The merger of OMPL (ONGC Mangalore Petrochemicals Ltd) with MRPL (Mangalore Refinery and Petrochemicals Ltd) is likely to be completed by February 2022.
Addressing the queries of shareholders at a meeting convened by the Union Ministry of Corporate Affairs on the amalgamation of OMPL and MRPL on Friday, M Venkatesh, Managing Director of MRPL, said that the merger of OMPL with MRPL is expected to be completed by February.
“It is a step-by-step process, and every step has to be taken. The aim is to complete the merger before this closure of this financial year,” he said.
To a query on the merger benefits, he said the merger is expected to give a benefit of at least $0.5 to $1 per GRM (gross refining margin).
When asked about the cost of the acquisition of OMPL, Venkatesh said the cost of acquisition is roughly about ₹1,216 crore.
Regarding the time needed to complete the merger, he said: “We have been directed to complete the merger of MRPL-OMPL on expeditious basis, and the activity is on.” HPCL-MRPL merger activities may start soon after that depending on the majority shareholders -- ONGC and HPCL, he said.
“We are a standalone refinery, and merger with the HPCL will definitely benefit us and that is a focal point. But that depends on how fast the MRPL-OMPL merger will be completed.
"We expect the merger of the refinery (MRPL) and aromatic complex (OMPL) to complete by February. Later on, the much-intended merger of MRPL with the marketing company HPCL can be looked into,” he said.
Rohit Mathur, Joint Secretary in the Ministry of Petroleum and Natural Gas, chaired the meeting.