TCG’s project aims to produce 3.5 million tonnes per annum (mtpa) of ethylene and propylene. Credit: noomcpk/Shutterstock.

The Chatterjee Group (TCG), a US-based private equity firm, is seeking a partnership with Indian state-run companies for an oil-to-chemicals project in Cuddalore, Tamil Nadu, reported Bloomberg, citing sources.   

TCG is in discussion with Oil & National Gas Corporation (ONGC) and its subsidiary Hindustan Petroleum Corporation (HPCL).  

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

Related Company Profiles

View all

The proposal suggests the state companies collectively hold a 49% stake in the project – estimated to cost more than $10bn – while TCG, which operates in India through Haldia Petrochemicals, would retain the remaining 51% share. 

A representative from TCG was not available for immediate comment. Haldia Petrochemicals, ONGC and HPCL did not respond to requests for comment.  

The potential investment reflects India’s focus on expanding petrochemical capacities, providing essential materials for a range of products from consumer goods to automotive components.  

As per government estimates,  the demand for chemicals and petrochemicals in India is projected to triple to $1trn by 2040.  

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Oil refiners, including Reliance Industries led by Mukesh Ambani, are shifting their production focus towards petrochemicals over traditional fuels to cater to the increasing demand for specialty plastics and chemicals used in solar panels and electric vehicles. 

TCG’s project aims to produce 3.5mtpa of ethylene and propylene.  

As per Reuters’ April report, Haldia Petrochemicals CEO Navanit Narayan stated that the project is expected to be operational by 2029.  

The project’s financial closure is anticipated by the end of 2024.  

Haldia Petrochemicals currently operates a 1mtpa petrochemical plant in eastern India and is developing the nation’s largest integrated phenol project in West Bengal’s Haldia. 

In other development, ONGC has recently been granted government approval for an additional investment of $2.19bn into its petrochemical unit ONGC Petro Additions.