IndianOil to extend oil pipeline from Jalandhar to HP, J-K
New Delhi   02-Mar-2012

State-run IndianOil would expand its oil pipeline from Jalandhar to Himachal Pradesh as well as Jammu and Kashmir and would also set up two oil terminals at an estimated cost of over Rs 600 crore.

The expansion of 526-km long Mathura-Panipat-Jalandhar oil pipeline is envisaged to bring efficiency in the movement of petroleum products and saving in transportation cost to both the states, a senior official of IndianOil said here today.

Currently, petroleum items are being transported from company's oil terminal at Ambala to Himachal Pradesh and terminal at Jalandhar to Jammu & Kashmir through road network. IndianOil has proposed to extend oil pipeline from Jalandhar till Amb in Una district of Himachal covering 65-70 km which will involve cost of around Rs 140 crore.

Similarly, 200-km of underground pipeline would be laid between Jalandhar and J&K, entailing an estimated expenditure of Rs 400 crore, he said. It has also been proposed to set up a new oil terminal at Amb and another in Jammu with terminals having throughput capacity of 30,000 kilo litres (KL) and 55,000 KL respectively.

"The land for setting up the terminal in Himachal Pradesh has been identified in Amb and we have been assured by the state government that 50 acres of government land will be handed over to us," he said, while adding that a sum of Rs 30-35 crore, excluding land cost would be spent on setting up the terminal.

IndianOil has also approached J&K government to provide 100 acres of land for shifting its existing terminal from a congested place to a new location in Jammu. The terminals of other oil marketing companies would also be shifted to the identified land, he said. "About Rs 50 crore (excluding land cost) is expected to be spent on setting up the terminal to a new location in Jammu," he said.

The laying of pipeline and setting up of terminal are expected to take at least three years to complete. "The whole project will take at least three years for completion which includes land acquisition, environment clearance etc," he said.