IndianOil to increase Koyali refinery capacity
Vadodara   20-Jan-2011

The IndianOil (IOCL) is all set to turn its Koyali refinery near Vadodara into a major refining hub by making it a virtual coastal refinery, IOCL Chairman Brij Mohan Bansal told The Indian Express on Wednesday.

He said the annual refining capacity of the existing unit would be upped to 18 million metric tonnes. He further said the operations in Gujarat, housing one of the IOCL's most important installations, will see major growth in the coming years. “We are now planning to take the refining capacity up to 18 MMTPA. However it would be done in a phased manner. It would certainly take some time to achieve the target of 18 MMTPA,” Bansal said.

The original capacity of the Gujarat Refinery, which was set up with the Soviet assistance at a cost of Rs 26 crore in 1965, was 13.5 MMTPA. But four expansion plans implemented from 1967 to date have increased the capacity up to 13.7 MMTPA.

“The capacity of Paradip refinery, which we are trying to start within the deadline of 2012, would be 15 MMTPA. The Panipat refinery would also see the capacity increase in the coming days,” Bansal said, adding that there are plans to come up with capacity increase at its Mathura installation as well. “But it would be subject to the permission from the authorities concerned,” he said.

On plans to make international forays, the IOCL chief said this has been put on the back-burner as the Navratna company is facing financial constraints. “We do have some foreign destinations in mind but we are facing financial constraints at present. We would have projected investments of over Rs 50,000 crore in new and additional refining capacity, enhanced pipeline network and that would result in sort of financial constraints for international forays. Once we are certain about the future roadmap, we would like to venture into Malaysia, Indonesia and Bangladesh,” said Bansal, who was in Vadodara to inaugurate the inter-divisional cricket tournament.

On the fire at the Lube Blending Plant in Navi Mumbai, he said it was purely an accidental fire.