India's OPaL to start up new 340,000 tpa polypropylene plant after procuring spot feedstock

04-Apr-16

India's ONGC Petro additions Limited plans to start up its 340,000 m tpa polypropylene plant in Dahej Special Economic Zone, in Gujarat, in a couple of weeks if it can procure feedstock propylene from the spot market as per a company source in Platts. "We hope to procure propylene at a good price before we start PP [production]," the source said. The plant's start-up had been previously delayed due to high project costs. OPaL also hopes to bring on stream its new steam cracker in early June and its new polyethylene units by end-June, according to the source. The company is building two 360,000 m tpa high density polyethylene/linear low density polyethylene swing units and a 340,000 m tpa standalone HDPE unit. The dual-feed cracker has the capacity to produce 1.1 mln m tpa of ethylene and 400,000 m tpa of propylene. Associated units include a 150,000 m tpa benzene extraction unit and a 115,000 m tpa butadiene unit. The new units will produce the following HDPE grades -- injection, pipe, blow moulding, film and raffia/mono filament; and LLDPE grades -- film, roto moulding, lamination and injection moulding. OPaL is a joint venture of Oil and Natural Gas Corp. (26%), GAIL (17%) and Gujarat State Petroleum Corp. (5%), with the balance held by other investors and public shares.