Pre-Feasibility Report Vinati Organics Limited, Plot No
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Pre-Feasibility Report Vinati Organics limited, Plot No. A-20, D-30/2, MIDC Lote Parshuram Pre-feasibility report for Expansion of Synthetic Organic Chemical Manufacturing Unit By M/s. Vinati Organics Limited PROJECT TERMED UNDER SCHEDULE 5 (f) (SYNTHETIC ORGANIC CHEMICALS) CATEGORY - B Prepared By M/s Vinati Organics Ltd Plot No. A 20 & D 30/2, Lote MIDC, Lote Parshuram Dist: Ratnagiri – 415722 Maharashtra, India Web: www.vinatiorganics.com 1 Pre-Feasibility Report Vinati Organics limited, Plot No. A-20, D-30/2, MIDC Lote Parshuram Chapter 1 Executive Summary Company Profile Vinati Organics Limited was established in 1989 and is a specialty chemical company producing aromatics, monomers, polymers and other specialty products. The company started operations in its first plant in Mahad in 1992, with its focus on Isobutyl Benzene (IBB). A decade later, in 2002, it started commercial production in its second plant in Lote, producing 2-Acrylamido-2-methyl propane Sulphonic acid. Vinati Organics Limited (VOL) has enhanced the scope of its facilities and now also produces organic intermediates and aromatics. IBB, a specialty organic intermediary, is used as a raw material for the manufacture of Ibuprofen, an anti-inflammatory analgesic bulk drug. 2-Acrylamido-2-methylpropane Sulphonic acid, a specialty monomer finds several applications in oil-field recovery, water treatment, acrylic fibre manufacturing, adhesives, personal care products, medical hydrogel, mining industry, coatings and as dispersing and flocculating agents. Vinati Organics Limited is the world’s largest manufacturer of both 2-acrylamido-2- methylpropane Sulphonic acid and IBB. Company also started producing Isobutylene (IB), one of the key components used to manufacture 2-Acrylamido-2-methyl propane sulphonic acid. Apart from being used internally, IB is also sold to agrochemical and antioxidant industry. Vinati Organics Limited (VOL) has always strived for excellence through adopting the best and clean route for manufacturing chemicals. VOL has R & D facilities at both of its plant locations which deal with synthesizing new molecules and optimizing the process promoters. VOL has always emphasized on developing green and cost effective manufacturing techniques for specialty chemicals which have the potential of developing into large scale products in the future. VOL has collaborations with global technology providers like Institut Francais du Petrole (IFP) France, Saipem SpA, Italy, etc. VOL has been closely associated with National Chemical Laboratories (NCL), Indian Institute of Technology, Hyderabad (IICT) for developing cutting edge technologies for commercially manufacturing specialty chemicals. VOL has successfully demonstrated technology absorption from these research organizations in the past. 1 Pre-Feasibility Report Vinati Organics limited, Plot No. A-20, D-30/2, MIDC Lote Parshuram Vinati Organics limited now proposes to expand by adding manufacturing unit of synthetic organic chemical (Butyl phenols, Para Tertiary Butyl Benzaldehyde and Lili aldehyde) at its existing facility at plot no-A 20 & D 30/2, Lote- Parshuram MIDC, Dist Ratnagiri. The company got EC for expansion at this site vide letter SEAC – 2015/CR-236/TC-2 dated 28th June 2016 for expansion at the site. With this PFR, the company wish to delete “Tertiary Butanol” product and wish to include “Butyl phenols, Para Tertiary Butyl Benzaldehyde and Lili aldehyde” products. The google image of the plot site is at Annexure – I Proposed Layout Plan for new establishment is attached as Annexure–II. Prior Environmental Clearance is mandated by Ministry of Environment and Forests, as vide EIA Notification SO 1533, dated September 14, 2006 and its amendments for Synthetic Organic chemicals manufacturing units. This project falls under category ‘B’ and schedule item no. 5(f): Synthetic organic chemicals. The project brief is summarized in the table below Project summary at a glance Sr. No. Particulars Details 1 Name of Company Vinati Organics Limited 2 Products Butyl phenols, Para Tertiary Butyl Benzaldehyde, Lili- Aldehyde and its by products 3 Location Plot no A20 & D30/2, Lote MIDC area, Dist Ratnagiri, Pin 415722 Maharashtra. 4 Name of the project 1) Manufacture of Butyl phenols (39,000MTPA), PTBBAL(2,000MTPA), Lili Aldehyde (2,000MTPA) and its by products 5 Total land area of the 96,570 sq m (~23.86 Acres) plot 6 Total proposed built up 81,797 sq m area 7 Major raw material Refer chapter 3 8 Water Total fresh water requirement shall be approximately 27 CMD. It will be source from MIDC. 2 Pre-Feasibility Report Vinati Organics limited, Plot No. A-20, D-30/2, MIDC Lote Parshuram 9 Power Total power requirement is 250 KVA. It will be sourced from MSEDCL Or Cogen Plant as per availability. Proposed additional Coal consumption: 30 TPD 10 Proposed manpower 120 No (permanent 45 & Contract 75) 11 Waste water quantity Trade effluent 18 cmd (estimate) Domestic effluent 7 cmd Total effluent generation 25 cmd Trade effluent and domestic sewage will be treated and recycled. 