By way of its plans to build a petrochemicals complex alongside its existing refinery at Vadinar in India's Gujarat state, Essar Oil Ltd.'s is entering the petrochemicals business. This move will allow Essar to achieve its goal of complete integration in the energy business.

Essar, which is expanding capacity at its 10.5-million-tonne-per-annum (MTPA) refinery to 34 MTPA , will supply the petrochemicals plant with products from the refinery. According to the company, the petrochemicals complex will house the following units: naphtha cracker; ethylene unit; units for the production of styrene, butadiene, ethers, butene-1, and phenol.

The new petrochemical plant will produce various polymers, chemicals, and intermediates, including: ethylene, ethylbenzene/styrene monomer, butadiene extraction, MTBE/ETBE/butene-1, and cumene/phenol.

CB&I, through its Lummus Technology subsidiary, has won more than US$45 million in contracts from Essar for technology licenses and basic engineering related for the new complex. The contracts will give Essar access to the following CB&I technologies: ethylene, ethylbenzene/styrene monomer, butadiene extraction, MTBE/ETBE/butene-1, and cumene/phenol.

According to CB&I, the project's 1.3-million-metric-ton-per-annum mixed feed ethylene unit will serve as the cornerstone of the new complex. The unit will incorporate Lummus' newest SRT VI cracking furnaces and recovery technology. In addition, Lummus is licensing various world-scale downstream petrochemical units for the production of styrene, butadiene, ethers, butene-1, and phenol.