31 March 2008 15:21 [Source: ICIS news]
MUMBAI (ICIS news)--Indian Oil Corporation (IOC) will set up the Indian rupees (Rs) 144bn ($3.61bn) petrochemical complex at Panipat in Haryana state on its own and would not team up with Kuwait-based Qurain Petrochemicals Industries Co(QPIC) for the project, the company said over the weekend.
“The IOC petrochemical project was at an advanced stage and QPIC delayed its response at various stages, which would have in turn delayed our project completion, so we decided to go solo,” an official from IOC said.
“IOC saw a possible conflict of interest between the two companies after QPIC said it had intentions to form a consortium with another major player - Malaysia's Titan Petrochemicals ?xml:namespace>
The nucleus of the Panipat complex would be a paraxylene (PX) and purified terephthalic acid (PTA) plant, a naphtha cracker and polymer units which are expected to spur development of the plastic processing and allied industries in n
The complex, scheduled to be commissioned by December 2009, would have a capacity of 857,000 tonnes/year of ethylene, 600,000 tonnes/year of propylene, 500,000 tonnes/year of PX and 553,000 tonnes/year of PTA, he said.
It would also include 1.25m tonnes/year of polyethylene and 325,000 tonnes/year of monoethylene glycol (MEG) capacity, he added.
The petrochemical unit would also produce benzene, pygas and carbon black feedstock as by-products, he added.
IOC has inked a memorandum of understanding with the state government for an incentive package to develop a hub of polymer processing units, he added.
“The per capita consumption of plastics in
IOC is also implementing a masterplan envisaging $6.8bn (€5.42bn) investment in petrochemicals by the year 2011-12, he added.
($1 = €0.63/Rs39.85)
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