Phillips Carbon Black Considering Greenfield Facility

India’s largest carbon black producer, Phillips Carbon Black Ltd, plans to establish a fourth facility and expand capacity at two existing plants, those at Baroda and Durgapur. Following the company’s recent AGM, company chairman Sanjeev Goenka indicated another facility, or alternatively a further acquisition of capacity, may be necessary now that existing capacity at the three factories in fully utilised. This fourth greenfield plant, should the company choose to take this option, may be located either within India or overseas.

Regardless of this decision, Phillips is investing Rs 2 billion (£23.76 million) to raise capacity and construct off-gas power plants at its Baroda and Durgapur sites, with the money split evenly between the two facilities. The project will boost the company’s total capacity, currently just under 150,000 tonnes, by 100,000 tonnes. The company is also on the verge of a tie-up with a leading international tyre major for export of carbon black on a long-term basis.