Kelington unit to invest RM120mil in India ASU plant


The investment is expected to be funded through a combination of internally generated funds and bank borrowings.

PETALING JAYA: Kelington Group Bhd is investing RM120mil to build a new merchant air separation unit (ASU) plant in Maharashtra, India.

In a filing with Bursa Malaysia, the group said the project will be undertaken by its wholly-owned subsidiary, Ace Gases Technologies Private Ltd, and is aimed at strengthening Ace Gases’ industrial gas liquid production capacities to meet increasing demand in the region.

The investment is expected to be funded through a combination of internally generated funds and bank borrowings.

Kelington said the ASU plant will be developed on a parcel of land leased from the Maharashtra Industrial Development Corp (MIDC), pursuant to an allotment order letter issued by MIDC to Ace Gases on Aug 4, 2026, for a lease tenure of 95 years.

The group said the ASU plant will be an advanced industrial facility designed to separate atmospheric air into its primary constituent gases – namely oxygen, nitrogen and argon – through advanced air separation technologies.

Kelington said these industrial gases are essential inputs for a diverse range of industries, including medical oxygen, electronics, healthcare, metallurgy, chemicals, automotive, pharmaceuticals, food processing, engineering and other manufacturing sectors.

The development works shall commence in August 2026 and are targeted for completion by the third quarter of financial year 2028.

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