New Delhi: State-owned Bharat Petroleum Corporation Ltd and GAIL (India) recently entered into an agreement, setting down a 15-year commitment to supply propane for GAIL’s PDH-PP (Propane Dehydrogenation and Polypropylene) Plant project situated in Usar, Maharashtra.
Under this 15-year supply contract, BPCL will deliver GAIL with 600 KTPA of propane sourced from its LPG facility in Uran, with an estimated value of Rs 63,000 crore.
In an official statement, BPCL disclosed its objective to enhance its LPG facility in Uran, which is presently capable of handling 1 MMPTA (million tonnes per annum) of LPG imports. This expansion aims to accommodate 3 MMTPA of propane and butane imports.
The demand for polypropylene is anticipated to surge to 6.3 million tons by the year 2025, marking a significant increase from the 4.9 million tons reported in 2020.
GAIL’s Usar plant is scheduled to commence its operations in 2025, boasting a production capacity of 500 KTPA (kilo tons per annum) with integrated propylene production within a polypropylene (PP) plant of equal capacity.
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