BASF and Adani Partner for Possible Investment in India
LUDWIGSHAFEN, Germany/AHMEDABAD, India – BASF SE, Ludwigshafen, Germany, and Adani Group have signed a memorandum of understanding (MoU) to evaluate a major joint investment in the acrylics value chain. This would be BASF’s largest investment in India to date. The designated site would be located at Mundra port in Gujarat, India. A feasibility study will be completed by the end of 2019.
According to the MoU, BASF and Adani want to establish a joint venture, with an investment totaling about €2 billion, in which BASF will hold the majority. The potential investment comprises the development, construction and operation of production plants including propane dehydrogenation (PDH), oxo C4 complex (butanols and 2-ethylhexanol), glacial acrylic acid (GAA), butyl acrylate (BA) and potentially other downstream products. The products are predominantly for the Indian market to serve a wide range of local industries, including construction, automotive and coatings, whose growing demand is currently supplied via imports.