History of Indian Petrochemicals Corporation Ltd.
1969
- The Corporation was incorporated on 22nd March, to manufacture and distribute synthetic organic chemicals, plastics, fibre and fibre intermediates from petroleum feedstock. It is the country first petrochemical complex in the pubic sector. The corporation was converted into a public limited Comp. on 21st March, 1986.
1978
- Low Density Polyethylene Plant was commissioned in May, the product is marketed under the brand name `INDOTHENE' & is available in 16 standard grades. Other products include Linear Low Density Polyethylene [LLDPEs] for caps, closures, etc., and copolymer sheets for blow moulded containrs & automobile bumper compounds.
- Polypropylene Plant was Commissioned in May, for manufacture of Polypropylene under the brand name `Koylene'.
- Polybutadiene Rubber Plant was Commissioned in August, to produce high cis-polybutadiene rubber in 3 grades under brand name `CISAMER', `CIXON' was introduced in 1988-89 to supplement the requirements of rubber, adhesive & solvent industry.
1979
- Acrylic Fibre Plant was Commissioned in March, the acrylic fibre is the only man-made substitute for wool, for making fabrics, upholstery, etc. `Supracry' is another dry spun acrylic fibre developed for shawls, hosiery etc.
1984
- One of Company products, acrylic fibre, was being marketed under the brand name 'CASHMILON'. Consequent upon the expiry of agreement with the collaborators, Asahi Industries Co., Ltd., Japan, the use of this brand name was terminated with effect from 1st February, & the brand name was replaced by `Indacrylon', an original & new brand name for the Corporation.
1986
- This Plasticulture Centre undertakes trials of drip irrigation in addition to development of LLDE grade with antioxidant for extrusion coating, UV stabilised grade for green house application.
- Schemes for debottlenecking of LDPP, linear alkyl benzene, etc., were drawn up in addition to process design work to revamp the benzene unit of olefins plant to recover toluene. Also a new & highly selective catalyst acquired for the isomerization unit in the xylenes plant was commissioned.
- In order to meet a part of capital expenditure for the Maharashtra gas cracker complex, the Corporation issued to the Indian public 4,00,000 - 14% secured redeemable non-convertible bonds of Rs 1,000 each at par. Holders of these bonds would be elibigle to interest income deduction under Section 80L of the Income Tax Act. These bonds would also be exempt from wealth tax without any limit. Another 5,60,342 bonds were allotted to retain oversubcscription & these were retained by the Corporation itself. The bonds are redeemable at par on the expiry of 7 years from the date of allotment i.e. on 18th December.
- The Comp. issued 4,00,000 - 15% secured redeemable non-convertible debentures [1990-93s] of Rs 100 each. These debentures are redeemable at a premium of 5% on the face value between the 5th & 8th years from the date of issue of the bonds i.e. 27.12.1985.
- 60,00,000 - 15% secured redeemable non-convertible debentures [1991-95s] of Rs 100 each were issued on private placement basis with LIC, UTI, GIC & Army Group, Insurance Directorate. The debentures are redeemable at a premium of 5% of face value between the 5th & 9th year, from the date of issue.
1987
- With the acquisition of catalyst manufacturing plant of ACC, the Comp. proposed to produce a variety of catalysts and adsorbents. Some of processes developed were [is] Extraction of benzene & toluene from spent sulfolane [iis] Removal of unsaturates in the petroleum raffinate & [iiis] a bimetallic Catalyst for Catalyst reforming.
- 364 bonds were taken up by employees & the remaining bonds were issued to SBI capital Market under offer for sale.
- The Comp. issued 61,25,000 - 14% secured redeemable non-convertible debentures of Rs 100 each on private placement basis with LIC, UTI & Army Group & Insurance Directorate. These debentures are redeemable at a premium of Rs 5 per debenture between the 5th & 9th year from the date of issue. During the year, the Comp. proposed to set up a subsidiary 'IPCC Videsh Ltd.', to focus on external contracts for training plant operations & project management.
1988
- The acrylic fibre expansion project [with 12,000 TPA capacitys] was commissioned in March. The project would cater to the production of both mono & bicomponent dry spun acrylic fibre. The project envisaging expansion of capacity of orthoxylene unit from 21,000 to 45,400 TPA & paraxylene unit from 17,000 to 48,600 TPA was mechanically completed.
- The research unit developed mono-metallic & bimetallic catalyst for reforming process. In June, the Comp. received Government approval for setting up of carbon fibre pilot plant with associated product application development centre at an estimated cost of Rs 31 crores.
- An agreement was signed with the Department of Biotechnology and Institute Merieux, Lyon, France for setting up a joint venture Comp. for manufacture of viral vaccines at Gurgoan, Haryana. A formal joint venture agreement was signed on 3.6.1991, with General Electric Plastics, Holland, on receipt of Government approval for manufacture of advanced engineering thermoplastic products in the country.
