Naphtha cracker complex to emerge as petrochem hub

22 Sep '08

5 min read

This involves Once through Hydrocracking Unit (OHCU), Hydrogen Unit, Sulphur Recovery Units, revamp of Crude Distillation Units and related utilities & offsite facilities. Also IndianOil is looking at setting up of Paraxylene Plant at Gujarat and Haldia Refineries, said Mr. Bankapur.

As part of IndianOil's initiatives for growth, diversification and quality improvement, the Corporation is implementing projects of over Rs. 50,000 crore currently.

Mr. Bankapur also disclosed that in view of the stressed financial conditions, the Paradip Refinery Project has been re-configured and re-assessed by IndianOil in order to reduce the cost of the project. After detailed analysis, it has now been proposed to consider only the fuel refinery of 15 MMTPA in the first phase of the project at an estimated cost of Rs. 29,777 crore. The Petrochemical Complex will be considered in the second phase.

Pending Financial closure, IndianOil Board has also sanctioned Rs. 3,480 Crore for going ahead with the necessary activities required to meet the project schedule such as appointment of Project Management Consultants for Engineering, Procurement & Construction (EPC) phase of the project and procurement of Long Lead Items etc.

Meanwhile Land Acquisition, Initial Infrastructure Development, Residential Accommodation for Construction Personnel, Basic Design Engineering Packages of Licensed as well as open art units & Offsites/ Utilities and Front End Engineering Design of the project have been completed. Balance Infrastructure development work such as Construction Power, Construction Water etc are under various stages of completion.

Primary Units of the Paradip Refinery are expected to be commissioned by Feb.'2012 while the complete commissioning is scheduled for July'2012.

With the expansion of Panipat Refinery to 15 MMTPA and setting up of the 15 MMTPA Refinery at Pardip, IndianOil's refining capacity including subsidiaries will increase to 81.4 MMTPA from the current 60.2 MMTPA by 2011-12.

Fuels for the Future
As per the Auto Fuel Policy of the Govt. of India, Petrol and diesel quality for 13 cities (Delhi/NCR, Mumbai, Kolkata, Chennai, Bangalore, Hyderabad, Ahmedabad, Pune, Surat, Kanpur, Lucknow, Sholapur and Agra) will be as per BS IV norms from 1st April, 2010 as compared to the present level of BS- III quality and rest of the country will switch over to BS – III quality from the present level of BS – II.

While IndianOil is meeting the present requirements of fuel quality for better environment, we are gearing up to respond to the future needs as well. For diesel quality upgradation, projects like Once Through Hydrocracker at Haldia Refinery and Diesel Hydrotreater under Resid Upgradation Project at Gujarat Refinery are scheduled to be commissioned by December, 2009, said Mr. Bankapur.

Additional reactors of DHDT at Panipat and Barauni are also being installed to improve diesel quality standards and the projects are expected to be completed by December 2009. MS [Petrol] Quality Up gradation Project at all the refineries have been initiated and are also expected to be completed by December, 2009.

The Total expenditure on Product Quality Upgradation schemes implemented and those under implementation is over Rs. 16,941 Crore.

In the days ahead, Panipat Refinery complex with the augmented capacity and petrochemical plants will contribute significantly to energize the nation in its march towards energy independence and emerge as a economic nerve center.

Indian Oil Corporation

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