27 June 2013 09:08 [Source: ICIS news]
KOLKATA (ICIS)--Indian Oil Corp (IOC) intends to beef up production capacity at its new styrene butadiene rubber (SBR) in Panipat by 100,000 tonnes/year, in the second phase of the project that will be completed in 2015, a company official said on Thursday.
The SBR plant - India's first - will have an initial capacity of 120,000 tonnes/year when it comes on stream in the next two to three months, the official said.
Indian Synthetic Rubber Ltd (ISRL), a joint venture of IOC, Taiwan’s TSRC Corp and Japan’s Marubeni Corp, will operate the $148m (€114m) plant.
No investment figure was provided for the planned increase in production at the unit.
The expansion project is aimed at achieving 100% import substitution for India’s domestic demand for SBR.
The SBR unit is integrated into IOC’s Panipat refinery and will derive feedstocks from the naphtha cracker at the site, the official said.
The plant will use the SBR process technology of TSRC and Marubeni, the official said.
India has an estimated demand of 900,000 tonnes/year for SBR, all of which are being procured through imports.
By 2016, the country is projected to have around 370,000 tonnes/year of domestic SBR capacity, including ISRL’s expanded plant, the official said.
($1 = €0.77)
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