Page 68 - Plastics News September 2018

BUSINESS NEWS

Tamilnadu PCPIR could be a non- Exide to invest Rs 1,100 crore

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he proposed Petroleum, Chemicals and Petrochemicals xide Industries will step up
TInvestment Region (PCPIR) spread over 23,000 hectares Einvestment in 2018-19 as it
across 45 villages in Cuddalore and Nagapattinam districts, looks to add capacity in Bengal
which was expected to attract a total investment of Rs and foray into lithium ion
92,160 crore, could be a non-starter as the potential battery next year.The battery
anchor company of the project is undergoing liquidation major plans to invest Rs 1,100
SURFHVV RIÀFLDO VRXUFHV VDLG DFFRUGLQJ WR UHSRUW LQ WKH crore this fiscal against a
capital expenditure of Rs 750
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the project as having been shelved, they point out that it crore in 2017-18. The bulk of
the new investment will go
into Haldia where the company has acquired 20 acres
of land from Calcutta Port Trust and another 20 acres
from Haldia Development Authority."One is for organic
expansion of our existing capacity and on the other
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have two recycling plants in Bangalore and Pune,"
said Exide Industries managing director and CEO G.
Chatterjee on the sidelines of the company's annual
general meeting "A recycling plant there (Haldia) can
cater to both Shyamnagar and Haldia units. Bulk of
our new investment is in Haldia," he added.Lead and
could be a non-starter as the `4,700 crore Nagarjuna Oil lead alloys constitute 70 per cent of the total material
5HÀQHU\ 3URMHFW DW &XGGDORUH KDV HQWHUHG WKH OLTXLGDWLRQ consumption in battery manufacturing by value and
process under Insolvency and Bankruptcy Code (IBC). the company imports around 30 per cent of its lead
Nagarjuna Oil, backed by Nagarjuna group, Tatas and requirement. Additional recycling capacity could boost
7UDÀJXUD D 6LQJDSRUHDQ PXOWLQDWLRQDO FRPPRGLW\ WUDGLQJ the use of recycled lead.Chatterjee said the company
SODQQHG WR VHW XS VL[ WRQQHV SHU DQQXP RLO UHÀQHU\ DW hopes to start supply of lithium ion batteries from the
Cuddalore. The project was later considered an anchor second quarter of 2019.
client for PCPIR by the State government. The Centre too ([LGH KDV VLJQHG D SDFW ZLWK 6ZLVV ÀUP /HFODQFKp 6$
accepted this and declared Cuddalore zone as PCPIR region to form a joint venture to build lithium ion batteries
in 2012. Two fresh bids have been submitted after the and provide storage systems for electric vehicles and
insolvency process for Nagarjuna Oil Corporation (NOCL) grid-based applications. As part of the joint venture
UDQ LQWR FRQWURYHUV\ 7KH ÀUP·V FRPPLWWHH RI FUHGLWRUV agreement, Leclanche will provide access to its know-
(CoC) was recommending liquidation, but the Chennai how and intellectual property for lithium ion cells,
Bench of the National Company Law Tribunal (NCLT) asked modules and battery management systems and Exide
the lenders to examine resolution. Sources close to the will leverage its sales network and brand.
UHVROXWLRQ VDLG ´7KH KLJKHVW ELG LV 5V ELOOLRQ EXW WKH The joint venture's manufacturing unit will be based in
upfront payment is less. The remaining payment is over
Gujarat where the company has picked up the assets of
D VSDQ RI \HDUV ZKLFK LV ZK\ ZH DUH QRW LQWHUHVWHG µ Tudor India after the settlement of a trademark dispute
The CoC had earlier rejected bids from Bharat Petroleum, ZLWK $PHULFDQ ÀUP ([LGH 7HFKQRORJLHV &KDWWHUMHH
Haldia Petrochemicals of Kolkata’s The Chatterjee Group however, said that even as the company had forayed
and GP Global, citing the bids were below the liquidation into lithium ion battery, there was no "immediate
value of Rs 14.5 billion. threat" to its core product -lead acid batteries.

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