IndianOil is considering expansion of Panipat refinery by 6 million tonnes (mt). Located in Uttar Pradesh, the refinery currently distils 15 mt of crude oil.

According to sources, the plan which is currently under preparation will also explore the possibilities of expanding petrochemicals capacities at Panipat.

“Panipat refinery may be expanded to 18 mt or 21 mt. Chances are high that the company will zero in on expansion to 21 mt,” a source told Business Line .

According to him, with peripheral facilities in place, expansion by 6 mt may cost IndianOil up to Rs 6,000 crore.

A detailed project report is also under preparation for expansion of Koyali refinery in Gujarat from 13.7 mt to 18 mt. The project has already received preliminary board approval.

Preliminary estimates suggest that the project may cost nearly Rs 5,500 crore.

Among the smaller projects under active consideration are implementation of ‘Indmax’ at Bongaigaon refinery in Assam and setting up a delayed coker unit at Haldia in West Bengal. The projects will cost Rs 2,000-3,000 crore each.

‘Indmax’ is an IOC technology to maximise the production of LPG, branded as ‘Indane’. The project has already received preliminary approval from the board. According to sources a final board approval may be sought as early as in November.

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