Page 38 - Plastics News August 2021

BUSINESS NEwS

ONGC In Talks With Chevron, Total For Adani To Foray Into

Exploration Projects In India Petrochem Business

au t am
GAd ani 's
ports-to-energy
conglomerate
has floated a
new subsidiary
that will set
up refineries,
petrochemical
complexes and
hydrogen plants. Adani Enterprises
in stock exchange filing said it has
incorporated Adani Petrochemicals Ltd
(APL) as a wholly-owned subsidiary
ccording to a report, Energy also outlined a plan, in March, to expand
Acompanies Chevron and Total are oil and gas production through 2025 to "carry on business of setting up
refineries, petrochemicals complexes,
separately in talks with Oil and Natural without spending significantly more specialty chemicals units, hydrogen
Gas Corporation (ONGC) to engage in and to limit the pace of growth of and related chemical plants and other
upstream projects in India, While foreign its carbon emissions. Chevron has such similar units".The conglomerate
energy companies have not shown much reported a net income of $3.1bn for has operations spanning sea ports
interest in India's energy exploration the second quarter of 2021, compared to airports to electricity generation
sector, American company Chevron's with a loss of $8.27bn in the prior-year and transmission, renewable energy,
senior executives had discussed such quarter.The firm’s improved results mining, natural gas, food processing,
opportunities with ONGC last month, benefitted from growing petroleum defence and infrastructure. And now
the newspapers cited sources as saying. products demand and a surge in oil and it is foraying into petrochemicals and
French company Total has formed a gas prices.The company recorded the other related areas, which will directly
technical committee of key executives growth despite $120m in remediation compete with Ambani's Reliance. In
to explore such opportunities, the charges associated with previously June, Ambani announced a mega Rs
report added. Earlier ONGC signed a divested assets and $115m pension 75,000 crore investment in setting
memorandum of understanding (MoU) settlement costs. Chevron chairman up four 'giga factories' to make solar
in 2019 with Exxon Mobil to receive its and CEO Mike Wirth said that firm’s modules, hydrogen, fuel cells and to
expertise and technology for developing strong second-quarter earnings reflect build a battery grid to store electricity
resources in offshore blocks. It provided improved market conditions, combined over the next three years. The solar
for ONGC and ExxonMobil jointly with transformation benefits and merger modules will enable 100 gigawatts
bidding for exploration assets in India. synergies. Wirth said: “Our free cash flow of solar energy by 2030. Adani, has
Chevron had reported its highest profit was the highest in two years due to solid previously announced plans to become
in six quarters and joined an oil industry operational and financial performance world's largest renewable energy
stampede to reward investors with and lower capital spending.“We will producer by 2030. Adani Enterprises
share buybacks, as rebounding crude oil resume share repurchases in the third in April this year incorporated a
prices carried earnings and cash flow to quarter at an expected rate of $2bn-$3bn wholly-owned arm 'Mundra Petrochem
pre-pandemic levels. The company last per year.”Oil and gas are trading near Ltd' (MPL) with the aim to "set up
year slashed spending to allow profits multi-year highs as fuel consumption has various feedstocks (coal, petcoke,
to flow at above $50 a barrel. Lower thrown off pandemic losses and natural coke, limestone, salts, sand, tar, oil,
costs and higher prices generated the gas has soared on weather demand. LPG, LNG, Ethane, LPG, green fuels
highest cash flow in two years, enabling OPEC's decision to carry production etc) based refinery, petrochemical and
the company to pare debt and resume curbs into next year has kept oil trading chemical plants in a phased manner.
share repurchases. The company had above $70 per barrel.

38 PLASTICS NEWS AUGUST 2021