- The Comp. issued 7,77,158 - 13% secured redeemable non-convertible bonds of Rs 1000 each on private placement basis to UTI, LIC & SBI Capital Markets. These are redeemable at par in June 1995.
1989
- Government approval was received to set up an integrated gas based petrochemical complex at Gandhar in the Bharuch district of Gujarat.
1990
- Market development activities related to LLDPE as heat seal layer in multi-layer laminater, PP paint containers with parallel sides, modular furniture & folding chairs from polypropylene copolymer & multi-layer laminates for seeds packaging, were carried out.
- Three new projects, viz., butadiene revamp, polypropylene grass-root & polybutadiene rubber plant expansion with a total investment of Rs 300 crores was undertaken. Also, a feasibility report for a 75,000 TPA polypropylene plant at an estimated cost of Rs 156.85 crores with a foreign exchange component of Rs 53 crores. In addition, another draft feasibility report was made for a 30,000 TPA polybutadiene rubber plant at an estimated cost of Rs 114.5 crores with a foreign exchange component of Rs 32 crores.
- During the year, the Comp. proposed to set up a subsidiary `IPCL Videsh Ltd.' to focus on external contracts for training, plant operations & project management.
1991
- The Nagothane coplex commenced commercial operation of low density polyethylene [September 1991s], ethylene oxide/glycol [November, 1991s], & butane-1 [March, 1992s] plants & produced 38,483 tonnes of major saleable products during the year.
- During the year the Comp. proposed to expand the capacity of ethylene, by setting up a new 75,000 MTA high density plant and by completed second phase of wire & cable compounding plant. These projects & the capital expenditure on renewals and replacements of Nagothane plants will involve investments to the tune of Rs 534 crores.
- Technology transfer agreements for all the three projects was signed & detailed engineering agencies were finalised. Government clearances for all the three projects were received.
- A non-metallic reforming catalyst for producing benzene and toluene, a bi-metallic gasoline reforming catalyst & improved version of molecular sieves for cracked gas were commercialised. A novel process for purification & recovery of sulfolane was developed. A process for production of food grade hexane was developed jointly with Indian Oil Corporation Ltd. and Engineers India limited & commercial plant was being set up by IOC at Gujarat Refinery.
- The joint venture Comp. was incorporated in India. Organisational manning was completed & work on the compounding unit at Baroda has commended. A joint venture Comp. was being set up to handle chemical cargo imported for & exported from the chemicals, petrochemicals & fertilizers plants situated in South Gujarat area by Comp. with the combined efforts of Gujarat area by Comp. with the combined efforts of Gujarat Industrial Investment Corporation Ltd., GSFC, Gujarat Alkalies & Chemicals Ltd., GNFC, Gujarat Maritime Board & foreign partner was expected to be added.
1992
- Government approval was secured for expansion project at Nagothane complex in respect of ethylene production from 3 lakh TPA to 4 lakh TPA.
- The Comp. undertook under phase i chlor-alkali, VCM/PVC plants; jetty & captive power plants & associate utilities. In the second phase the Comp. proposed to undertake gas cracker of 3 lakh TPA of ethylene & 2,70,000 TPA of Polyolefins, Monoethylene glycol & ethylene oxide.
- The Comp. issued 10,50,000 equity shares of Rs 10 each at a premium of Rs 150 per share on firm basis to employees of the Company [only 7,74,390 shares taken ups]. Another 200,00,000 equity shares of Rs 10 each at a premium of Rs 150 per share were offered to the public through prospectus of which 2,20,000 equity shares are reserved for allotment on preferential basis to the persons whose lands were acquired for Gandhar project with a provision to add back the unsubscribed portion, if any, to the public issue of 197,80,000 shares. [1,99,99,949 shares were allotted.s]
1993
- The Comp. issued 250,80,000 - 16% secured redeemable partly convertible debentures of Rs 80 each on rights basis in proportion 1 debenture: 20 equity shares held. 250,26,402 debentures were allotted.
- Part A of Rs 20 of each debenture was converted into 1 equity share of Rs 10 at a premium of Rs 10 per share. 250,26,402 shares allotted on 1st July 1994.
- Part B of Rs 60 was to be redeemed in three equal installments of Rs 20 each at the end of 6th, 7th, 8th year from the date of allotment of debentures.
1994
- The state-of-the-art application development centre at Gurgaon was inaugurated in March, & was operational with processing, testing proto-typing & CAED facilities for provision of technical support to the industry.
- Indian Vaccines Corporation Ltd., has been promoted by the Government of India, PMSU France & the Company.
