Tag Archives: Reliance Industries Ltd

Reliance Industries to become India’s largest producer of medical grade liquid oxygen from single location

Newsroom24x7 Network


RIL PRODUCES OVER 11% OF INDIA’S TOTAL PRODUCTION OF MEDICAL GRADE LIQUID OXYGEN – MEETING THE NEEDS OF NEARLY EVERY ONE IN TEN PATIENTS
• RIL RAMPS UP PRODUCTION OF MEDICAL GRADE LIQUID OXYGEN FROM NEAR- ZERO TO 1000 MT PER DAY FREE OF CHARGE
• 1000 MT OF OXYGEN TO MEET THE NEEDS OF OVER 1 LAKH PEOPLE EVERY DAY ON AN AVERAGE
• CHAIRMAN MUKESH AMBANI PERSONALLY SUPERVISING SCALE-UP OF PRODUCTION AND TRANSPORTATION AT JAMNAGAR
• IN APRIL 2021, RELIANCE SUPPLIED OVER 15,000 MT OF MEDICAL GRADE LIQUID OXYGEN FREE OF COST – HELPING NEARLY 15 LAKH PATIENTS
• RELIANCE AIRLIFTED 24 ISO CONTAINERS FOR TRANSPORTING OXYGEN – CREATING AN ADDITIONAL 500 MT OF TRANSPORTATION CAPACITY FOR INDIA.


Mumbai:: As India grapples with an unprecedented new wave of the Covid pandemic, Reliance Industries has risen to the occasion by making an all-out effort to save precious lives.

A critical need of the hour is assured availability of medical grade liquid oxygen for treatment of severely ill patients across the country.

Traditionally, Reliance is not a manufacturer of medical grade liquid oxygen. Yet, starting from Nil before the pandemic, Reliance Industries has now become India’s largest producer of this life-saving resource from a single location.

At its refinery-cum-petrochemical complex in Jamnagar and other facilities, RIL now produces over 1000 MT of medical grade liquid oxygen per day — or over 11% of India’s total production – meeting the needs of nearly every one in ten
patients.

Under the personal supervision of Mukesh Ambani, Chairman and Managing Director, at Jamnagar, Reliance has adopted a two-pronged approach to strengthen the availability of medical oxygen in India.

  1. Refocusing several industrial processes at Reliance’s Jamnagar and other facilities for rapid scale-up in production of medical grade liquid oxygen.
  2. Augmenting loading and transportation capacities to ensure its swift and safe supply to States and Union Territories across India. Enhancing production of Medical Grade Oxygen at Reliance facilities.

  • Prior to this pandemic, Reliance was not a manufacturer of medical grade liquid oxygen. However, RIL engineers quickly reconfigured and optimised current operations – designed for Refining and Petrochemicals grade oxygen – to produce high-purity medical grade oxygen.
  • Medical grade liquid oxygen has to be produced in liquid form at -183°C with almost 99.5% purity, which poses extraordinary challenges and risks in production and maximising tonnage.
  • Reliance engineers worked tirelessly and, through process optimisation and modifications of Cryogenic Air Separation Units, were able maximise production of medical grade liquid oxygen in a very short span of time.
  • Reliance has now been able to ramp up its production of medical grade oxygen from ZERO to 1000 MT per day, constituting more than 11% of the country’s total medical grade liquid oxygen production.
  • This oxygen is being provided free-of-cost to several State Governments across the country to bring immediate relief to over 1 lakh patients on a daily basis.
  • Since the beginning of the pandemic in March 2020, Reliance has supplied over 55,000 MT of medical grade liquid oxygen across the country. Ensuring swift supply of Oxygen across States and Union territories
  • In addition to the production of high-quality medical grade liquid oxygen, the other challenge has been to quickly overcome the transportation bottleneck in supply of liquid oxygen to various parts of the country. This necessitated increasing the loading capacity for its safe and quick transportation.
  • To achieve this, Reliance engineers made smart logistical modifications to rail and road transport, such as laying parallel lines, using hoses, and loading up liquid tankers through pressure differential, since liquid oxygen pumps cannot be installed at short notice.
  • In another innovation, Reliance converted nitrogen tankers into transport trucks for medical grade oxygen, through innovative and safe processes that were approved by the Petroleum and Explosives Safety Organization (PESO), the relevant regulatory body of the Government of India.
  • Reliance organised the airlifting of 24 ISO containers into India from Saudi Arabia, Germany, Belgium, The Netherlands and Thailand adding 500 MT of new transportation capacity for liquid Oxygen. These ISO containers will help in removing the transport constraints for medical grade liquid Oxygen in the country. In addition, Reliance is airfreighting more ISO containers over the next few days.
  • RIL has offered sincere thanks to Aramco, BP and IAF for their immense help in providing and transporting ISO containers to help the country in its battle against Covid.

