Hindustan Organic Chemicals to shut plant operations, amid LPG disruptions

Hindustan Organic Chemicals Ltd (HOCL), second largest producer of Phenol and Acetone in India, said its Kochi plant is affected by LPG supply disruption amid the Middle East conflict.

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HOCL, Kochi unit in the state of Kerala (Phenol Complex) is the only manufacturing unit of the company which is engaged in manufacturing of Phenol, Acetone, Hydrogen Peroxide, the company said in a statement.

Government of India has directed that all Public Sector Oil manufacturing companies to ensure that LPG procured or marketed by Public Sector Companies is supplied exclusively to domestic LPG consumers. In view of this, BPCL being the bulk LPG supplier of HOCL informed that a force majeure event has occurred which is affecting BPCL ability to supply bulk LPG as per the prevailing sale agreement, it added.

HOCL has informed to BPCL that in the event of disruption in LPG supply the plant may have to shut down resulting in production loss and incurring plant restart related expenditure.

The buffer stock of LPG available will be fully utilized by today evening. Due to the disruption in the continuous supply of LPG by BPCL, the production load of the Phenol & Cumene plant has been reduced. Furthermore, due to the continuous disruption of LPG supply the HOCL plant is compelled to temporarily shut down operations of PRU unit today  09.03.2026 and all other down the line units by 2 days, the company said.

However, the Hydrogen Peroxide plant will continue to operate as usual, it said.

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