Tamil Nadu to build Rs.60 bn petrochemical mega-complex

June 6th, 2008 - 6:16 pm ICT by IANS  

Chennai, June 6 (IANS) Tamil Nadu Industrial Development Corp Ltd (Tidco) is planning to develop the Cuddalore-Nagapattinam belt as a petroleum, chemical and petrochemical investment region at an investment of Rs.60 billion ($1.4 billion), said a top official. Talking to reporters after signing a gas cooperation agreement with Gas Authority of India Ltd (GAIL) here Friday, Tidco chairman and managing director S. Ramasundaram said the state and central governments would develop the infrastructure while the prospective investors would have to source the required land for the factory.

“The infrastructure development in the region is estimated to require an investment of Rs.60 billion,” he added.

However, the project needs to be cleared by the central government. The first meeting with the ministry of petroleum and natural gas will be held June 11.

Ramasundaram added that Tidco wants to develop a petrochemical plant at Nagapattinam. Chennai Petroleum Corp Ltd (CPCL) has been requested to consider Nagapattinam as an alternative location instead of Ennore to build its greenfield refinery and petrochemical complex, he said.

About the gas cooperation agreement, he said GAIL would conduct preliminary techno economic feasibility study for gas demand potential in industrial, commercial, transport, residential sectors and evaluate medium and long-term gas demand potential of the state.

GAIL will also assess pipeline infrastructure and associated facilities required for supply of natural gas including optical fibre network.

“The agreement between GAIL and Tidco would help in preparation of future roadmap for realising the natural gas potential in Tamil Nadu,” said GAIL chairman and managing director U.D. Choubey.

A working group has been set up under the Chairmanship of Tidco executive director Kumar Jayant.

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