India’s GAIL to double polymer capacity at Pata complex

03 August 2010 14:27  [Source: ICIS news]

MUMBAI (ICIS)--State-owned gas utility company GAIL (India) Ltd plans to double its polymer production capacity at its petrochemicals complex at Pata in Uttar Pradesh state to nearly 900,000 tonnes/year in the next 36 months, a source close to the affairs said on Tuesday.

The expansion project, which would cost around Indian rupees (Rs) 82bn ($1.78bn/€1.35bn) would be financed via bonds and external commercial borrowings, the source said.

GAIL’s gas-based integrated petrochemical complex at Pata consists of two high density polyethylene (HDPE) units with a capacity of 100,000 tonnes/year each and a swing HDPE/ linear low density PE (LLDPE) plant with a capacity of 210,000 tonnes/year.

The source also said the company had decided to push back its plans to set up a mega petrochemicals plant in collaboration with Reliance Industries due to the weak global outlook for petrochemicals.

Reliance and GAIL signed an agreement in December 2007 to jointly set up a 1.9m tonne/year gas-based petrochemical plant and had initially identified 10 countries, including Qatar.

The companies planned to set up a 50:50 joint venture company to run the petrochemical plant.

The company on Monday posted a 35% rise in its first quarter net profit to Rs8.87bn from Rs6.56bn in the year-ago period on increased gas sales, while its turnover rose 18% to Rs70.96bn from Rs60.39.

($1 = Rs46.0, €1= Rs60.6)

For more information on PE, visit ICIS chemical intelligence

To discuss issues facing the chemical industry go to ICIS connect


By: Priya Jestin



AddThis Social Bookmark Button

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly

ICIS news FREE TRIAL
Get access to breaking chemical news as it happens.
ICIS Global Petrochemical Index (IPEX)
ICIS Global Petrochemical Index (IPEX). Download the free tabular data and a chart of the historical index