Chennai Petroleum Corporation (CPCL) plans to undertake new projects to expand its portfolio, sustainable growth and revenue streams. CPCL plans to produce pharma-grade hexane in the isomerisation unit at an estimated cost of Rs 67.15 crore. The project involves replacing existing conventional column internals with divided wall column (DWC) technology to produce 35,000 MTPA of pharma-grade hexane, and is expected to be completed during this quarter.

Besides this, CPCL also plans to implement a project for the production of Group II/III lube oil base stocks, with a first-stage approval received for this project. While the basic design and engineering package (BDEP) and detailed feasibility report, are complete, and environmental clearance was obtained in January 2024. However, the final investment approval is pending.

CPCL is conducting a fluid catalytic cracking unit (FCCU) revamp scoping study to enhance FCCU and maximise propylene production. The study, awarded to UOP last year, is in progress, with the final report expected by this month. It has also taken up a feasibility study for the installation of a new de-oiling unit to produce microcrystalline wax. The contract was awarded to Engineering India in March 2024. The study is in progress and the final report is expected to be submitted by September 2024.

Meanwhile, the company is laying a 22-km long new 28-inch desalination water pipeline and a new 10-inch RO reject water pipeline between Manali Refinery and its desalination plant at Ennore, at an estimated cost of Rs 205 crore. This project is expected to be completed by September 2025.

Regarding the upcoming nine MTPA Cauvery Basin refinery at Nagapattinam in Tamil Nadu, the company has informed that site-enabling activities are underway. The project is scheduled to be completed in 39 months, and will produce Petrol and diesel of Bharat Stage-VI specifications and polypropylene value-added products.