Assam Gas Cracker Project to be completed within 5 years

Shillong, June 4 (UNI) Union Minister for Chemicals&Fertiliser and Steel Ram Vilas Paswan has reiterated the Congress-led UPA government's commitment to implement the Rs 5,460.6 crore Assam Gas Cracker project within five years.

The project, to be set-up at an integrated petrochemical complex at Lepetkata, in Dibrugath will be implemented by a joint venture company, with the Gas Authority of India Limited (GAIL) having a 70-per cent equity participation. The remaining 30 per cent will be shared equally among the Oil Inidia Limited (OIL), Numaligarh Refinery Limited (NRL) and the state government of Assam.

Mr Paswan, who is here on a three-day visit, talked to reporters last evening on the sidelines of ongoing Hindi Salakhar Samiti meeting of ministry of Steel.

He hoped that the proposed project would be implemented within 60 months from the date of approval.

The project is expected to create employment as a result of investments in downstream plastic processing industries and allied ventures.

According to estimates, about 500 plastic processing units are likely to come up in the North Eastern region if this project becomes operational.

Assam government has agreed to grant exemption from entry tax on capital goods, exemption from works contract tax during construction and sales tax / VAT exemptions on feedstock and products for 15 years from the date of commencement of production.

The feedstock for the petrochemical complex is 6.0 MMSCMD gas from Oil India Ltd, Duliajan and 1.35 MMSCMD gas from ONGCL till March 31, 2012, and 1.00 MMSCMD thereafter.

The petrochemical complex shall also utilise 160,000 TPA of petrochemical grade naphtha from Numaligarh Refinery Ltd (NRL).

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