An agreement signed between Mitsui and GAIL in June 2004 has received approval from the Indian government. With this approval, Japan's Mitsui Chemicals, Inc. (MCI) has licensed its proprietary high density polyethylene (HDPE) process technology to GAIL (India) Limited for application to GAIL's No. 2 HDPE Plant at Pata, Uttar Pradesh. On completion in 2006, the plant will have a capacity of 100,000 tpa. GAIL's decision to adopt MCI's technology again for its No. 2 HDPE was based on outstanding performance of MCI process technology at the No.1 Plant, coupled with adequate follow-up technical service and excellent performance of the advanced Ziegler catalyst developed.
GAIL's current production capacities are:
Gas separation : 400, 000 tpa
Ethylene: 300,000 tpa
No. 1 HDPE plant : 100,000 tpa
HDPE/LLDPE : 160,000 tpa
This is MCI's third HDPE process license in India, following the licenses to GAIL for its No.1 Plant in 1993 and to Haldia Petrochemicals Ltd. in 1996. With this, MCI's total number of its HDPE process licenses will reach 41 lines world-wide, with the cumulative licensed capacity exceeding 4.5 million tpa.