Three large Indian public-sector companies, namely Indian Oil Corporation (IOC), Hindustan Petroleum Corp (HPCL) and Bharat Petroleum (BPCL), plan to jointly set up one of the largest greenfield refineries of the world in India. IOC would be the largest shareholder in the project, with 50%, while HPCL and BPCL would each own 25%.
The groups have signed a joint venture agreement to jointly invest Rs 3,000bn (over US$40bn) in the construction of a 60 Mt/year refinery complex, that would also include petrochemical facilities, by 2022. The new refinery would process a large range of light and heavy crude oil grades, utilising various blending techniques to produce Euro IV and above grade fuels.
The first phase of the project would be a 40 Mt/year refinery with an aromatic complex, naphtha cracker and polymer complex, that would be commissioned 5 to 6 years after land acquisition. The second phase would raise the refining capacity to 60 Mt/year.
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