IOC delays Panipat steam cracker start-up

India’s largest state-owned refiner Indian Oil Corp. will delay the start-up of its steam cracker in Panipat by two months to January 2010, citing “normal construction delays” as the reason. The steam cracker complex, which is being built at an estimated cost of Rs144 billion (US$2.94 billion), has an ethylene capacity of 850,000 metric tons per year (mtpy). The steam cracker will run entirely on naphtha feedstock from the Panipat refinery, as well as from IOC’s Mathura refinery in the nearby Uttar Pradesh state and the Koyali refinery in Gujarat state. Downstream polymer associated units that receive feedstock from the steam cracker would also be delayed. Downstream facilities include a “swing” high-density polyethylene (HDPE) unit capable of switching between linear low-density polyethylene and HDPE. The swing unit’s capacity will be 350,000 mtpy. (January 18, 2009)