LPG BOTTLING PLANT

PROJECT DESCRIPTION

PRODUCT PROFILE Liquefied Petroleum Gas is a Propane/Butane mixture liquefied under normal ambient temperature and moderate pressures. It is a safe, clean burning, reliable, high calorific value fuel. In addition to its use as a domestic fuel, it is also widely used in industries, where there is a requirement of low sulphur content fuel and fine temperature controls. The Chemical composition of propane is C3H8 and butane, C4H10. Liquefied Petroleum Gas (LPG), popularly known as cooking gas, is a mixture of hydrocarbons which are gaseous at normal temperature, but can be liquefied at moderate pressure, and can be stored in cylinders as a liquid under pressure, and is drawn out and used as gas. Product characteristics Calorific value - 11,900 Kcal/Kg Specified LPG Air ratio -2% to 9% Applications • For industries today, quality, costs, efficiency, environment, heat controllability, among others, are major concerns when it comes to choosing the right fuel. • LPG addresses all these making it the ideal fuel choice for a host of industrial and domestic applications. • LPG is a pure, clean energy source which provides even and controllable heat. This makes it the ideal heat and power source for a wide range of industrial uses. • Since LPG is almost free from sulphur, it can be used in sensitive situations such as chemical processes, etc. • LPG is also used for space and process heating to power industrial ovens, kilns, furnaces, machinery and in food processing units. Global demand The LPG industry is already experiencing a boom with more depots springing up, which will make supply of LPG to the filling plants easier. LPG was introduced as a domestic fuel in the 1960s. The three sources of supplies were refineries, fractionation of associated gas from oil fields and imports. As of early 2000s, about half of domestic LPG production is based on crude oil and the other half comes from natural gas. The imports constitute more than 20% of the supplies. There are efforts to increase import capacity of ports. The demand for LPG has grown from less than 200,000 tons in 1970-71. The average growth rate in demand has been around 12% annually. There are around 40 million LPG customers. Some 15 million have been on the waiting list (only in urban areas). LPG consumption by industry is split as follows: 89% domestic, 1% refinery, 1% transport, 8% industry and 1% agriculture. In the 1990s, LPG demand was estimated at 7.5 to 9.0 million tons (MT) by 2001 to 02 and 10.0 to 12.0 MT by 2006 to 07. Since the applications and demand of LPG is immense therefore the potential of the product is excellent. It is one of the imperative fields to endeavor.
Plant capacity Plant & machinery Working capital Cost of Project T.C.I Return Break even
- - - 0 - 1.00 0.00

PROJECT AT A GLANCE

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PROFITABILITY AND NET CASH ACCRUALS

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ASSSESSEMENT OF WORKING CAPITAL REQUIREMENTS

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PROFITABILITY RATIOS, DSCR, DEBT EQUITY

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BREAK EVEN ANALYSIS

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INTEREST AND REPAYMENT ON TERM LOANS

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Debt Service Coverage Ratio

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DEPRECIATION CHARGES AS PER BOOKS (TOTAL)

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Projected Pay Back Period

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PROJECTED BALANCE SHEET

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REASONS FOR BUYING THE REPORT

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INFORMATION/ DISCLAIMER

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