OREANDA-NEWS. Reliance Sibur Elastomers Private Limited (RSEPL), a joint venture between SIBUR and Reliance Industries Limited (RIL), hosted the official ground-breaking ceremony for the construction of their new butyl rubber plant. 
The ceremony was attended by SIBUR’s CEO, Dmitry Konov, and Executive Director of Reliance Industries, Mr Nikhil Meswani. Other senior members of SIBUR, Reliance, and public officials were also in attendance.

Dmitry Konov said: “We are delighted that our cooperation with Reliance is consistently developing. SIBUR’s unique technology and many years of engineering expertise in butyl rubber production, combined with our partner’s resource capabilities, effective platform and understanding of the market will enable the joint venture to win leading positions in the sector in India and other Asian countries.”


The plant plans to produce 100,000 tonnes of butyl rubber per year. Once commissioned it is expected the plant will become India’s primary manufacturer of butyl rubber and one of the world’s largest suppliers.

RSEPL was established in February 2012 to build a plant for the production of butyl rubber on the Reliance Industries existing industrial site in Jamnagar (India). SIBUR's share in the equity of the joint venture is 25.1%, while Reliance Industries owns 74.9%.

RIL and SIBUR also signed a technology licence agreement facilitating use of SIBUR's butyl rubber production technology at the new facility. The licensing package includes development of a Basic Engineering Package (BEP) and full-time provision of highly-experienced technical personnel on both project and operational stages. RIL will supply monomer and provide the JV with world-class infrastructure and utilities.

In August 2012 SIBUR Petrochemical India, a SIBUR subsidiary based in Mumbai, was established with one of its main tasks to support the construction of the butyl rubber plant. The company will also promote SIBUR in India and South Asian region, exploring petrochemical markets and assisting business units including business development through cooperation with the state authorities.


The BEP at the new plant was completed in November 2012 and detailed engineering is underway. RSEPL is now placing orders for long-lead equipment. Commercial operations are tentatively scheduled to begin in 2015.