In 1953 Mr. Mahmoud Khalili and Mr. Mohsen Khalili established the first LPG distributing company in Iran. In 1954, Butane Company succeeded to provide Abadan Refinery LPG, which was wasted for years, to Iranian society, opened the market to this product and introduced it as the clean useful energy to society. Mr. Mahmoud Khalili, the founder of LPG industry in Iran and Butane Company, was born in 1905 in Tehran. After graduating from "Darolmoalmin" high school with A degree, Mr. Khalili achieved the chair of physics and mathematics teaching in the same school. After 2 years, he entered to the filed of industry by raising a car repair workshop in "Chra gaz" street in Tehran. He was appointed as the Head of Tehran Electricity Power organization in 1938. At the same time he established the first governmental electricity plant in Iran. In 1950 during a trip to Khuseztan he noticed that one of valuable oil products, liquefied petroleum gas, is wasted by flaming. He always had wishes that industrial field improves in Iran. Oil nationalization in 1951 was an opportunity for him and his wishes to become reality. Mr. Mahmoud Khalili along with his son, Mr. Mohsen Khalili, who had been recently graduated from Tehran Technical University, took a trip to United States of America and Europe. During this trip father and son achieved ideas of recent LPG progression. They made preparations for founding Butane Company. Mr. Mahmoud Khalili passed away in 1974, at age of 68. Butane Company has a main role in providing LPG rules & regulations and standardization for transportation, storing, distributing and consuming. Today 70 plants and 1000 representatives are presenting 460,000 Tons of LPG to 5.2 million households, main industries, services and commercial customers around the country in the form of 2, 11, 50 Kg. LPG cylinders and bulks.