06 June 2013 11:09 [Source: ICIS news]
LONDON (ICIS)--India’s Reliance Industries is on its way to becoming one of the top five global petrochemical majors as it raises petrochemicals production capacities from 15m tonnes/year to 25m tonnes/year, chairman Mukesh Ambani told shareholders on Thursday.
It is among the global top 10 diversified petrochemical majors in terms of earnings, he said at the company’s annual general meeting (AGM) in Mumbai.
The new cracker in Jamnagar, the world’s largest at 1.6m tonnes/year design capacity and integrated with the Jamnagar refinery, will be commissioned in the second half of Reliance’s 2016 financial year. It will almost double the firm’s ethylene capacity to 4.3m tonnes/year.
“Reliance will also double its paraxylene [PX] capacity at Jamnagar over the next 30 months to become the second largest producer in the world,” he added.
The company will commission 1m tonnes/year of new purified terephthalic acid (PTA) in the first half of next year and another plant of the same capacity within another six months to take its total for the polyester intermediate to 4.3m tones/year. Downstream polyester capacity is being raised by 1.5m tonnes/year to 4m tonnes/year.
“Today our petrochemical products touch every facet of a citizen’s life through apparel, household goods, electronic goods, automobiles and food packaging,” the Reliance chairman said.
“Every second child going to school in India wears [a] uniform made from Reliance polyester. Every automobile made in India has polypropylene [PP] produced by Reliance,” he added.
The company will also be leading the drive to produce synthetic rubbers for the fast-growing automobile sector in India, he said.
Styrene butadiene rubber (SBR) and polybutadiene rubber (PBR) capacities will be commissioned in the current financial year in Hazira, India. Reliance has a butyl rubber joint venture with Russia’s Sibur which is proceeding to schedule, said Ambani.
“Growing aspirations of young Indians and their preference for [a] superior lifestyle continue to drive demand for petrochemicals,” Ambani said, adding that Indian per capita consumption of petrochemicals is still one of the lowest in the world at 26kg/year compared with a global average of 88kg/year.
“All our new manufacturing capacities are focused on the Indian market and the Indian consumer,” he told shareholders.
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