germany, the EU, and Persian Gulf markets.

Ownership category

akta.pro rank

Headquarters

HQ city

Khoy

HQ country

Iran

HQ region

Middle East

Offices3 records

Markets served

GTM type

B2B

Offering type

Hardware or Manufacturing

Cost components

Supply Chain, Operations, Personnel, Infrastructure, Technology or R&D, Marketing or Sales

Revenue model

1. Silicon Metal Sales: Manufacturing and direct sales of silicon metal in various grades (553, 441, 421, 3303, 3103, 2503, 2203, 2202, 1515G) to domestic and export markets. First phase production capacity of 15,000 tons/year expanding to 40,000 tons/year. Target markets: domestic (10%) and export to Germany, European Union, and Persian Gulf countries (90%).
2. Micro Silica Powder Sales: By-product of silicon production sold to cement and concrete industries. Side stream revenue from the same production process.
3. Solar Farm EPC Services: Engineering, Procurement, Construction and Financing (EPCF), EPC, EP, EC, P contract services for solar farm development

Go-to-market motion1 record

Distribution channels3 records

Marketing channels2 records

Core offering

Araz Silicon Industries manufactures and sells industrial silicon metal (99%+ purity) produced via carbothermic reduction in electric arc furnaces at its Khoy Industrial Park facility in West Azerbaijan Province, Iran. It produces silicon metal in multiple grades (553, 441, 421, 3303, 3103, 2503, 2203, 2202, 1515G) for the aluminum, solar/photovoltaic, and electronics/semiconductor industries, and recovers micro silica powder (a by-product) for sale to cement and concrete producers. The company also provides solar farm development services under EPC, EPCF, EP, EC, and P contract models for downstream value chain integration.

Product overview

Araz Silicon Industries is a silicon manufacturing complex producing the complete silicon value chain from raw silica ore to downstream products. Current products include Silicon Metal (industrial silicon with 99%+ purity) and Micro Silica Powder (by-product for cement/concrete). Future plans include Polysilicon, Silicon Wafers, and Solar Panels (PERC Mono 650W-670W series). The company also offers Solar Farms development services under EPC, EPCF, EP, EC, and P contract models. The product portfolio spans from upstream silicon metal production through mid-stream polysilicon and wafer manufacturing to downstream solar panels and complete solar farm projects.

Differentiator

Problem solved

Functional benefit

Products and services

• Silicon Metal Industrial silicon metal (99%+ purity) produced via carbothermic reduction in electric arc furnaces, supplied in multiple grades (553, 441, 421, 3303, 3103, 2503, 2203, 2202, 1515G) for use as a strategic material in semiconductors, electronic information, photovoltaic solar cells, and aluminum alloy production.
• Micro Silica Powder Micro silica powder recovered as a by-product from the silicon metal production process (off-gases oxidized into CO2 and SiO2 solid particles averaging 15.0 microns), sold to cement and concrete manufacturers to increase concrete strength and longevity.
• Solar Farms Development Service Solar farm development services offered under EPC (Engineering, Procurement, Construction), EPCF (Engineering, Procurement, Construction, Financing), EP, EC, and P contract structures to renewable energy developers.

Quantifiable outcome

• Reduces over $30 million annual currency exit from silicon imports
• +3 more outcomes

Named customers2 records

Segments4 records

Ideal customer profiles4 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature5 records

Partnerships

Eleven partnerships are on record, tiered core and supporting.

• Ministry of Power (Iran)coreOthersGovernment ministry overseeing energy sector, providing regulatory support and coordination for renewable energy and silicon industry development.
• Ministry of Industry, Mine and Trade (Iran)coreOthersGovernment ministry providing industrial development support, regulatory approvals, and coordination for mining and manufacturing operations.
• West Azerbaijan Province GovernancecoreOthersRegional government authority providing support for Khoy Industrial Park facility location and local development coordination.
• IMIDRO (Iranian Mines and Mining Industries Development and Renovation Organization)coreOthersGovernment organization supporting mining and metal industries development, providing strategic alignment for silicon production initiative.
• Vice-Presidency for Science and Technology (Iran)coreOthersGovernment body supporting knowledge-based companies and technology development, aligning with Araz's innovative entrepreneurship approach.
• Mahan EnergysupportingStrategic or Co-development PartnerEnergy company in renewable sector, potential collaboration for solar power plant development and silicon value chain integration.
• SATKABsupportingStrategic or Co-development PartnerStrategic partner in solar energy technology and development initiatives.
• TavanirsupportingOthersIran Power Generation Management Company providing grid connection and electricity infrastructure support.
• azrec.cosupportingStrategic or Co-development PartnerPartner in renewable energy and energy efficiency technology development.
• Pasargad Energy Development Co. (PEDC)supportingStrategic or Co-development PartnerEnergy development company focused on renewable energy projects including solar power plant development.
• SATBA (Renewable Energy and Energy Efficiency Organization)coreOthersGovernment organization overseeing renewable energy development in Iran, providing regulatory framework, tender processes, and strategic coordination for solar energy projects aligning with silicon value chain.

Scale indicators15 records

Recent moves6 records

Expansion highlights7 records

Broad incumbents

• Wacker Chemie AG: German chemical company producing polysilicon, silicon wafers, and silicones. Comparable to Araz's vertical integration roadmap and a relevant benchmark for the polysilicon-to-solar value chain, particularly relevant as a potential European customer/competitor for Araz's EU export thesis.

Direct peers

• REC Silicon ASA: Norwegian/US producer of silicon gases and polysilicon for the solar and electronics industries. Comparable to Araz's planned upstream integration into polysilicon and silicon wafers, and a relevant benchmark for high-purity silicon production.
• Elkem ASA: One of the world's largest silicon metal producers, headquartered in Norway. Directly comparable to Araz as a primary silicon metal smelter using electric arc furnaces, serving aluminum, silicones, and solar end markets.
• Mississippi Silicon: US silicon metal producer serving chemical, aluminum, and solar markets. Comparable to Araz in scale, product portfolio (industrial silicon grades), and electric arc furnace production process.
• RW Silicium GmbH: German silicon metal producer serving European aluminum, chemical, and solar customers. Direct competitor for Araz's stated 90% export focus on Germany and the EU, and a relevant benchmark for European-grade silicon metal specifications.
• Tokuyama Corporation: Japanese chemical company producing polycrystalline silicon and silicon products for semiconductors and solar. Comparable to Araz's planned upstream integration into polysilicon and a relevant benchmark for technical grade production.
• Simcoa Operations Pty Ltd: Australia's only silicon metal producer, supplying chemical, aluminum, and solar markets. Comparable to Araz as a regional, integrated silicon metal producer competing in global export markets.
• Hemlock Semiconductor: US-based polysilicon producer serving semiconductor and solar end markets (privately held by Corning and Dow). Directly comparable to Araz's planned polysilicon/silicon wafer expansion into high-purity solar-grade silicon.
• Ferroglobe PLC: Global producer of silicon metal, ferrosilicon, and silicon-based alloys with operations in Europe, North and South America. Closest large-cap peer to Araz given product portfolio (industrial silicon grades 553, 441, etc.), production process, and aluminum/solar customer base.
• OCI Company Ltd. Global producer of nitrogen, methanol, and polysilicon with polysilicon operations in the US and Asia. Comparable to Araz in the upstream silicon-to-solar value chain and a relevant reference for the planned polysilicon expansion.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat6 records

Key risks6 records

Key highlights6 records

Customer concentration

• LinkedInlinkedin.com/company/arazsilicon-industries

Revenue estimate

Valuation estimate

Number of profiles

Profiles6 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Araz Silicon Industries