Mangalore Refinery and Petrochemicals Ltd (MRPL) said it has initiated setting up 500 tpa (tonnes per annum) green hydrogen production unit within the refinery premises.

According to the company’s annual report for 2023-24, the green hydrogen produced from the new unit would be blended with hydrogen produced presently in the refinery for captive use.

Per India’s Green Hydrogen Policy, green hydrogen has been defined as hydrogen produced by way of electrolysis of water using renewable energy and the hydrogen produced from biomass. As part of the National Green Hydrogen Mission, refineries, among others, are identified by the Government for green hydrogen adoption.

At present, hydrogen requirement for hydro-processing units of the MRPL is met by hydrogen produced from steam methane reforming units.

“MRPL intends to produce green hydrogen on continuous basis with renewable energy power using water electrolysis method and the green hydrogen produced would be blended with hydrogen produced presently in the refinery for captive use,” the annual report said.

IBB plant

MRPL, which collaborated with CSIR-National Chemical Laboratory (CSIR-NCL) for developing Iso ButyI Benzene (IBB) process technology, has got patent for this process technology. IBB is an Active Pharmaceutical Intermediate (API) and a key input for pain killers and is also used in perfume industry. MRPL’s patented process not only maximizes the conversion of toluene but also exhibits exceptional selectivity towards the production of isobutyl benzene, a pivotal API.

The annual report said that it is planned to set up a pilot-cum-demo plant of 200 TPA capacity. This product shall be manufactured with the captive feedstock available within MRPL. Mechanical completion of the project is expected to be in the first quarter of 2025-26, it said.

Marketing terminal

MRPL is setting up a marketing terminal at Devangonthi in Bengaluru to cater to requirements of petroleum products, primarily in Karnataka. The terminal would receive finished petroleum products through the existing PMHBL (Petronet MHB Ltd) pipeline from MRPL. This terminal will enable the supply of petroleum products to the retail outlets, customers and aviation stations in the region. “Construction activities are in final stages, and the terminal is expected to be commissioned in second quarter of 2024-25,” the report said.

Opportunities

On opportunities, the annual report said the petrochemical consumption in India, being well below world average, is increasing with urbanization and emergence of a wealthier middle class.

“MRPL’s refining capacity and its complexity is boosting light and middle distillate production through processing of sour and heavy crudes. MRPL is revisiting its business model, asset base and technology options,” it said.

It is aimed at asset utilisation with option to integrate into chemicals, renewable fuels and other emerging areas. MRPL aims petrochemical growth over the medium term. Green fuels are gaining momentum. These drop-in fuels serve to decarbonize transportation. MRPL is planning to incorporate bio-ATF and 2G ethanol technologies in the near term, it said.

Crude basket

MRPL, which meets its crude oil requirement from various national oil companies of exporting countries on term basis and from open market on spot basis, procured 16.76 million tonnes (mt) of crude oil during 2023-24. Of this, 12.35 mt was imported and 4.41 mt was sourced domestically.

The refinery processed new crudes such as Siberian Light from Russia, KGD6 and KGD 98/2 from India during 2023-24.