India’s Reliance delays restart of Vadodara LAB plant by 2-3 weeks

03 April 2013 08:19  [Source: ICIS news]

SINGAPORE (ICIS)--India’s Reliance Industries has extended the duration of the maintenance shutdown at its linear alkyl benzene (LAB) plant at Vadodara in Gujarat state by two to three weeks, a source close to the company said on Wednesday.

“The plant was originally expected to restart by the end of March, but some additional technical issues have cropped up, resulting in a delay,” the source said.

The 60,000 tonne/year plant was shut down in the third week of February.

The turnaround has resulted in a tightening of supply in the Indian LAB market, market sources said.

Reliance also operates a 120,000 tonne/year LAB plant at Patalganga, in Maharashtra state.

The shutdown at Reliance’s Vadodara caused the company’s exports to decline significantly in March, the source close to the company said. “The company may not have much export availability in April, as domestic demand has picked up,” the source added.

“The company has been meeting its commitments to regular customers but spot exports have been affected,” he said.

India has an installed LAB capacity of 530,000 tonnes/year, an industry source said. Consumption of LAB totalled 500,000 tonnes/year in 2012, creating a shortfall of 40,000 tonnes/year.

Other LAB producers in India include IndianOil, Nirma and Tamil Nadu Petroproducts.

By: Prema Viswanathan
+65 6780 4359

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