Hindustan Petroleum Corporation (HPCL) is planning to sign an agreement with GAIL for a greenfield refinery-cum-petrochemical complex in Visakhapatnam-Kakinada Petroleum, Chemicals and Petrochemicals Investment Region (PCPIR), Andhra Pradesh.

The project, with a capacity of 15 million tpa, will entail an investment of $10-12 billion (approx Rs 59,320 - 71,184 crore). Both the companies are likely to ink an MoU in July, 2014.
 

The company had proposed the project in 2008, but it didn’t take off due to an economic downturn.

At present, the company is in the process of conducting a feasibility study and an environment impact assessment for the project, which is expected to be completed in  six months.

Meanwhile, the state government is considering allotting 3,000 or 5,000 acre to HPCL for the proposed project. 

Besides, HPCL plans to expand the capacity of its refinery in Visakhapatnam from the current 8.3 million tpa to 15 million tpa, at a cost of Rs 5,000 - 6,000 crore, in the next three-four years.