Published On:December 9 2014
Story Viewed 2907 Times
Reliance Industries, Russia's SIBUR to tie up for rubber plant in Gujarat.
Reliance Industries (RIL) has join hands with Russia's SIBUR to set up a butyl rubber manufacturing plant in Gujarat. The agreement would be highlighted during Russian President Vladimir Putin's visit to India, said Russian Ambassador to New Delhi Alexander Kadakin.
At present, the Mukesh Ambani-firm has a poly butadiene rubber (PBR) plant in Vadodara that produces about 80,000 tonne per annum. The firm, announced in 2012 that it has joined hands with Russia’s SIBUR to set up a butyl rubber manufacturing plant in Gujarat. SIBUR and RIL entered into a joint venture arrangement in February 2012. Jointly owned company Reliance Sibur Elastomers Private Limited was then set up, in which the Group owns a 25.1% stake. This joint venture was established for the development of a butyl rubber production facility in Jamnagar with a capacity of 120 ktpa. The project is currently at the design and procurement stage and the construction works are expected to be completed by the end of 2016.
'For the petrochemicals sector, bilateral cooperation between Russia and India will be particularly fruitful. India's petrochemical industry is already rapidly developing but there is increased scope for further growth as oil and gas processing companies look at monetising byproducts of oil and gas production. This is exemplified by SIBUR and RIL's construction of a butyl rubber manufacturing plant in Jamnagar, in which model is one of strategic cooperation — RIL’s oil refinery will provide the raw materials for production and SIBUR the technology,' Evgeny Griva, CEO of SIBUR Petrochemical India told FE.