Non-toxic rubber process oil bids for HPCL

Vol 26, PW 16 (27 Jul 23) Midstream, Downstream, Renewables
 

Hindustan Petroleum believes the government will soon ban all toxic grades of rubber process oils used in the production of items made of rubber.

In anticipation, HPCL has begun work to hire a project consultant to set up India's first facility producing a non-carcinogenic grade of rubber process oil. Seven consultants responded to an HPCL tender for this by the July 17 (2023) bid deadline: Tata Consulting Engineers, MECON, Projects & Development India (both state-owned), Italian consultant RINA, Bengaluru-based Nauvata Engineering, Mumbai-based Offshore Engineering Design & Energy and RP Engineers & Projects.

An HPCL source tells us the estimated Rs150cr ($21m) facility with a capacity to produce 24,000 t/y of Treated Distillate Aromatic Extract (TDAE) grade rubber process oil will be set up at the company’s 9.5m t/y Mumbai refinery. Made from crude oil-based lubricants, rubber process oils are important raw materials used to produce rubber tyres and "oil extended natural or synthetic rubber.

’ Our HPCL source adds its Mumbai refinery is India’s largest lubricants producer and will supply feedstock to the new facility. Whoever wins must conduct detailed engineering and support HPCL in preparing project construction and management tenders and complete work within six months of the LoA.

HPCL developed the technology to produce TDAE-grade rubber process oil in-house at its R&D centre in Bangalore, we hear. "HPCL will provide the technology for this facility," stresses our source.

He adds different rubber process oil grades are available in the market, among them paraffinic, naphthenic and aromatic. "The most commonly used grade is believed to be carcinogenic and banned in Europe," he says.

"This grade is not yet banned in India, but we expect the government will soon make it mandatory to use aromatic (non-carcinogenic) rubber process oils; we want to be ready; there’s no technology in India to produce TDAE grade rubber process oil." HPCL wants the proposed new facility to be a pilot project anticipating future demand for this product in a market where it is determined to retain a dominant position.

HPCL published the tender on May 20 (2023), held the pre-bid on May 27 (2023) and originally wanted bids by June 16 (2023), later extended to July 17 (2023).