Reliance commissions new India PET, PTA plants
4/10/2015 12:00:00 AM
Reliance Industries Ltd. (RIL) has successfully put into operation two plants in Dahej, Gujarat, India.
The first is a polyethylene terephthalate (PET) resin plant, which consists of two lines with a combined manufacturing capacity of 650 KTA. The plant has been built with Invista technology for continuous polymerization and Buhler AG technology for solid state polymerization.
This is one of the largest bottle-grade PET resin capacity at a single location globally, and consolidates Reliances position as a leading PET resin producer with a global capacity of 1.15 MMTPA, the company said. PET resin from the new capacity would find application in packaging for water, carbonated soft drinks, pharmaceuticals and other food and beverages.
Purified terephthalic acid (PTA) and mono ethylene glycol (MEG), the two feedstocks for the new PET plant, are available within the Dahej complex, offering the advantages of lower freight costs and consistent product quality due to in-house raw material linkages. India is one of the fastest growing markets forPET packaging, with demand increasing by 15%20% annually.
The second facility is a new purified terephthalic acid (PTA) plant that provides a capacity of 1,150 KTA. With the commissioning of this plant, also built with Invista technology, Reliances total PTA capacity will increase to 3.2 MMTPA, and its global capacity share will rise to 4%.
Paraxylene, the key feedstock for the PTA plant, is sourced from Reliances Jamnagar refinery. The PTA plant is also forward integrated with the 650 KTA PET plant in the same complex, lowering operating costs and capturing full chain margins. Another PTA plant of similar capacity is under construction at the same location, placing Reliant among the top five PTA manufacturers globally.
India is the second-largest producer of polyester with estimated production of 5.4 MMTPA. The Indian polyester market is growing at 8%10% annually. Indian market is currently deficit in PTA by over 1.5 MMTPA.