Sanmar group plans to invest
additional $275 million (Rs.1,200 crore) apart from the earlier $275 million in
reviving the main operations and downstream products of the recently acquired
plant, Trust Chemical Industries (TCI) of Egypt. This is a part of the group's
Rs.3,950 crore investment programme.
TCI's plant at Port Said on the Suez
Canal which is a year old will be producing 275,000 tonnes of caustic soda, and
235,000 tonnes of chlorine. The chlorine will be used to produce 400,000 tonnes
of Vinyl Chloride Monomer (VCM), a feedstock for PVC that Chemplast produces.
Chemplast Sanmar is the only listed
company of the group that will also benefit from the acquisition as the VCM will
be brought to Cuddalore, where Chemplast is setting up a Rs.520 crore, 200,000
tonne PVC plant.
The group also intends to put up a
20,000-tonne brownfield steel foundry near its existing foundry at Tiruchi, a 30
tonne polysilicon plant, whose output will be used for producing silicon wafers.
There is also a coal based power project, 48.5 MW that will replace the furnace
oil-based power plant at Mettur.
Also See:
Chemplast to
invest Rs.300 crore in Tamil Nadu (22-Feb-06)