GAIL wants polypropylene technology

Vol 23, PW 2 (14 Nov 19) News in Brief

GAIL is widening its footprint in the domestic petrochemicals business by entering into the plastics raw materials sector.

This report learns GAIL is on the lookout for a technology provider for a proposed facility to produce 60,000 t/y of the plastic polypropylene at its gas-based petrochemicals complex at Pata in Uttar Pradesh where it already produces plastics linear low density polyethylene and high density polyethylene. WR Grace and Company, McDermott International and LyondellBasell are seen as the most likely three contenders for this assignment for which GAIL issued a tender on November 1 and wants bids by December 12.

In addition to providing technology, whoever wins must also provide the basic design and engineering package (BDEP), catalysts and other essential items for the upcoming facility. The raw material for polypropylene production will be propylene produced by the GAILĀ gas cracker at Pata.

GAIL's project consultant Engineers India will use the BDEP submitted by the chosen technology provider to prepare the FEED document for financial approval by the company Board before it issues either EPC or installation tenders for this estimated Rs750cr ($107m) facility.