IOC to commission Rs 27-bn pipeline to move products from Paradip refinery

Indian Oil Corporation (IOC) is aiming to commission its 1,212-km dedicated product pipeline along with optical fibre cable for evacuation of white oil products from Paradip refinery to depots in Odisha by December 2019.

The total cost of the complete pipeline system along with associated facilities of the proposed project is pegged at Rs 27.89 billion.

The products to be evacuated are motor spirits, high-speed diesel, kerosene and aviation turbine fuel (ATF).

The proposed Paradip-Hyderabad Pipeline Project with capacity of 4.5 million tonnes per annum (mtpa) provides connectivity to a new grassroots depot at Berhampur in Odisha, and also to Indian Oil’s existing depots at Vizag, Rajahmundry and Vijayawada in Andhra Pradesh and Hyderabad in Telangana, along with associated facilities at Paradip refinery and at Rajahmundry and Vijayawada depots.

The length of the proposed pipeline is about 329 km in Odisha, 723 km in Andhra Pradesh and 160 km in Telangana. The proposed Paradip-Hyderabad Pipeline project was identified in the National Perspective Plan under the Sagarmala Programme by Prime Minister Narendra Modi.

“We have received all the approvals for the project. The production of pipe manufacturing is in process and the work orders for laying the pipeline will issue soon,” said P C Choubey, executive director, South Eastern Region Pipelines, Bhubaneswar.

“This pipeline would give Indian Oil impetus in further strengthening the pipeline network in south eastern India and ease of movement and evacuation of POL (petroleum, oil and lubrications) from Paradip Refinery,” he added.

It may be noted that the country’s largest oil marketing company’s 15-mtpa capacity refinery at Paradip is spread over an area of 3,345 acres with an estimated cost of Rs 345.55 billion. The refinery can process 100 per cent high-sulphur and heavy crude oil to produce various petroleum products, including petrol and diesel of BS-IV quality, kerosene, aviation turbine fuel, propylene, sulphur and petroleum coke. It is also designed to produce Euro-V premium quality motor spirit and other green auto fuel variants for export.