Air Liquide to Start 1700 TPD ASP at RINL by 1 May
Rashtriya Ispat Nigam Limited announced that the Arbitral Tribunal in its award on 02nd Apr’21 directed Air Liquide India Holding Pvt Ltd to commence
Rashtriya Ispat Nigam Limited announced that the Arbitral Tribunal in its award on 02nd Apr’21 directed Air Liquide India Holding Pvt Ltd to commence commission of the plant no later than 01 May 2021 and RINL shall take over the plant as per the price to be determined by the Tribunal on Book value basis. In response, Air Liquide India Holding Pvt Ltd has sought an interim relief from the Tribunal demanding a progressive payment of INR 85 crore for commencement of commissioning and certain other commercial conditions. RINL has agreed for the relief sought by Air Liquide India Holding Pvt Ltd and requested them to commence commissioning of the Plant by 1 May 2021, as directed by the Arbitral Tribunal.
Rashtriya Ispat Nigam Limited had awarded a contract to Air Liquide India Holding Pvt Ltd for setting up a 2 x 850 TPD oxygen plant on Build, Own, Operate basis with a schedule for completion by January 2013. The plant erection was completed by February 2013, but the trial runs did not start due to contractual dispute between RINL and Air Liquide India on certain terms & conditions. Air Liquide India unilaterally terminated the contract in December 14. As Air Liquide India had reneged on their BOO commitment, RINL invoked Arbitration in October 17.
Out of the total capacity of 1700 Tons Per Day, about 100 Tons of Liquid Oxygen can only be produced Per Day from the ASP BOO Plant, which can be transported through road tankers for catering to the medical requirements.