Green building projects on anvil
A Business Correspondent
RIL forms JV with NOVA Chemicals
Reliance Industries Ltd has signed a letter of intent with NOVA Chemicals of Canada to form a joint venture in building and construction.
The two companies will collaborate in green building and construction
technologies to design, engineer, fabricate and build a range of high-efficiency
structures for the Indian subcontinent. RIL and NOVA Chemicals will have 51 per
cent and 49 per cent shareholding, respectively, in the joint venture.
The LoI envisages providing turnkey facilities to build structures for RIL as
per its requirements, and for other customers initially within the subcontinent.
"India has a $60 billion construction market that is growing at about 20 per
cent a year. The potential for energy efficient buildings in India is very
exciting and these systems are an excellent fit for Reliance Retail's strategy,"
said Kamal Nanavaty, President, Reliance Industries Ltd.
Chris Pappas, President and COO, NOVA Chemicals, said: "This new venture will
enable us to work with Reliance to build a large, profitable business based on
our proprietary Performance Styrenics building and construction systems,"
These unique building and construction systems and component parts, based on
expandable polystyrene, minimise resource consumption while decreasing ongoing
energy demand by as much as a third. The components of the system include
structural and non-structural roof, decking and wall panels.
The new venture is expected to be operational soon after finalisation of formal
agreements. Initial steps necessary to fabricate components in India are under
way. The first activity of the venture will be the construction of buildings for
Reliance Retail in India.
Reliance Retail Ltd, a subsidiary of Reliance Industries Ltd, opened its first
retail store in November 2006 and today operates over 600 stores in over 59
cities, spanning 13 states with over 3.5 million sq ft. RRL is a multi-format
retailer that operates Reliance Fresh, a neighbourhood store, among several
NOVA Chemicals, headquartered in Calgary, Alberta, Canada, develops and
manufactures chemicals, plastic resins and end-products.
Performance Styrenic Polymers
Arcel advanced foam resin — used as a packaging material for damage-sensitive
goods such as electronics, flat-panel televisions and furniture.
Dylark resin — specified in automotive applications, such as soft instrument
panels, structural consoles and roof-mounted LCD video supports.
Dylite resin — designed for moulding disposable products like drinking cups, and
takeout and ice cream containers.
Expandable Polystyrene — go beyond the traditional foam beverage cup and develop
innovative end-use products, providing convenience, safety and value.
Source: NOVA Chemicals
[May 12-18, 2008]