India’s IG Petrochemicals to start up new PA unit by Jan 2012

09 November 2010 09:14  [Source: ICIS news]

BANGALORE (ICIS)--India’s IG Petrochemicals Ltd (IGPL) expects to bring on stream its new 50,000 tonne/year phthalic anhydride (PA) unit at Taloja in Maharashtra state by January 2012, a source close to the company said on Tuesday.

The producer opted to expand its current facility, instead of setting up a greenfield project, as it would be cost and time effective, the source added.

The expansion project would help IGPL meet the rising demand for PA, the source said, but declined to provide details about the cost of expansion.

Increasing demand from downstream industries combined with static supply had made PA availability tight in the region, the source said.

Most of the demand for PA was from China, which is a net importer of the product, the source added.

IGPL is also evaluating acquisition opportunities in PA and downstream applications in India and abroad, the source said.

Meanwhile, the company had restarted production and stabilised operations at one of its PA lines at Taloja on 2 November, the source said.

The line, which forms part of the company’s 116,110 tonne/year plant at Taloja, had been taken off line on 11 October for three weeks for a catalyst change.

IGPL is a major producer of PA in India and operates two PA lines at its Taloja facility.

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By: RD Nair

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