Industry Overview
LPG cylinders are essential pressure vessels used for storing and supplying liquefied petroleum gas for cooking and other domestic, commercial, and industrial applications. The cylinder body is generally formed by deep drawing steel components and welding them together to create a compact, leak-free unit. LPG cylinders are manufactured in various capacities, with design and selection influenced by gross weight, diameter, application, handling requirements, storage arrangements, and filling systems.
An LPG cylinder comprises major components including the body, bung, shroud, foot ring, and valve. Each component must be appropriately designed and manufactured to withstand pressure, facilitate safe handling, protect the valve, and provide stability. Quality and safety requirements include applicable BIS standards, testing, marking, welding specifications, material controls, and regulatory approvals.
The report also covers CNG cylinders used for compressed natural gas applications. CNG cylinders are designed for high-pressure storage and automotive use and may be metallic, metal-composite, or fully composite. The report examines Type 1, Type 2, Type 3, and Type 4 cylinder technologies, their construction, testing, regulatory requirements, applications, and developments in composite-cylinder technology. It further addresses manufacturing processes, quality control, plant layout, plant location, project implementation, suppliers, and project economics.
Cost Estimation
| Particulars | Value |
|---|---|
| Plant Capacity | 500 Nos./Day |
| Land & Building (5000 sq.mt.) | Rs. 4.39 Cr |
| Plant & Machinery | Rs. 17.35 Cr |
| Working Capital for 2 Months | Rs. 10.58 Cr |
| Total Capital Investment | Rs. 33.07 Cr |
| Rate of Return | 82% |
| Break Even Point | 28% |
Content Index
- INTRODUCTION
- FOR LPG CYLINDER
- SIZES OF LPG CYLINDER
- CONSTRUCTION OF LPG CYLINDER
- 1. BODY
- 2. BUNG
- 3. SHROUD
- 4. FOOT RING
- 5. VALVES
- (A) SELF-CLOSING, CLIP-ON VALVE
- (B) HAND WHEEL OPERATED VALVE
- FOR CNG CYLINDER
- TYPE OF CNG CYLINDERS
- TABLE 1: TYPE OF CNG CYLINDERS
- 1. TYPE 1 CYLINDER – ALL METAL.
- 2. TYPE 2 CNG CYLINDERS - HOOP WRAPPED COMPOSITE.
- 3. TYPE 3 CNG CYLINDERS – FULLY WRAPPED COMPOSITE WITH METAL LINERS
- 4. TYPE 4 CNG CYLINDERS - FULLY WRAPPED COMPOSITE WITH NON-METALLIC LINERS
- USES AND APPLICATION
- FOR LPG CYLINDER
- FOR CNG CYLINDER
- B.I.S. SPECIFICATION
- FOR LPG CYLINDER
- FOR CNG CYLINDER
- PROCESS FLOW CHART
- FOR LPG CYLINDER
- FOR CNG CYLINDER
- MANUFACTURING PROCESS
- FOR LPG CYLINDER
- (A) FOR PRESSURE PARTS
- (B) NON-PRESSURE PARTS
- GENERAL
- THE MAIN STEPS ARE GIVEN BELOW
- QUALITY CONTROL
- (A) MATERIAL SPECIFICATIONS:
- (B) WELDING SPECIFICATION
- (C) MANUFACTURING PROCESS SPECIFICATION
- (A) CYLINDER BODY
- (B) VALVE PROTECTION RING-STAY PLATE ASSEMBLY
- (C) FOOTRING
- (D) HEAT TREATMENT
- (E) SURFACE PREPARATION & PAINTING
- (F) TESTING
- (G) SCREEN PRINTING/STENCILING
- (H) STAMPINGS & PUNCHING
- 1. STAMPING ON BUNG:
- 2. STAMPING ON THE STAY PLATES:
- (I) VALVE FIXING
- (J) WEIGHMENT OF CYLINDER
- (K) PACKING
- FOR CNG CYLINDER
- QUALITY CONTROL AND TESTING (PLEASE REFER IS: 15490: 2004)
- 1. MATERIALS
- 2. HEAT TREATMENT
- 3. DESIGN
- A. NECK DESIGN
- B. VALVE FITTINGS
- C. FOOT RINGS
- D. NECK RINGS
- 4. MANUFACTURE
- A. WALL THICKNESS
- B. SURFACE DEFECTS
- C. OUT-OF-ROUNDNESS
- D. MEAN DIAMETER
- E. STRAIGHTNESS
- F. VERTICALLY
- G. STABILITY
- 5. TESTING REQUIREMENTS
- A. TYPE APPROVAL PROCEDURE
- B. BATCH TESTS
- C. TEST ON EVERY CYLINDER
- POSSIBLE TESTS IN A DAY
- 6. CYLINDER MARKING
- 7. BIS CERTIFICATION MARKING
- 8. PREPARATION FOR DESPATCH
- MARKET POSITION
- RECENT DEVELOPMENTS
- PRINCIPLES OF PLANT LAYOUT
- STORAGE LAYOUT:
