Indo Mobil To Set Up Lpg Facilities Countrywide

R K Narang, chairman and managing director of IOC said as a part of the joint ventures infrastructure development plan, it has identified several port sites to set up LPG infrastructure.

Though Narang refused to disclose details on the cost of the project, he said the project also aims to set up several jetties and tank farms for storage of petroleum products. Indo Mobil, primarily set up to blend and market Mobil range of lubricants in the country, has now included activities related to LPG infrastructure in its scope of agreement.

According to a study, the demand for LPG is expected to be close to 13 million tonnes by 2010. This, however, does not take into account the versatility of LPG as a fuel for power generation, transport and ship breaking.

 

In view of the substantial growth opportunities in the LPG sector, IOC has chalked out a programme to help the private sector market LPG through its large dealer network once the petroleum sector is deregulated, industry sources said. Indo Mobils proposed facility is expected to ease port congestion and help parallel marketers to directly import bulk LPG parcels.

IOC is the third public sector crude refining and marketing company to enter the field of parallel LPG infrastructure development through the joint venture route. Earlier, HPCL signed MoUs with its old ally Exxon Corporation of the US and Total of France.

The venture with Exxon plans to develop port infrastructure on the west coast while with the venture with Total will develop a similar project on the east coast.