Adani Petrochemicals Ltd, a subsidiary of Adani Enterprises, has entered the petrochemical industry through a 50:50 joint venture with Thailand’s Indorama Resources Ltd.
The venture, named Valor Petrochemicals Ltd (VPL), will focus on developing a refinery, petrochemical complexes, and chemical plants.
PVC Plant Development in Gujarat
The joint venture’s first project will be the establishment of a two million-ton polyvinyl chloride (PVC) plant in Gujarat, marking a significant step in the growing petrochemical sector.
The plant will be constructed in two phases.
They expect to complete Phase I, which includes a one million-ton PVC plant, by 2026.
They have slated the completion of the second phase, which expands the plant’s capacity, for early 2027.
Expansion Strategy in the Petrochemical Industry
The venture is in line with the Adani Group’s broader strategy to diversify into new industries.
Earlier, Adani Group had announced plans to invest over $4 billion in a large-scale petrochemical complex in Gujarat.
The project, located in Mundra, will eventually become the country’s largest PVC manufacturing facility with an investment of ₹35,000 crore.
Resuming Construction
Although Adani Petrochemicals faced setbacks in 2023 due to allegations raised by US-based Hindenburg Research, which temporarily halted the project, the company has since resumed construction.
Adani remains confident that the project will succeed in the long term, thanks to its robust plans and commitment.
Sustainability and Future Plans
The PVC plant will incorporate sustainable energy solutions, including wind and solar power, to meet its electricity needs.
In addition to the PVC plant, Adani Petrochemicals is working on a petrochemical cluster in Mundra, Gujarat, which will further solidify the company’s presence in India’s expanding petrochemical market.
As reported by manufacturingtodayindia.com, the collaboration with Indorama highlights Adani’s ambition. It aims to strengthen its position and meet the increasing demand for advanced chemical products.
