ByVivek Mehta

PADC, Panipat

Bulk Pack International Conference, Hyderabad8th April, 2010

ContentsContents

Company Profile

IOCL in Petrochemical Business

FIBC Experience & Expectation

Polymer Plants

Technology strengths & Product Attributes

Important Grades & Properties

Technical Support

Company Profile

Indian Oil Indian Oil -- An OverviewAn Overview

18th largest petroleum company in the World18th largest petroleum company in the World

Fortune 500 Global company, ranked at 105Fortune 500 Global company, ranked at 105thth position in 2009position in 2009

Sales turnover in 2008 Sales turnover in 2008 –– 09 : 2,85,337 Cr (US $ 63 09 : 2,85,337 Cr (US $ 63 bnbn))

Diversified, Transnational, Integrated energy companyDiversified, Transnational, Integrated energy company

Marketing

Refinery R & D

Business Development

Owns 10 out of 19 Refineries in India Refining Capacity – 60.20 MMTPA

17,600 RO’s, 5000 LPG Distributors, 101 AFSs, 90 Bottling Plants, 200 Bulk storage terminals & depots

Bio-fuels & Gas Marketing Prod & Mktg : LAB, PTA, Polymers

3 overseas subsidiaries in SL, Mauritius & Dubai

2100 Lube formulations 140 PatentsCountry’s largest network of nearly 10,000 KM.

Pipelines

Indian Oil Indian Oil -- An OverviewAn Overview

IOCL in Petrochemical Business

Indian Oil in PetrochemicalsIndian Oil in Petrochemicals

Linear Alkyl Benzene at Gujarat Refinery

Capacity – 120 KTA LAB, UOP Detal Process

Largest grass root single train capacity in World

Commissioned August 2004

Successfully operating at over 100% capacity

PX/PTA at Panipat

Capacity 553 KTA PTA (Invista T 10 Technology)

/370 KTA PX, UOP Technology

Commissioned in June 2006

Successfully Operating at 100% capacity

Robust logistics network from landlocked location

FIBC End User Experience

FIBC End User ExperienceFIBC End User Experience

End Use : PTA packaging

Product Form : Powder

Package Size : 1050 kg

Handling : Fork Lifts

Movement : Trucks & Rail

Bag Weight : ~3000 gms (with liner)

Dimension : 1050 X 900 X 900 mm

Bag material : PP FIBC

Liner : LDPE/LLDPE

Type : Single Trip (1:5)

Standards : EN 1898:2000 & BIS 14738

FIBC End User ExperienceFIBC End User Experience

Frequently observed problems:Stitching Opened

Breakages of stitching threads

Discoloration of bags

Cuts in fabric

Inner liner off-set

In-consistency in bag & liner size

Battery operated fork lifts

Advantages:Suitable for free flowing Powder

Automation

Economical packaging

Suitable for different mode of

transportation.

Reduced Wastage

FIBC End User ExpectationFIBC End User Expectation

UV Stabilization

Right grade of UV Stabilizer

Optimum dosage

Performance Evaluation

Anti-Fibrillation

Optimum Dosage

Right grade of CaCo3

Performance Evaluation

Handling Practices

Economical

Safe

Pilfer-proof

Polymer Plants & Technology

IOCL Polymer Plants & TechnologyIOCL Polymer Plants & Technology

Sr. No Plant No. of Lines Capacity per Line (KTA) Technology/ Licensor

1 Polypropylene 2 300 Spheripol – Basell

2 Dedicated HDPE 1 300 Hostalen – Basell

3 HDPE / LLDPE Swing 1 350 Sclairtech - Nova

Polypropylene PlantPolypropylene Plant Dedicated HDPE PlantDedicated HDPE Plant Swing PlantSwing Plant

SpheripolSpheripol HostalenHostalen SclairtechSclairtech

With 1.25 Million MT capacity, IOCL will be the second largest PWith 1.25 Million MT capacity, IOCL will be the second largest Polyolefin producer in Indiaolyolefin producer in India

Spheripol Technology : Process CapabilitySpheripol Technology : Process Capability

MFR: 0.3 - > 1600 g/10min

Xylene Insoluble: 90 – 99 (wt)%

Flexural Modulus 500 – 2200 MPa

Izod Impact Strength upto 750 J/m

Low Ash Content / Low Odour

Compliance to FDA

High Yield High Selectivity CatalystHigh Yield High Selectivity Catalyst

Bimodal gradesBimodal grades

Polypropylene

Spheripol Technology Share : 45% (100 lines)

Global PP Capacity ~ 48 MMTA

Global PP Consumption ~ 46.5 MMTA

Site Photo : Spheripol Line of IOCL, Panipat

Hostalen Technology : Process capabilityHostalen Technology : Process capability

Dedicated HDPE

Product Density - 0.94 – 0.965 gm/cc

MFR - 2.2 (I21) to 60.0 (I5) dg/min

Conversion rate up to 99.5 % for Ethylene.

