Adani Group suspends work on $4 bn coal-to-PVC plant
COAL & MINING

Adani Group suspends work on $4 bn coal-to-PVC plant

According to two sources aware of the event, the Adani Group has temporarily halted construction on its over $4 billion coal-to-polyvinyl chloride (PVC) factory in Mundra, Gujarat.

Moreover, the corporation abandoned its project financing intentions. According to an investment banker familiar of the development, it was in discussions to raise $140000 million from a consortium of seven to eight banks led by the State Bank of India.

The development comes after the conglomerate was accused of fraud by short-seller Hindenburg Research, sparking a sell-off in the company's shares and bonds that erased more than $140 billion off the market value of Gautam Adani's empire.

The coal pyrolysis unit at the coal-to-PVC plant converts coal into calcium carbide, which is then converted into acetylene.

After processing the acetylene gas with hydrochloric acid, vinyl chloride monomer (VCM), which is used to create PVC, is created.

Currently, more than half of India's PVC needs are imported. Agriculture and infrastructure, such as water pipes and sprinkler systems, are where PVC is most commonly used. Oil and other feedstock are mostly imported into India for the production of PVC.

Adani Group had previously stated that it will be able to turn the coal-to-pvc plant into a low carbon-intensive and unique project in this sector thanks to its enormous renewable capacity of 24+ GW.

According to two sources aware of the event, the Adani Group has temporarily halted construction on its over $4 billion coal-to-polyvinyl chloride (PVC) factory in Mundra, Gujarat. Moreover, the corporation abandoned its project financing intentions. According to an investment banker familiar of the development, it was in discussions to raise $140000 million from a consortium of seven to eight banks led by the State Bank of India. The development comes after the conglomerate was accused of fraud by short-seller Hindenburg Research, sparking a sell-off in the company's shares and bonds that erased more than $140 billion off the market value of Gautam Adani's empire. The coal pyrolysis unit at the coal-to-PVC plant converts coal into calcium carbide, which is then converted into acetylene. After processing the acetylene gas with hydrochloric acid, vinyl chloride monomer (VCM), which is used to create PVC, is created. Currently, more than half of India's PVC needs are imported. Agriculture and infrastructure, such as water pipes and sprinkler systems, are where PVC is most commonly used. Oil and other feedstock are mostly imported into India for the production of PVC. Adani Group had previously stated that it will be able to turn the coal-to-pvc plant into a low carbon-intensive and unique project in this sector thanks to its enormous renewable capacity of 24+ GW.

Next Story
Resources

Madhya Pradesh Champions Inclusive Tourism at Heritage Sites

On the occasion of World Heritage Day, Madhya Pradesh is taking a significant step toward inclusive tourism by making its historical sites accessible to all — especially persons with disabilities. The state is rolling out its ‘Accessibility Infrastructure and Development’ project at Maheshwar, Mandu, Dhar, and Orchha, aiming to create a more welcoming experience at these iconic cultural destinations.The initiative, under the leadership of Chief Minister Dr Mohan Yadav and Tourism Minister Shri Dharmendra Bhav Singh Lodhi, includes infrastructure upgrades such as ramps, Braille signage, w..

Next Story
Resources

Runwal Realty Onboards Sonam Kapoor as Brand Ambassador

Real estate major Runwal has unveiled a refreshed identity as Runwal Realty, signalling a renewed commitment to crafting spaces that stand the test of time. With this refresh, the brand unveils its new philosophy: “Building for Generations to Come” and welcomes Bollywood star and global fashion icon Sonam Kapoor as its brand ambassador. This evolved identity reflects Runwal Realty’s commitment to creating not just homes, but heirlooms—crafted through visionary design, meticulous planning, global design expertise and an unwavering focus on quality. With the customer at its core, each de..

Next Story
Infrastructure Urban

Emerging Trends in Infrastructure and Transport 2025: KPMG

KPMG’s latest report, The Great Reset: Emerging Trends in Infrastructure and Transport 2025 edition, sheds light on the profound changes transforming the global infrastructure landscape. As industries adapt to the challenges posed by climate change, economic pressures, and technological advancements, the report identifies key trends and provides actionable insights for leaders in infrastructure and transport sectors. “In today’s interconnected world, the lack of standardized supply chain practices is not just an operational challenge—it’s an environmental and economic one. We’..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?