- Gujarat Chemical Port Terminal Comp. Ltd., is a joint venture & is designed to handle 1.5 million tonnes p.a. of liquid chemicals & would also facilitate import of chemicals from overseas markets.
- During December the Comp. issued 61,26,126 GDRs representing 183,78,378 shares.
1995
- Key sections of new grass-root polypropylene plant of 75000 TPA such as bagging sections, cooling water system etc. were commissioned apart from commissioning of finishing section of polybutadiene rubber plant of 3000 TPA.
- The Corporation undertook to expand the gas cracker & high density polyethylene low density polyethylene plants at the complex.
1996
- Production of polybutadiene rubber was low due to hook-up activities taken up for butadiene expansion project and diversion of propylene from the napha cracker to the new polypropylene plant. The Nagothane complex received a capacity utilisation of 93% as compared to 97% in the previous year due to forced plant shutdown by virtue of non-availability of feed stock.
- The year, the Corporation commissioned 1,50,000 tpa polyvinyl chloride plant based on the state-of-the-art technology licensed from B.F. Goodrich of U.S.A., at Gandhar. The first consignment of Indovin [PVCs] produced by mega complex at Dahej in Bharuch district entered the market & the Comp. became a major supplier in the Indian market.
- The Corporation commissioned the 75,000 TPA polypropylene plant, the 30,000 TPA polybutadiene rubber plant & the butadiene.
- An infrastructure project UT3 Gujarat Chemical Pvt. Terminal Company Ltd., a unique chemical port was being set up at Dahej in the Gulf of Khambhat in Gujarat.
- Another joint venture was entered into with M/s. Vivima Petrochemical Ltd., a part of Vinman Group USA for establishing a joint venture Comp. in the name of 'Indian Petrovin Ltd.' for setting up a plant for manufacture of methylmethacrylate [MMAs]/polymethyl-methacrylate PMMAs] adjacent to the acrylonitrite plant at Gandhar Complex.
- The Comp. also proposed to set up joint venture projects in the fields of oil refinery, power generation, fibre/yarn production & export oriented units.
1997
- The Comp. is setting up a 3 lakh tpa naptha Cracker plant; a downstream unit for Polyethylene, High Rubber Graft facility of 20,000 tpa & a plant for manufacture of Butene & Isobutylene at Vadodara.
- At Nagothane Comp. is increasing the capacity of ethylene to 5.5 lakh metric tonnes per annum by sourcing additional feed-stock from ONGC Usar gas separation complex; 10,000 metric tonnes per annum alpha Olefin & derivatives plant and increasing the capacity of LLDPE Plant from 80,000 to 1,40,000 tpa.
- At Gandhar, Comp. is increasing the ethylene plant capacity from existing 3 lakh to 4 lakh tpa. Comp. is also setting up a 1.5 tpa capacity PVC plant, 1 lakh tpa ABS plant, 1 lakh tpa Acrylonitrile [ACNs] plant & single buoy mooring to facilitate import & export trade.
- IPCL has an existing joint venture Comp. with General Electric International [Beneluxs] BV, Holland, to manufacture engineering plastics under GE Plastics [Indias] Ltd.
- IPCL is privately placing non-convertible debentures worth Rs 450 crore to part-finance its expansion project.
- IPCL had commissioned a 30,000-TPA poly-butadiene rubber plant and a 75,000-TPA poly-propylene plant at its Baroda complex. It had also commissioned a captive jetty at Jageshwar, adjacent to its Gandhar complex in Broach district.
- IPCL has entered into a joint venture with Vinmar Petrochemicals - a part of US-based Vinmar group to set up a methylmethacrylate [MMAs]/-polymethyl-methacrylate [PMMAs] project.
- IPCL will also float a joint venture with Malwa Cotton Mills and GSL India Ltd.
- The Indian Petrochemicals Corporation [IPCLs] signed a memorandum of understanding with the ministry of chemicals and fertilisers where the production target has been fixed 20 per cent over last year production.
1998
- The London-based International Financing Review [IFRs], has selected the 175 million equity linked issue of IPCL as the best equity linked issue for year 1997. IPCL has become the first ever Indian corporate entity to win the prestigious IFR award.
- The Corporation will sign a memorandum of understanding [MoUs] with the foreign Comp. for supply of gas over a period of 10 years.
- The IPCL has also tied up its requirement of propane to the extent of 6,000-7,000 tonnes with suppliers in West Asia. The propane will be used as feedstock in the corporation Nagothane complex.
- IPCL has received mandatory clearance from the ministry of chemicals & fertilisers for a joint venture with Ludhiana-based Malwa Cotton, thereby breaking the deadlock that had arisen due to the non-constitution of Navaratna board.