Excellent Quality & Product consistency.

Excellent combination of processability & final

product performance in bimodal grades.

Global HDPE Capacity ~ 33 MMTA

Global Consumption ~ 30.3 MMTA

Product range – HD & HM grades

7 MMTA of HDPE Produced by Hostalen Technology (36 lines)

Site Photo : Hostalen Line of IOCL, Panipat

SclairtechSclairtech Technology : Process CapabilityTechnology : Process Capability

Swing Unit (HD/LLDPE)

Density – 0.905-0.965gm/cc

MFI – 0.3 – 150 gm/10min

High ethylene conversion > 98%

Short residence time in the reactor

Low gel level, lot-to-lot consistency

Capability to produce C4, C8 & terpolymers

Excellent Dart Impact & Sealing Properties

Sclairtech Capacity : 3.5 MMTA (11 lines)

Global PE Capacity – 77 MMTA

Global PE Consumption – 73.1 MMTA

Site Photo : Sclairtech Line of IOCL, Panipat

IOCL Polymer Grade PortfolioIOCL Polymer Grade Portfolio

Polyethylene

• LLDPE – 11 Grades – 0.9 MFI to 50 MFI (Butene & Octene)

• HDPE - 22 Grades – 0.1 MFI to 18 MFI (Unimodal & Bimodal)All PE Grades will meet the requirements of IS : 10146-1982 for food contact applications, IS:10141-1982positive list of constituents & US FDA: CFR Title 21,177.1520

Polypropylene

• Homo Polymer – 14 Grades – 2 MFI to 35 MFI

• Random Copolymers – 5 Grades - 1.8 MFI to 45 MFI (Clarified & GP)

• Impact Copolymers – 8 Grades – 3 MFI to 50 MFI (Medium & Super Impact)All PP Grades will meet the requirements of IS : 10910 for food contact applications, IS:10909 positive listof constituents & US FDA: CFR Title 21,177.1520

Important Grades & Properties

PP PP -- Grades for Woven SacksGrades for Woven Sacks

Raffia grades of IOCL are designed to offers:

Good processability.

Good balance of tenacity & elongation.

Consistency in MI & XS gives excellent thickness control.

Tailored additive package for low water carry over.

Grades are designed to give tenacity >5gpd & % elongation @ break ~20%

Isotactic Index > 95%, with Flexural Modulus >1450 MPa.

Exact replica of Basell’s grades Moplen HP456J (3.4 MI), HP456H (1.8 MI) is also possible.

• MFI : 3 (g/10 min)• Good Processability• Suitable for Woven sacks, FIBC, Fabric, Leno bags

PP PP -- Woven Sacks (Homo Polymers)Woven Sacks (Homo Polymers)

• MFI : 2 (g/10 min)• UV stabilized• Suitable for FIBC, Heavy duty sacks.

• MFI : 25 (g/10 min)• Excellent Flow & Processability• Low Neck-in• Gives stiffer, transparent & Glossy coating.

• Excellent bonding to substrate

PP PP -- Extrusion Coating GradesExtrusion Coating Grades

• MFI : 25 (g/10 min)• Excellent Flow & Processability• Low Neck-in• Gives softer,slightly hazy coating.• Excellent bonding to substrate

• MFI / Density : 0.90 / 0.952• Low Gels• Lot to lot consistency• Good tenacity/Elongation balance• Low die lip built-up• Suitable for woven sacks, tarpaulin & wrapping fabrics

HDPE HDPE –– Raffia GradesRaffia Grades

• MFI / Density : 1.0 / 0.956• Low Gels• Lot to lot consistency• Better Elongation• Low die lip built-up• Suitable for monofilaments & low denier fabrics.

LLDPE Grades for flexible films / linersLLDPE Grades for flexible films / liners

LLDPE Film grades of IOCL are designed to offer :

Excellent processability, low gelsGood mechanicals & sealing properties.Excellent clarity & GlossGood openability & desired COF Consistent dart impactGood performance on FFS machines (SIT, Hot Tack)Lot to lot consistencyHigh slip & no slip versions

IOCL LLDPE grades for Flexible Packaging Segment

Co Monomer Grade MFI (I2) Density, g/cc Applications

010F18S

010F18A

020F18S 2.0 0.918 General purpose fillms. Blending resinButene

020F18A 2.0 0.918 Lamination films. Cast films. Stretch cling

8010F18S 0.9 0.918 Heavy duty liquid pckg, with superior seal

8010F18A 0.9 0.918 Lamination films with superior sealOctene

0.9 0.918 Liquid Packaging, multi-layer films.

