India's Reliance on track to start up new PTA capacity in 2013-14

09 April 2012 16:10  [Source: ICIS news]

MUMBAI (ICIS)--Reliance Industries, the Indian energy and petrochemicals major, is on track to start up two 1.1m tonne/year purified terephthalic acid (PTA) plants at Dahej, Gujarat, in 2013-14 to meet growing demand from the country's polyester industry, a company source said on Monday.

"India's polyester demand is expected to keep relatively high growth rate of around 8--10% in the coming two to three years," estimated the source.
Growth in 2012 is likely to be around 8%, slightly lower than the previous forecast of double-digit growth because of a slowdown in economic growth, he said.

The company began construction of the two lines late last year and plans to bring the first plant on line in the fourth quarter of 2013 and the second one six months later in 2014, the source said.

The two units, which will use Invista's technology, will be the world's largest plants with single unit capacity exceeding 1m tonnes/year, the source said.
A third PTA line is under consideration but a decision has yet to made, he added.

Reliance has meanwhile begun to implement a major expansion of its polyester capacities in India.

This includes a 390,000 tonne/year poly–condensation unit at Silvassa, to start up in early 2014, to be used to make a variety of yarns including partially oriented yarn (POY); a 290,000 tonne/year polyester staple fibre (PSF) plant at Dahej to start up in the first half of 2014, and two polyethylene terephthalate (PET) bottle chip units with total capacity of 640,000 tonnes/year at Dahej, with the first to come on stream in the second quarter of 2013 and the second to start up in the fourth quarter of 2013 or first quarter of 2014.

Reliance is also looking to expand capacities upstream. It is planning a 700,000-750,000 tonne/year mono ethylene glycol (MEG) plant at Jamnagar in Gujarat state, based on ethylene from a new cracker at the same site. The plants are likely to start up in 2015.

It is also in the process of finalising plans for a 1.3m-1.8m tonne/year paraxylene (PX) facility at Jamnagar, for start up in 2015.

Additional reporting by Malini Hariharan

By: Becky Zhang
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