Commenting on these initiatives, Mukesh Ambani said: “For me and for all of us at Reliance, nothing is more important than saving every life as India battles against a new wave of the COVID-19 pandemic. There is an immediate need to maximise India’s production and transportation capacities for medical grade oxygen. I am proud of our engineers at Jamnagar who have worked tirelessly, with a great sense of patriotic urgency, to meet this new challenge. I am truly humbled by the determination and sense of purpose shown by the bright, young members of the Reliance family who have once again risen to the occasion and delivered when India needs it the most.”

Ms. Nita Ambani, Founder-Chairperson of Reliance Foundation, said: “Our country is going through an unprecedented crisis. We at Reliance Foundation will continue to do everything we can to help. Every life is precious. Our plants at our Jamnagar refinery have been repurposed overnight to produce medical grade liquid oxygen that is being distributed across India. Our thoughts and prayers are with our fellow countrymen and women. Together, we will overcome these difficult times.”

Indian telecoms auction to witness intense bidding

Newsroom24x7 Desk

telecoms auctionThe Indian telecoms auction starting today is likely to see intense bidding by telcos to retain their existing spectrum and to acquire new spectrum as supply is limited, says Fitch Ratings.

Telcos, according to Fitch, are likely to commit at least USD 13bn in the auctions – over 75% of which is likely to be contributed by the top-four telcos. Most telcos’ net debt will rise to fund spectrum payments while competition limits their ability to raise tariffs, particularly with the impending entry of a new competitor, Reliance Jio.

The top-three telcos – Bharti Airtel (Bharti, BBB-/Stable), Vodafone India and Idea Cellular – could commit around USD2.5bn-4.5bn each to renew their expiring spectrum in six, seven and nine Indian “circles” (i.e. regions), respectively. They are also likely to acquire additional spectrum to support fast-growing data services.

Idea is most exposed to the auctions as it needs to retain its expiring spectrum in circles which contribute around 70% of its annual revenue. Such revenue contributes 45% and 35% of annual Indian revenue for Vodafone and Bharti, respectively. Telcos whose 900MHz spectrum is expiring will prefer to retain this bandwidth, as having to switch frequencies could require significant capex and disruption of the already-established network.

Reliance Communications Limited (Rcom, BB-/Stable) will be the least affected of the top four, as Fitch believes it is likely to commit a maximum of USD667m in seven circles, where we expect competition for spectrum will be lower. Rcom’s management expects this cost to be lower.

We expect Bharti’s and Rcom’s ratings to remain unchanged, as their 2015 funds flow from operations (FFO)-adjusted net leverage is likely to remain below 2.5x and 5.0x, respectively, following the auction. Most telcos have already raised equity or monetised assets in anticipation of spectrum auctions. During 2014, Bharti, Idea and Rcom raised about USD2.5bn, USD625m and USD1bn apiece through either equity and/or asset sales. Cash flows will still be manageable, as telcos have the option to pay spectrum cost in phases, with one-quarter upfront and the balance over 10 years.

Reliance Jio (part of Reliance Industries Ltd (BBB-/Stable)) which plans to roll out its services in 2015 with an investment budget of USD12bn, is likely to fill its spectrum gaps in the 1,800MHz band. We feel it will probably focus on data services using “long-term evolution” technology, with its ownership of 1,800MHz spectrum in 14 circles and a pan-India spectrum in 2,300MHz. However, as occasionally seen in the earlier auctions, Reliance Jio could push up the spectrum price in 900MHz for other telcos, if it chooses to do so, as the auction mechanism hides the identities of participants.

Eight operators are likely to bid for a total of 465MHz of spectrum across four bands – 800MHz, 900MHz, 1,800MHz and 2,100MHz – where each band is valid for 20 years. Bidding is likely to be most intense for the 900MHz band, which can be used for both 2G and 3G, as signals can travel further and provide better indoor coverage than higher frequencies. We believe that the 900MHz auction price could rise at least 20% higher than the reserve price.