India's largest oil company Indian Oil Corp. (IOC) has unveiled plans to invest RUP70,000 crore (US$10.9bn) to step up its oil refining capacity by approximately 44% by 2030, from the current 80.7 Mt/year to 116.55 Mt/year by 2030, to cope with the country's rising energy demand.
The current Indian refining capacity (around 250 Mt/year) exceeds the domestic consumption rate but demand will grow by 3.5-4%/year by 2030. The government believes that the fuel demand will reach 335 Mt/year by 2030 and aims to increase the domestic refining capacity to 415 Mt/year by 2020 and to 439 Mt/year in 2040.
In August 2017, IOC already approved plans to invest Rs 15,034 crore (US$2.35bn) to raise the processing capacity of its 13.7 Mt/year (274,000 bbl/d) Koyali refinery in Gujarat (north-western India) by 4.3 Mt/year (86,000 bbl/d) to 18 Mt/year (360,000 bbl/d) by 2022. The group plans to raise the capacity of its 15 Mt/year Panipat refinery in Haryana to 25 Mt/year and to add 5 Mt/year to its 15 Mt/year Paradip refinery in Odisha, 3 Mt/year to its Barauni refinery in Bihar and 1.2 Mt/year to the 8 Mt/year Mathura refinery in Uttar Pradesh. In addition, IOC is considering adding a 9 Mt/year refinery at its subsidiary Chennai Petroleum (CPCL).