NRL to use IOCL's crude oil handling facility at Paradip Port for expansion

Numaligarh Refinery is planning to expand the capacity of its refinery from 3 MMTPA to 9 MMTPA

Numaligarh Refinery
Numaligarh Refinery
BS B2B Bureau New Delhi
Last Updated : Apr 28 2017 | 1:51 PM IST
Numaligarh Refinery Limited (NRL) - a joint venture between Bharat Petroleum Corporation Limited, Oil India Ltd and Government of Assam – will utilise Indian Oil Corporation Ltd’s (IOCL) crude oil handling facility at Paradip Port for the proposed expansion of its refinery from 3 million metric tonne per annum (MMTPA) to 9 MMTPA. A tripartiate MoU was signed between NRL, IOCL and Paradip Port Trust for this on April 16, 2017.

Numaligarh Refinery Limited has planned to expand the capacity of its refinery from 3 MMTPA to 9 MMTPA. Under the expansion plan, a crude oil pipeline from Paradip Port in Odisha to Numaligarh in Assam has been proposed. 

In order to meet growing demand of petroleum product in Eastern India and to achieve economic scale of operation, NRL has planned to increase refining capacity from 3 MMTPA to 9 MMTPA by installing a new train of process units at its existing refinery premises at Numaligarh. The expansion proposal also includes construction of a crude pipeline from Paradip Port in Odisha to Numaligarh covering a distance of around 1,398 km for transportation of imported crude and a product pipeline from Numaligarh to Siliguri of around 650 km. The project is estimated to require investment of about Rs 22,788 crores.

Indian Oil Corp already has a crude oil unloading system through single point mooring system at Paradip Port to meet crude oil requirements of its refineries at Paradip, Haldia, Barauini and Bongaigaon. NRL will now utilise the existing SPM system of IOCL for import of crude oil for the proposed expansion of its refinery at Numaligarh.

Speaking on the occasion, Dharmendra Pradhan, Minister of State for Petroleum and Natural Gas, said that the Centre was planning to expand the capacity of the port at Paradip and set up a crude oil terminal to be used to meet oil requirement of East Asia. 

According to Nitin Gadkari, Minister for Road Transport, Highways & Shipping, the Union government has planned to make Paradip as the growth engine not only for the development of Odisha but for the entire North Eastern states. “Around Rs 7,000 crore would be invested in the project out of which Rs 1,000 crore would be invested in Paradip. Similarly huge investment would also be made in Assam,” he added.

One subscription. Two world-class reads.

Already subscribed? Log in

Subscribe to read the full story →
*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

Next Story