Reliance, ADNOC Sign Pact To Explore Development Of Ethylene Dichloride Facility In Ruwais
Reliance Industries Ltd (RIL) has signed a framework agreement with Abu Dhabi National Oil Company (ADNOC) to explore the development of an ethylene dichloride facility in Ruwais.
EDC is a basic building block for the manufacture of polyvinyl chloride (PVC), a polymer product that plays a critical role in the housing and agriculture sectors. The demand for PVC, particularly in the Indian vinyls market, is expected to grow significantly. Under the terms of the agreement, RIL and ADNOC will evaluate the potential creation of a facility that manufactures EDC near ADNOC's integrated refining and petrochemical site at Ruwais in Abu Dhabi and strengthen the companies' existing relationship supporting future collaboration in petrochemicals.
The signing of the agreement was witnessed by Sultan Ahmed Al Jaber, UAE Minister of State and ADNOC Group CEO, and Mukesh D Ambani, RIL Chairman and Managing Director. The agreement was signed by Abdulaziz Alhajri, Executive Director of ADNOC's Downstream Directorate, and Nikhil R Meswani, RIL Executive Director.
ADNOC will supply ethylene to the potential joint venture and provide access to world-class infrastructure at Ruwais, while RIL will deliver operational expertise and entry to the large and growing Indian vinyls market in which it is a key participant.
"This is a significant step towards Reliance's commitment to pursue backward integration and will pave the way for enhancing PVC capacity in India to cater to the fast-growing domestic market," said Meswani.
"This cooperation ideally combines advantaged feedstock and energy from the UAE with Reliance's execution capabilities and the growing Indian market," he said in a statement.
Alhajri said: "The agreement with RIL is a product of our strong relationship spanning over two decades and a testament to ADNOC's continued ability to cultivate smart and mutually beneficial international partnerships."
(ANI)
