The Chatterjee Group (TCG) is exploring partnerships with Indian state run companies for its oil to chemicals project in Cuddalore, Tamil Nadu. TCG is currently in discussions with Oil and Natural Gas Corporation (ONGC) and its subsidiary, Hindustan Petroleum Corporation Limited (HPCL), to collaborate on the ambitious project, which is estimated to exceed $10 billion in investment.
The project, focused on converting crude oil into chemicals, aims to boost petrochemical production in India, catering to the rising demand for specialty plastics and chemicals essential for manufacturing solar panels and electric vehicles. TCG has proposed that ONGC and HPCL collectively hold a 49 percent stake in the venture, while TCG, operating through Haldia Petrochemicals, would retain a 51 percent stake.
As reported by projectstoday.com, by 2029, the project is expected to achieve a production capacity of 3.5 million tons per annum (tpa) of ethylene and propylene. As India’s demand for chemicals and petrochemicals continues to grow, it is anticipated that the sector will reach USD one trillion by 2040, contributing significantly to global growth in the industry.
