Lummus Tech, TCG Digital form JV offering digital solutions to energy firms

While the joint venture will explore the market in India where it expects substantial growth, it will also start its operations in the US, Middle-East, and Europe immediately

Lummus Technology and TCG Digital announced on Wednesday that they have entered into a strategic joint venture to form Lummus Digital. 

The joint venture will work with refining, petrochemical, and gas processing operators to provide big data, advanced analytics, artificial intelligence, process simulations and proprietary know-how. While it will explore the market in India where it expects substantial growth, it will also start its operations in the US, Middle-East, and Europe immediately. 

Commenting, Purnendu Chatterjee, founder chairman of The Chatterjee Group, said, “Our focus on innovation continues with this joint venture.” 

“We strive to deliver sustainable value to our esteemed clients with modern technology and deep process innovation, giving them the edge with digitalisation in these difficult times. This joint venture will co-create and innovate with other areas of the group like TCG Crest, our research university, LabVantage and Haldia Petrochemicals,” he added.

The stage for the joint venture between TCG Digital and Lummus Technology was set by the acquisition of US-based Lummus Technology earlier this year. Towards the end of June 2020, Haldia Petrochemicals Limited (HPL), a part of The Chatterjee Group (TCG), and Rhone Capital acquired Lummus Technology, at an enterprise value of $2.725 billion from McDermott International. The divestment of Lummus was part of McDermott’s restructuring process.

Lummus is a leading master licensor of proprietary gas processing, refining, petrochemical, and gasification technologies as well as a supplier of catalysts, equipment, and related services. 

On Lummus Digital, Debdas Sen, chief executive officer of TCG Digital, said, “We serve the biggest downstream petroleum and petrochemical companies, helping them derive maximum value from their assets and investments through cutting edge digitalization and AI. Lummus Digital will leverage the tcg mcube data platform to drive operational excellence, improve plant safety, enhance reliability, and increase margins.”

Leon de Bruyn, president and chief executive officer of Lummus Technology, added that Lummus Digital will leverage the strengths and capabilities of both companies to digitalise customers’ operations and assets.