20 February 2013 06:26 [Source: ICIS news]
Bharuch (ICIS news)--India’s Gujarat Chemical Port Terminal Co Ltd (GCPTCL) is planning to build a new methanol storage tank with a capacity of 15,000-20,000 tonnes in Dahej, a source familiar with the project said late on Tuesday.
Governmental clearances for the project have yet to be secured, said the source from
Gujarat Narmada Valley Fertilizers and Chemical Co (GNFC), a part-owner of GCPTCL.
“It will take around 14 months to build once approved,” the source said.
GNFC – the largest methanol producer in India – needs the new storage tank as it intends to import more methanol to cater to the strong growth in domestic demand amid a dearth of supply, market sources said.
India’s methanol demand is growing at an annual rate of 10-15% annually, market sources said.
Limited availability, as well as high prices, of feedstock gas in India makes methanol projects unviable, industry sources said.
GNFC started importing methanol at Dahej last year using a 4,500-tonne storage tank operated by GCPTCL, according to the company source.
The company is also looking at securing tanks of a similar size at Kandla or Mundra ports in Gujarat, the source said.
GCPTCL is a joint venture between Reliance Industries Ltd (RIL), Gujarat State Fertilizers and Chemicals (GSFC), Gujarat Alkalies and Chemicals Ltd, GNFC and Gujarat Maritime Board.
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