IOCL to complete Paradip-Durgapur LPG pipeline by Mar 2018

The refinery can process 100% high sulphur and heavy crude oil to produce various petroleum products

Oil marketing major Indian Oil Corporation Ltd (IOCL) is set to complete its proposed Paradip-Durgapur LPG pipeline by March 2018.

"The Paradip- Balasore section of the project will be commissioned by September this year. It will be the first such pipeline that will transport LPG in the state from the Paradip refinery," said P C Choubey, executive director, pipelines division, IOCL. The cost of the Paradip to Balasore section of the project is pegged at Rs 200 crore.

The project with the a capacity of 0.5 million tonnes per annum (mtpa) envisages laying a pipeline for transportation of LPG from Paradip and Haldia to the LPG bottling plants at Balasore, Budge Budge, Kalyani and Durgapur. The total length of the pipeline is estimated to be about 700 km and entails a cost of Rs 913 crore.

Earlier, the LPG delivery at Balasore was done through bullets.

Similarly, IOCL aims to complete its Rs 2,321-crore Paradip Hyderabad pipeline project in the next 36 months. For this pipeline, the company has approvals from the governments of Odisha, Telangana and Andhra Pradesh.

The total distance of the project is 1200 km having a capacity of 4.5 mtpa.

Recently, the Odisha Pollution Control Board has accorded its consent to IOCL for laying of the underground cross country pipeline from the company's Paradip refinery to Hyderabad.

The pipeline will be used for transportation of petroleum products like high-speed diesel, motor spirit, superior kerosene oil and aviation turbine fuel from the Paradip refinery. IOCL's 15 mtpa capacity refinery at Paradip is spread over an area of 3,345 acres with an estimated cost of Rs 34,555 crore.

The refinery can process 100 per cent high sulphur and heavy crude oil to produce various petroleum products like 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.

"We are now in the process of tendering for deciding the contractor for the main line and station construction works. We are hopeful to start the work before December this year," he added.