- EQUIPMENT LAYOUT:
- SAFETY:
- PLANT EXPANSION:
- FLOOR SPACE:
- UTILITIES SERVICING:
- BUILDING:
- MATERIAL-HANDLING EQUIPMENT:
- RAILROADS AND ROADS:
- MAJOR PROVISIONS IN ROAD PLANNING FOR MULTIPURPOSE SERVICE ARE:
- PLANT LOCATION FACTORS
- PRIMARY FACTORS
- 1. RAW-MATERIAL SUPPLY:
- 2. MARKETS:
- 3. POWER AND FUEL SUPPLY:
- 4. WATER SUPPLY:
- 5. CLIMATE:
- SPECIFIC FACTORS
- 6. TRANSPORTATION:
- A. AVAILABILITY OF VARIOUS SERVICES AND PROJECTED RATES
- 7. WASTE DISPOSAL:
- 8. LABOR:
- 9. REGULATORY LAWS:
- 10. TAXES:
- 11. SITE CHARACTERISTICS:
- 12. COMMUNITY FACTORS:
- 13. VULNERABILITY TO WARTIME ATTACK:
- 14. FLOOD AND FIRE CONTROL:
- EXPLANATION OF TERMS USED IN THE PROJECT REPORT
- 1. DEPRECIATION:
- 2. FIXED ASSETS:
- 3. WORKING CAPITAL:
- 4. BREAK-EVEN POINT:
- 5. OTHER FIXED EXPENSES:
- 6. MARGIN MONEY:
- 7. TOTAL LOAD:
- 8. LAND AREA/MAN POWER RATIO:
- PROJECT IMPLEMENTATION SCHEDULES
- INTRODUCTION
- PROJECT HANDLING
- PROJECT SCHEDULING
- PROJECT CONSTRUCTION SCHEDULE
- TIME SCHEDULE
- PLANT LAYOUT
- SUPPLIERS OF LPG & CNG CYLINDER
- SUPPLIERS OF RAW MATERIALS
- SUPPLIERS OF M.S SHEET
- SUPPLIERS OF M.S BILLET
- SUPPLIERS OF LPG & CNG CYLINDER VALVE
- SUPPLIERS OF BUNG
- SUPPLIERS OF SHROUD AND FOOT RING
- SUPPLIERS OF MIG WELDING ELECTRODE
- SUPPLIERS OF ZINC
- SUPPLIERS OF POWDER COATING PAINT
- SUPPLIERS OF PLANT AND MACHINERY
- SUPPLIERS OF SHEARING MACHINE
- SUPPLIERS OF BRASS BILLET CUTTING MACHINE
- SUPPLIERS OF DEEP DRAWING PRESS
- SUPPLIERS OF HARDNESS TESTING MACHINE
- SUPPLIERS OF INDUCTION HEATING FURNACE
- SUPPLIERS OF CNC LATHE MACHINE
- SUPPLIERS OF SPINNING LATHES
- SUPPLIERS OF CIRCLE CUTTING MACHINE
- SUPPLIERS OF POWER PRESS
- SUPPLIERS OF TRIMMING MACHINE
- SUPPLIERS OF MIG WELDING MACHINE
- SUPPLIERS OF HEAT TREATMENT FURNACE
- SUPPLIERS OF SAND BLASTING MACHINE
- SUPPLIERS OF DG SETS
- SUPPLIERS OF EOT CRANES
- SUPPLIERS OF POWER TRANSFORMERS
- SUPPLIERS OF ELECTRICAL PANEL
- SUPPLIERS OF ELECTRIC MOTOR
- SUPPLIERS OF COOLING TOWER
- SUPPLIERS OF EFFLUENT TREATMENT PLANT (ETP PLANT)
- SUPPLIERS OF AIR POLLUTION CONTROL EQUIPMENTS
- SUPPLIERS OF AIR CONDITIONING EQUIPMENTS
- SUPPLIERS OF AIR COMPRESSORS
- SUPPLIERS OF PLATFORM WEIGHING MACHINE
- SUPPLIERS OF MATERIAL HANDLING EQUIPMENTS
- SUPPLIERS OF FIRE FIGHTING EQUIPMENTS
- SUPPLIERS OF SHOT BLASTING MACHINE
- SUPPLIERS OF JIGS AND FIXTURE
- SUPPLIERS OF SUBMERSIBLE WATER PUMP
Appendix
- APPENDIX – A:
- 01. PLANT ECONOMICS
- 02. LAND & BUILDING
- 03. PLANT AND MACHINERY
- 04. OTHER FIXED ASSESTS
- 05. FIXED CAPITAL
- 06. RAW MATERIAL
- 07. SALARY AND WAGES
- 08. UTILITIES AND OVERHEADS
- 09. TOTAL WORKING CAPITAL
- 10. TOTAL CAPITAL INVESTMENT
- 11. COST OF PRODUCTION
- 12. TURN OVER/ANNUM
- 13. BREAK EVEN POINT
- 14. RESOURCES FOR FINANCE
- 15. INSTALMENT PAYABLE IN 5 YEARS
- 16. DEPRECIATION CHART FOR 5 YEARS
- 17. PROFIT ANALYSIS FOR 5 YEARS
- 18. PROJECTED BALANCE SHEET FOR (5 YEARS)
Frequently Asked Questions
The main components of an LPG cylinder are the body, bung, shroud, foot ring, and valve. The body contains the pressurized LPG and forms the primary pressure-retaining structure. The bung provides the connection point for the valve, while the shroud protects the valve and supports safe handling and stacking. The foot ring provides stability and protects the lower portion of the cylinder. Valves control gas filling and withdrawal and may incorporate pressure-relief or flow-control features according to the application and applicable requirements.
