Page 138 - CW E-Magazine (20-8-2024)

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FEEDSTOCK SUPPLY ASSURANCE

Government approves additional investment

in OPaL by ONGC

The Government of India has ap- to produce 1.5-mtpa of polymers and gas from nomination fi elds at a premium
proved ONGC’s proposal for additional 0.5-mtpa of chemicals. With 12% mar- of up to 20% over the Administered
investment totalling Rs.18,365-crore ket share, OPaL has a good presence in Pricing Mechanism (APM) gas price.
in ONGC Petro-additions Ltd. (OPaL) India’s polymer segment. As such, ONGC is allowed a premium
resulting in an increase in ONGC’s of up to a maximum of 20% over the
stake in the latter from 49.36% to The Government’s approval to in- APM price.
95.69%. This signifi cant move paves crease ONGC’s equity stake in OPaL
the way for capital restructuring lead- shall help in rectifying OPaL’s capital The increase in equity and assured
ing to the operational and fi nancial structure with a healthy Debt-Equity gaseous feed supply shall ensure the
sustainability of OPaL. ratio. With this infusion, ONGC’s steady performance of OPaL.
cumulative investment in OPaL will
OPaL, situated at Dahej in Gujarat, stand to Rs. 22,728-crore. The decision also aligns with
is a world-class petrochemical complex ONGC’s strategic vision to become an
having the largest standalone dual-feed The Government approval also integrated global energy major by in-
cracker in South-East Asia. Commis- assures a sustained supply of gaseous creasing its presence across the down-
sioned in 2017, OPaL has a capacity feed to OPaL by ONGC from its new stream and petrochemical value chains.

Vipul Organics develops new organic intermediate

Vipul Organics Ltd., involved in new segment for us,” Mr. Vipul Shah, The product samples of the specialty
the colorants business segment, has CMD, Vipul Organics, said. chemical are already with suppliers
announced the development of a refi ned to the top auto companies and under-
grade of an organic intermediate for “The size and scale of the auto sector going fi nal testing and approval by the
manufacturing a specialty chemical is huge and we are excited that our new auto industry. “The initial response of
to be fi nally used for the automobile product when used to formulate the spe- the industry is heartening and once the
industry in parts such as shock absorbers ciality chemical will signifi cantly add approvals are in place, the company is
and bumper extension. not only to our topline but also our bot- expecting the orders to fl ow in,” the
tom-line in the coming years,” he added. statement added.
According to the company, the pro
duct launch is the result of inhouse R&D QUARTERLY RESULTS
efforts for over a year. “The application
of this specialty chemical will lead to BASF India reports 10% rise in sales
better durability and performance of the
shock absorbers and bumper extensions BASF India Ltd. registered sales of margins. “BASF India has delivered
by adding on a compound that is resis- Rs. 39,669-mn for the fi rst quarter of the best fi nancial performance ever in
tant to wear and impact,” the company fi nancial year 2024-25, as compared this quarter. The company continues to
said in a statement. to Rs. 33,746-mn in the same quarter participate well in the robust growth
of previous year, representing an 18% momentum in India. All business
“Over the last 2 years, we at Vipul year-on-year growth. segments have contributed to strong
Organics have been focusing on mov- results, especially Agricultural Solu-
ing up the value chain in the pigment Profi t before tax (before exceptional tions, Materials and Industrial Solu-
and dyes industry by introducing new items) stood at Rs. 2,829-mn tions Segments,” said Mr. Alexander
value-added products. The develop- (Rs. 1,519-mn), an improvement of 86%. Gerding, Managing Director, BASF
ment of the new organic intermediary The company ascribed the growth India & Head – BASF Group Compa-
by our R&D team opens up a whole to strong volume growth and better nies in India.

138 Chemical Weekly August 20, 2024

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