Chennai-based Tamilnadu Petroproducts (TPL), the petrochemicals arm of AM International Group, is expanding its production divisions at an investment of Rs 435 crore. These involve capacity augmentation of Linear Alkyl Benzene (LAB) division, revamp of caustic soda facilities and setting up a Propylene recovery unit (PRU). TPL has its plant at Manali in Tamil Nadu that homes distinct divisions.
The LAB capacity would be improved from 1.2 lakh TPA to 1.45 lakh TPA at an estimated price of Rs 240 crore. The project would be commissioned in about 24 months. The enterprise will invest Rs 165 crore to modernise the caustic soda and chlorine unit by replacing the mono-polar membrane technologies with a more sophisticated bipolar membrane technologies.
On completion in about 18 months soon after expected approvals, the production capacity for caustic soda unit will go up to 250 tonne per day from the existing 150 tonne. At the present cost levels, extra income of about 70% is anticipated from the project, with enhanced or greater worth addition, the enterprise mentioned in a statement.
The PRU, 1st of its sort in India by a private sector player in the non-refining sector, would involve an outlay of about Rs 30 crore. This will be set up in the exact same PO manufacturing complicated, saving important trucking and power charges. Propylene, a bulk chemical intermediate, is the raw material for Propylene Oxide and is derived from LPG.
TPL is in sophisticated talks with different domestic and international vendors for LPG for the project. The project, technologies of which has been created in-property by the company’s R&D group of engineers and environmental scientists, will be implemented in 12-18 months.
Ashwin Muthiah, vice-chairman, TPL & founding chairman, AM International, mentioned, “TPL will be the first Indian non-refining company in the private sector to build a propylene recovery unit plant. It shows our commitment to bring manufacturing efficiencies by continuous upgrading and introducing state-of-art technology solutions. It is in line with our group philosophy to maximise margins by introducing process efficiency and value additions.”
In adherence to the group’s philosophy of optimum leverage, a important portion of the expansion will be funded by way of internal sources and the remaining via other sources. TPL is a 3-decade old LAB manufacturer and has facilities for production of heavy chemical substances and Propylene Oxide also.
Ravi, Group CEO- petrochemicals, AM International, mentioned, “The projects would make the country self-reliant in this segment by meeting the domestic demand.”