0.9 0.918 Lamination films, cling films

HDPE Film grades of IOCL are designed to offer :

Bimodal grades

Excellent processability, Low gels.

Good Mechanical Properties.

Excellent stiffness and good barrier properties.

IOCL HDPE grades for Flexible Packaging Segment

Grade MFI (I5) Density, g/cc Applications

003DF49

002DF50

003F46 0.30 0.946 Co-extrusion films & Liners

0.28 0.949 Carry Bags, Co-extrusion, Dart ~ 12 g/µm

0.22 0.950 Carry Bags, Co-extrusion, Dart ~ 14 g/µm

HD / HM Grades for flexible films / linersHD / HM Grades for flexible films / liners

Technical Support

PADC is being set up at Panipat (Haryana) near

Panipat Naphtha cracker Project (PNCP).

PADCPADC

PLANTPLANT

MARKETINGMARKETING

CUSTOMERSCUSTOMERS

New Grade development

Knowledge Management

Customer Relation

Management

Technical Support to Customers

New Applicationdevelopment

PADCPADC

PADC is an interface between Plant, Marketing & CustomersState of Art Technology Centre with sophisticated Plastic

Processing & Characterisation equipments

Product Applications & Development Centre Product Applications & Development Centre -- PADCPADC

Customer Benefits with IOCL EntryCustomer Benefits with IOCL Entry

• Reduced import dependency for niche PP & PE grades.

• Wider PP product portfolio due to 2 Spheripol lines.

• Plants incorporating latest developments & most sophisticated control systems for superior lot to lot consistency.

• Sizable plant capacities will help in stream-lining supply & pricing fluctuations which are frequently experienced in Indian market.

• Due to better plant capability, fast grade transition – better control over grade basket.

• IT Enablement – E Commerce module – Transparency and ease of transaction

• Business opportunity with company trusted by Indians for over 50 years.

FIBC Industry : Challenges & OpportunitiesFIBC Industry : Challenges & Opportunities

Challenges:

• Move up the value chain ladder in FIBC manufacturing with wider product

portfolio (type A,B,C & D bags)

• Create global economics of scale – Benchmark with Turkey

• Follow JIT approach – Establish offices & Warehouses near demand centers

• Match quality expectations of international customers

• Cost effective alternate handling systems for FIBC

Opportunities:

• Ample & easy availability of raw material locally

• Projected CARG over next 5 years : ~17% (source: ICRA report)

• Agriculture & food processing sectors can open up huge growth opportunity.

• Packaging of food grain/Sugar in FIBC is yet to arrive in India.

Thank youThank you

“Looking forward for a long lasting business relation with you”

Back - Up

FIBC StandardsFIBC Standards

• IS : 14738 (Part – 1) 1999 : Definitions Related to FlBC

• IS : 14738 (Part – 2) 1999 : Specifications, Requirements, Certification and Marking

• IS : 14738 (Part – 3) 1999 : Test Methods – Cyclic Top Lift Test

• IS : 14738 (Part – 4) 1999 : Test Methods – Compression / Stacking Test

• IS : 14738 (Part – 5) 1999 : Test Methods – UV Resistant Test

• IS : 14738 (Part – 6) 1999 : Regulations on Selection and Use of FIBCs

PADC / Tech Service Group : Skills & ExpertisePADC / Tech Service Group : Skills & Expertise

• A team of 24 Graduate/Post graduate Plastics engineers & technologists fromleading educational institutes (PADC, Panipat:10, Field TS:11 & CO:3)

• Relevant industrial experience ranging from 2 yrs to 17 years

• Product development/Technical services experience in India & Abroad withleading petrochemical companies like Reliance, Haldia, LG Polymers, SABIC,Supreme, Unilever

• Skill & Knowledge set with PADC team:

− Product & Application development in Polyolefin− Diversified experience in polymer processing− Technical services & Customer complaint handling− Expertise in grade development & additives recipe optimizations− Testing of Plastics

Indian FIBC IndustryIndian FIBC Industry

• FIBC production in India in 2008 : 92 KT

• Projected CARG over next 5 years : ~17% (source: ICRA report)

• Agriculture & food processing sectors can open up huge growth opportunity

• Packaging of food grain in FIBC is yet to arrive in India

Source : Industry Estimate