Goyal MG Gases Pvt. Ltd (GMGL) has announced the signing of a multi-million dollar contract with SBQ Steels, to provide an air separation unit (ASU) at the company’s production site in India.
A part of the well-diversified RKKR business group of Chennai, SBQ Steels is building a $250m special steels plant at Krishnapatnam, Andhra Pradesh.
GMGL meanwhile, is one of the largest players and a leading industrial gases company of Indian origin. The company has announced to gasworld that it has successfully secured the contract with SBQ Steels, which will see it provide an on-site plant with a capacity of 100 tons per day (tpd).
The plant is being built at an estimated investment of around $12m on a Build Own & Operate (BOO) basis by GMGL, scheduled to be commissioned in the next 18 months and supplying oxygen, nitrogen and argon to the customer over the next 15 years.
For GMGL, which has a long and successful track record in building cryogenic ASU plants on a BOO basis in India, the contract has come at a time when recession is hitting industry hard – both in India and the wider world.
As a result of its tie-ups with big manufacturers, GMGL is in a position to offer plants of up to 2000 tpd capacity and beyond with a single cold box on BOO.
The company is a diversified industrial gases group and offers on-site plants, as well as supplying a full range of industrial & specialty gases to a diversified industrial segment in India, through it’s large fleet of cryogenic tankers and onsite storage facilities.
So far 2009 has been a good year for GMGL and despite also being the market leader for the sale of compressed hydrogen gas in India, the company is looking to secure tie-ups in the helium and specialty gases field, due o customer demand and expected future growth in the local market.