LPG cylinders are manufactured through a controlled sequence of forming, welding, finishing, testing, and assembly operations. The report describes deep drawing for pressure-part components, followed by welding to form the cylinder body. Other operations include manufacturing and attaching the bung, shroud, and foot ring, heat treatment, surface preparation and painting, testing, marking, valve fixing, weighment, and packing. Manufacturing specifications, material requirements, welding controls, dimensional checks, and prescribed testing are important because the finished cylinder must safely contain pressurized LPG throughout its intended service life.
LPG cylinder size is determined by the intended application, required product capacity, water capacity, gross weight, physical dimensions, and handling requirements. The report notes that diameter is particularly important because it affects conveyors, pallets, racks, and storage arrangements in filling facilities. Domestic applications generally use smaller cylinders, while commercial and industrial applications may require substantially larger capacities. Cylinder orientation also matters: most cylinders are designed for vertical use, whereas certain applications, such as forklift cylinders, are designed for horizontal operation.
The report identifies four principal CNG cylinder types: Type 1, Type 2, Type 3, and Type 4. Type 1 cylinders are all-metal constructions. Type 2 cylinders use hoop-wrapped composite reinforcement, while Type 3 cylinders are fully wrapped composite cylinders with metal liners. Type 4 cylinders use fully wrapped composite construction with non-metallic liners. These configurations differ primarily in liner material and the extent and function of composite reinforcement, with composite designs intended to reduce cylinder weight while maintaining the strength and safety required for high-pressure automotive gas storage.
Effective quality control covers materials, welding, manufacturing processes, dimensions, heat treatment, surface condition, testing, marking, and final assembly. The report specifically identifies material specifications, welding specifications, manufacturing process specifications, wall thickness, surface defects, dimensional characteristics, stability, testing, cylinder marking, BIS certification marking, valve fixing, weighment, and preparation for dispatch. These controls help ensure that pressure-retaining components meet their design requirements and that each finished cylinder can be identified, inspected, and handled safely throughout manufacturing, distribution, filling, and service.
Plant layout and location directly influence material flow, safety, storage, handling, utilities, transportation, and future expansion. The report considers storage and equipment layout, floor space, utilities servicing, buildings, material-handling equipment, roads, and safety as key layout factors. Location considerations include raw-material supply, markets, power and fuel, water, climate, transportation, waste disposal, labour, regulatory laws, taxes, site characteristics, community factors, and flood and fire control. A coordinated approach can improve operational efficiency while supporting safe manufacturing and practical logistics.
LPG cylinders support domestic, commercial, industrial, outdoor, and selected specialized applications, depending on cylinder capacity and configuration. The report describes uses including cooking, outdoor heating, camping, forklifts, and residential and commercial gas appliances. CNG cylinders are primarily discussed for automotive fuel systems, including applications in auto rickshaws, cars, buses, and delivery vehicles. The report also examines composite CNG cylinders for vehicle applications, emphasizing the potential of lightweight construction while addressing design, testing, regulatory requirements, safety, and service-life considerations.
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