12 Air emissions The air emissions will be from Thermic fluid heater. Adequate stack height as per statutory norms will be provided to TFH sets. 13 Solid Waste Refer chapter 3 14 Project cost estimate ~ 179 Crores The Land shall be used as “Industrial” land thus there shall be no change in land use. This industrial plot A 20 & D 30/2 is allotted by MIDC to Vinati Organics limited and existing unit is operational at site. MIDC has provided all basic infrastructures like Electrical Power, water supply, the internal road network, external approach road and networking with CHWSTDF (Common Hazardous Waste Storage Treatment and Disposal Facility). There is no sensitive establishment in the vicinity such as health resort, hospital, archaeological monuments, sanctuaries, etc. The land and infrastructure is made available by MIDC and the raw material is easily available through the easy transport via road connectivity by local suppliers as well as imported one. 3 Pre-Feasibility Report Vinati Organics limited, Plot No. A-20, D-30/2, MIDC Lote Parshuram Chapter 2 Introduction of the Project 2.1 Identification of the project and Project Proponent This is a new project for the manufacturer of Synthetic organic chemical (Butyl phenols) by well- known business group “Vinati Organics Limited” (VOL). Some of the recent achievements of VOL are: Listed consecutively in Forbes Asia’s 200 Best Under A Billion companies for 2010 and 2011 Ranked amongst Top 10 Fastest Growing Companies in India for 2009 & 2010 by The Economic Times. Ranked among the Top 30 Fastest Growing Companies by Outlook Business in 2013 In recognition of exemplary growth VOL was awarded Inc 500 Certificate of Excellence in 2012 & 2011 by 99 Media VOL was accorded SILVER by EcoVadis towards Corporate Social Responsibility Rating Vinati Organics limited are the major manufacturer of variety of specialty chemicals, pharmaceutical intermediates and chemicals / additives with expertise in the field of synthetic organic chemicals. 2.2 Need of project with description for region and country Butyl Phenols are intermediates which find applications as raw materials for products that go into a wide variety of industries such as perfumery, inks & resins, plastics and lubricants. Butyl phenols are not directly used for these applications, but act as building blocks for making useful products. VOL is planning to manufacture the following for butyl phenols: a. Para-Tertiary Butyl Phenol (PTBP) b. Ortho-Tertiary Butyl Phenol (OTBP) c. 2,4-Di Tertiary Butyl Phenol (2,4-DTBP) d. 2,6-Di Tertiary Butyl Phenol (2,6-DTBP) Almost all quantity of butyl phenols used in India is imported. Around 35-40% of the total quantity finds application in the perfumery industry. Around 15% is used for plastic additives and the remaining butyl phenols are used for inks/resins and lubricants. 4 Pre-Feasibility Report Vinati Organics limited, Plot No. A-20, D-30/2, MIDC Lote Parshuram Indian Butyl Phenols Scenario India is a net importer of butyl phenols. By volume, PTBP is the largest product amongst the four butyl phenols. It is mostly imported from Korea, Taiwan, Singapore and Russia. There are majorly 2 grades of PTBP imported into India– Technical grade used for perfumery application and Standard grade that is used in resin/ink application. OTBP come second by volume amongst these four butyl phenols. It goes entirely into manufacturing of perfumery products. All leading Indian perfumes manufacturing companies are users of OTBP. This product is imported from Switzerland and Taiwan. The use of 2,4-DTBP and 2,6-DTBP is currently smaller by volume. These two products are used for manufacturing antioxidants which are used as additives for plastics. With increasing use of plastics and composites in India, the use of these butyl phenol based antioxidants is expected to grow rapidly. 2,4-DTBP and 2,6-DTBP are imported into India from Switzerland, Taiwan, Singapore and China. The total demand of these butyl phenols in India is currently 20,500 MTPA. In India, currently, there are no manufacturers for butyl phenols. Previously, companies like Herdillia (Now SI Group), Balmer Lawrie, Naik Naware Chemical Pvt Ltd tried to manufacture these products. However, due to lack of scale, IB supply constraint, they couldn’t manufacture products economically. Butyl Phenol import trend in India is as follows: Butyl Phenol India imports 25000 20581 19706 19903 20000 18729 15000 12932 10000 Quantity MT 6400 5000 0 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 Q1 5 Pre-Feasibility Report Vinati Organics limited, Plot No. A-20, D-30/2, MIDC Lote Parshuram In FY 2014-15 and FY 2015-16, India spent around $ 45 million and $ 35 million respectively for importing the butyl phenols. VOL will help save so much foreign exchange in case the plant is operational. In addition to this, because of the availability of raw materials like 2,4-DTBP and 2,6-DTBP, there will be an increased manufacturing of antioxidants and UV stabilizers in India.