Alliance with Thailand’s Indorama  (Thailand’) 

Industrialist Gautam Adani: The group led by industrialist Gautam Adani has formed an alliance with Thailand’s  (Thailand’)  Indorama Resources Ltd. to enter the petrochemical business. The group, which is involved in port to energy business, has taken this step with the aim of expanding in the related field. Adani Enterprises said in a notice to the stock market that Adani Petrochemicals Ltd., a subsidiary of the group’s flagship company Adani Enterprises Ltd., has completed the process of forming a joint venture company named Valor Petrochemicals Ltd. (VPL) with Thailand’s Indorama Resources Ltd.

Both companies will have 50-50 percent stake

Adani Petrochemicals and Indorama will have 50-50 percent stake in the joint venture. Adani Petrochemicals has been formed to set up refineries, petrochemical complexes, specialty chemicals units, hydrogen and related chemical plants and other related units in a phased manner. Group chairman Gautam Adani said in 2022 that the group wants to invest more than $4 billion in a petrochemical complex in Gujarat. The company’s first project is a 2 million tonne capacity PVC (polyvinyl chloride) unit. It will be constructed in a phased manner.

The first phase will be completed by 2026

In the first phase, a 1 million tonne capacity PVC plant will be developed by 2026. After that, in the second phase, a unit of the same capacity will be commissioned in early 2027. The construction of the polyvinyl chloride plant was delayed after the release of a report by US investment company Hindenburg Research. The project was halted in March 2023 due to financial concerns but work resumed in July 2023. Adani Petrochemicals is developing a petrochemical complex at Mundra in Gujarat. It also includes a PVC plant. The total cost of construction of the plant is estimated to be around Rs 35,000 crore. It is expected to be the country’s largest PVC manufacturing facility.