HMEL to invest ₹2,600 crore in Bathinda refinery for downstream expansion

HPCL Mittal Energy plans to invest Rs 2,600 crore at its Bathinda refinery to build polypropylene downstream industries and start fine chemical projects to expand its business

HPCL Mittal Energy Ltd (HMEL) plans to invest Rs 2,600 crore in its Bathinda refinery for setting up polypropylene downstream industries and new fine chemical projects, the company said on Tuesday.

 

What will HMEL invest in at the Bathinda refinery? 

Apart from producing fuels such as petrol, diesel and gas, HMEL is planning to expand industrial activities through fine chemical projects in Bathinda, said Prabh Das, managing director and chief executive officer at HMEL. HMEL’s Guru Gobind Singh refinery in Punjab meets around 14 per cent of the country’s total polypropylene demand, he added.

 

How will the investment impact jobs and approvals? 

 

The investment is expected to create new employment opportunities for youth at the Bathinda refinery, which currently provides direct and indirect employment to nearly 10,000 people, said Punjab Cabinet Minister Sanjeev Arora. The minister assured HMEL that all necessary approvals for the expansion would be provided in a time-bound manner.

 

Will the expansion have a wider impact across Punjab? 

Arora said the investment would not be limited to Bathinda alone but would also accelerate the expansion of refinery-related industries across Punjab. HMEL is also planning to set up petrol pumps across the state.

 

What is the scale of the Bathinda refinery operations? 

Established in 2011, the HMEL refinery in Bathinda is spread over about 2,000 acres and generates an annual business turnover of around Rs 90,000 crore. The refinery contributes about 5-6 per cent of the country’s total petrol and diesel production.