January 2022 \ Business & Investment \ BUSINESS AND GOVERNANCE
Indian Oil to invest Rs 9,028 crore

NEW DELHI: Indian Oil Corporation will invest Rs 9,028 crore for setting up of a new crude oil pipeline system, with a capacity of 17.5 MMTPA, from Mundra (Gujarat) to Panipat (Haryana). Under this project, Indian Oil would also build nine crude oil tanks of 60,000 KL each at Mundra, which, apart from meeting operational requirements, would also help in enhancing crude oil storage capacity in the country.

“The total estimated cost of the project is Rs 9,028 crore. The Indian Oil Board, at its meeting held on 20th December 2021, has approved the investment proposal,” Indian Oil said in a statement.” “IndianOil is implementing a project for capacity expansion of Panipat refinery from 15 MMTPA to 25 MMTPA along with the installation of Polypropylene Unit and Catalytic Dewaxing Unit with targeted completion in 2nd quarter of FY 2024-25.”

As per the company, the new pipeline system and crude oil tank storage would help in meeting the enhanced need of crude oil requirement due to the expansion of the Panipat refinery. “The crude oil pipeline project is expected to be completed in synchronization with the commissioning of Panipat refinery expansion.” At present, Indian Oil operates a network of more than 15,000 km long crude oil, petroleum product and gas pipelines in the country. It has added 337 km of additional pipeline length during the year 2020-21.

Tags: Indian Oil