- IPCL has forged an alliance with the Essar group for sourcing propylene for its Gandhar & Nagothane plants.
- IPCL has bagged the prestigious British Safety Council award for excellent safety performance during 1997.
- Indian Petrochemical Corporation Ltd [IPCLs] has entered into a tie-up with QAP-CO, the state-owned Comp. of Qatar, for sourcing 30,000-40,000 tonnes of ethylene.
1999
- Indian Petrochemicals Corporation Limited [IPCLs] has commissioned 160,000 tpa of high density Polyethylene plant [hdPEs] based on process license from Hoechst AG of Germany on March 26 at Dahej, without any cost or time overrun.
- Petrochemical major Indian Petrochemicals Corporation Limited [IPCLs] join hands with Nirma Limited for marketing of Linear Alkyl Benzene [LABs].
- The Govt. has set up a high-power inter-ministerial committee to oversee the disinvestment of petrochemical major Indian Petrochemicals Corporation Limited [IPCLs].
2000
- The Comp. has won British Safety Council safety award for the year 1999-2000 for recording the lowest number of accidents.
- Indian Petrochemicals Corporation Ltd [IPCLs] has entered into a long term agreement with Oil & Natural Gas Corporation [ONGCs] Ltd for supply of nearly 5,70,000 tonnes per year of feedstock for its 4,00,000 tonne ethylene cracker at Nagothane.
- IPCL has been awarded `excellent performance certificate' by the Ministry of Heavy Industries & Public Enterprises for achieveing competitive targets for year 2000-2001.
- Operations at State-run Indian Petrochemicals Corporation Ltd. plant in Baroda were partly affected after a minor fire broke out near one of its units. A minor fire broke out in an electrical sub-station near the Vinyl Chloride Monomer plant on 20th of November.
2001
- Indian Petrochemical Corporation limited said it will sell its Vadodara plant to Indian oil Corporation by next month.
- Indian Petrochemicals Corporation has signed memorandum of understanding with the Government of India, department of chemicals & petrochemicals for fiscal 2001-02.
- Indian Petrochemical Corporation has registered a 70 per cent increase in export turnover in fiscal 2000-01. The export turnover was Rs 291 crore against Rs 171 crore in the previous fiscal. The combined capacity utilisation of all operating plants of IPCL located at Baroda, Gandhar & Nagothane was over 98 per cent.
2002
-RIL acquired 26% stake & management control in its major rival IPCL which created a monopoly in the domestic market & also a major force in the petro industry.
-IPCL appoints Manjula Subramaniam as part time official director to the board.
-GOI to divest 26% equity in IPCL to the strategic partner by march-02.
-IPCL signs long term wage revision agreement with labour unions in its petrochemical complexes & chalks out wage hike package.
-IPCL redeemed FCCB of US $176m, which is one of highest redemption in US dollars at a stroke for any foreign currency issue by an indian corporate.
- ONGC refuses to supply gas to IPCL as per existing contact after its sell-off.
2003
-CRISIL upgrades IPCL Rs. 1200Cr NCD issued to AA from AA- and Rs.203 cr NCD issue to AA from AA- & fixed deposit programme to FAA+ from FAA.
-Net profit of Comp. increased by 90% due to the cut in interest cost.
-IPCL sacks 167 employees at Vadodara plant.
-Company has registered 18% growth in the production in its first year under Reliance group.
-Company announced one time Voluntary Retirement Scheme to all its employees on medical ground, which cost the company over Rs.150cr.
-IPCL & RIL mandated SBI & ANZ for raising $100m loan through ECB route & succeeded in baging the loan for a term of 5 years.
-Shri Ashok Chawla has ceased to be director representing Government of India on the BoD of Comp. & in his place, Shri G S Sandhu has been appointed as the director representing Government of India. Shri A Parthasarthy Naidu has ceased to be Comp. Secretary.
2004
-Govt. of India disinvests 71,850,056 equity shares of Rs 10 each amounting to 28.945% of total share capital of Comp. through IPO. The shareholding of govt. after sale is 1,24,11,282 shares amounting to 5% of total share capital of Company
-Delists Shares from Vadodara Stock Exchange
-The Government of India on April 5, 2004, has offered 1.24-crore equity shares of Indian Petrochemicals Corporation Ltd [IPCLs] to its employees at a price of Rs 57 per share which is one-third of Rs 170 per share at which the government has offered under its offer for sale to the public.
- Indian Petrochemicals Corporation Ltd [IPCLs] has appointed Anil Ambani as vice-chairman of Comp. with effect from April 27, 2004
2005
- Shri Anil D Ambani has January 03, 2005, addressed a letter to Shri Mukesh D Ambani, Chairman of Company, tendering his resignation as Vice Chairman & Director of Comp. with a request to accept his resignation.
