Chennai Petroleum Corporation, a subsidiary of Indian Oil Corporation, is planning to implement new projects with an investment of Rs 4,000 crore.

This investment will be allocated for expansion of refining capacity, upgradation of refinery residues to distillates, and others. A major part of the investment of Rs 3,110.36 crore will be invested in the residue upgradation project. The project will maximise the distillate yield of the Manali refinery and increase the percentage of high sulphur crude processing. It involves installation of a delayed coker unit, and revamping of existing hydro cracker unit along with other associated facilities. The project is scheduled to be completed by 2015. The ministry of environment and forests has accorded environment clearance in March 2013, for the project.

Meanwhile, the company is also planning to invest Rs 279 crore to set up a mounded bullet storage facility for LPG and petrochemical feedstock. It will be mechanically completed by end October 2014.