Mumbai (Maharashtra) [India], Feb 27 (ANI): Oil marketing firm IndianOil Corporation (IOC) is expanding its Panipat refinery's capacity from 15 million metric tonnes per annum (MMTPA) to 25 MMTPA at a cost of Rs 32,946 crore.
The expansion will include installation of a polypropylene unit and a catalytic dewaxing unit. The project is expected to be commissioned by September 2024.
The state-owned company's board of directors has accorded approval for capital investment.
"The capacity expansion will improve operational flexibility of the refinery to meet domestic energy demand and also enhance the petrochemicals intensity," it said in a statement.
"The increased production of petrochemicals and value-added specialty products will not only improve margins but also de-risk conventional fuel business of the company."
The Panipat refinery meets demand of petroleum products in Haryana and northwestern region including Punjab, Jammu and Kashmir, Chandigarh, Uttarakhand, Himachal Pradesh, and parts of Rajasthan, Uttar Pradesh and Delhi.
IndianOil is a diversified integrated energy major with presence in almost all the streams of oil, gas, petrochemicals and alternative energy sources.
It accounts for nearly half of India's petroleum products market share with sales of 78.54 million metric tonnes in 2019-20.