CPCL lets contract for unit at proposed Cauvery Basin refinery

Chennai Petroleum Corp., a partly owned subsidiary of Indian Oil Corp., has let a contract to McDermott International to provide technology licensing for a polypropylene plant at CPCL’s proposed grassroots Cauvery Basin refinery at Nagapattinam in Tamilnadu, India.

Chennai Petroleum Corp. Ltd. (CPCL), a partly owned subsidiary of Indian Oil Corp. Ltd., has let a contract to McDermott International Inc. to provide technology licensing for a polypropylene plant at CPCL’s proposed grassroots Cauvery Basin refinery at Nagapattinam in Tamilnadu, India.

As part of the contract, McDermott will deliver licensing, basic engineering design, and proprietary catalyst supply for the 475,000-tonne/year polypropylene unit, which will be equipped with proprietary Novolen reactors and proprietary NHP catalyst from McDermott-Chevron Corp. joint venture Chevron Lummus Global LLC (CLG), McDermott said.

The polypropylene plant will have the capability to produce a full range of polypropylene products for the Indian and regional markets, the service provider said.

McDermott, which valued the contract at $1-50 million, did not disclose a timeframe for its work on the project.

This latest contract follows CPCL’s award to CLG to provide technology licensing and basic engineering for the proposed refinery’s new 50,200-b/d delayed coker (OGJ Online, Apr. 3, 2019).

In its latest annual report to investors, CPCL said it has obtained in-principle approval for the proposed 180,740-b/d Cauvery Basin refinery that, if realized, will play an important role in meeting future energy needs of India’s Tamilnadu state.

The operator said preparation of a detailed feasibility report for the refinery undertaken by Engineers India Ltd. was to be completed by the end of March.

According to CPCL, the total project will require an investment of 274.5-274.6 billion rupees (±30%) to complete.

Contact Robert Brelsford at rbrelsford@ogjonline.com.

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