Page 11 - AsianOil Week 40 2021

AsianOil SOUTH ASIA AsianOil

RIL launches UAE fuel trading subsidiary

PROJECTS & INDIA’S Reliance Industries Ltd (RIL) this week
COMPANIES incorporated a subsidiary in the UAE to focus on
trading crude oil, refined products, petrochemi-
cals and agricultural commodities.
In a regulatory filing, the parent firm said
that it has invested $1mn in 1mn equity shares
in Reliance International Ltd (RINL).
RIL said no regulatory approvals were
required for the deal and the investment could
not be categorised as a “related party transaction”.
The move follows RIL’s announcement in
June that it would invest in a world-scale chemi-
cals complex at TA’ZIZ within the Ruwais Deriv-
atives Park led by Abu Dhabi National Oil Co.
(ADNOC).
The chemicals facility will produce chlor-al- hub and drive economic diversification.
kali, ethylene dichloride and polyvinyl chloride In related news this week, RIL said Saudi Ara-
(PVC), to capitalise “on growing demand for mco chairman Yasir Al-Rumayyan had met all
these critical industrial raw materials and lever- regulatory criteria to be appointed as an inde-
ages the strengths of ADNOC and Reliance as pendent director, with a final decision pending
global industrial and energy leaders.” shareholder approval following a voting process
It will have a capacity of 940,000 tonnes that ends on October 19.
per year of chlor-alkali, 1.1mn tpy of ethylene Al-Rumayyan’s appointment to RIL’s board is
dichloride and 360,000 tpy of PVC. seen as a precursor to progress on Aramco’s pro-
At the time, RIL chairman and managing posed deal to acquire a 20% stake in the Indian
director Mukesh Ambani said: “The project will firm’s downstream business.
manufacture ethylene dichloride, a key building According to reports in August, the all-
block for production of PVC in India. This is a stock deal to buy the participation in RIL’s
significant step in globalising Reliance’s opera- oil-to-chemicals (O2C) division would come
tions, and we are proud to partner with ADNOC in at around $20-25bn, equating to around 1%
in this important project for the region.” of the Saudi firm’s share capital. The agreement
TA’ZIZ is a joint venture (JV) development had been widely expected to cost roughly $15bn,
between ADNOC and holding company ADQ giving Reliance O2C a valuation of $75bn, but
that seeks to drive the development of industrial the latest report suggests the Indian firm’s value
projects within the planned Ruwais downstream would be $100bn-125bn.™

SOUTHEAST ASIA

Tokyo Gas, PTT partner on

Thai LNG supply business

PROJECTS & JAPANESE utility Tokyo Gas has formed a new industrial customers. In addition, the venture
COMPANIES joint venture with state-owned Thai major PTT would supply power from “a combination of
to deliver on-site energy business solutions to installation of combined heat and power [CHP]
customers in the Southeast Asian country. system, solar as well as biomass power and ther-
Tokyo Gas said on October 5 that it had mal generation system”.
entered into a partnership with PTT’s wholly The new company, in which PTT will own
owned Siam Management Holdings (SMH) to 51% and Tokyo Gas will hold the remainder, will
establish PTT & TGES Optec (Optec). It said be established in November with THB60mn
Optec would focus on “improving efficiency ($1.78bn) of capital. Optec will begin operating
technology solutions and fuel supply such as in the first quarter of 2020.
LNG supply to factories, small power producers Optec will also seek to optimise the conver-
and utilities in Thailand”. sion of equipment that runs on liquid petroleum
The Japanese utility said one of Optec’s gas (LGP) and heavy oil to LNG.
fuel supply services would be to truck LNG to The Southeast Asian country’s demand

Week 40 07•October•2021 www. NEWSBASE .com P11