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Indian Oil Corporation to infuse Rs 17,000 cr in Gujarat refinery

Tuesday, 22 Sep 2020
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The Indian Oil Corporation (IOCL) will make an investment of Rs 17,825 crore to implement petrochemical and lube integration at its Gujarat refinery. 
 
The oil and gas company is expanding its petrochemicals capacity by more than 70 percent from its present 3.2 million tpa.
 
The integration of Polypropylene and Lube Oil Base Stock (LOBS) units will enhance the petrochemical and specialty products integration index of the Gujarat refinery. 
 
Petrochemical is a lucrative opportunity for energy companies in India as the per capita consumption still remains very low. With the segment expected to picking up pace, oil marketing companies are expanding in this segment.
 
The company, which is investing Rs 26,233 crore in FY21, plans to focus on entry into new petrochemicals segments like polyester filament yarn, polyester staple fibre, polybutadiene rubber and ammonium thiosulphate along the COTC value-chain.
 
IOCL in the long run plans to develop fuel cells and indigenous hydrogen storage solutions for promoting green mobility. 
 
The company’s research and development centre is pursuing research in this area and focused on making significant contribution in developing hydrogen economy infrastructure in the country. 
 
Indian Oil is operating two hydrogen-dispensing stations with on-board hydrogen production, from electrolysis of water and compression facility. 
 
Moreover, extensive research is also going on to back-integrate its own products like petcoke and polymers for deployment in fuel cells. With refineries presenting an attractive case for acting as hydrogen production and supply centres, IOCL is looking forward to pioneering the deployment of fuel cell technology. 
 
Also, the company is working on carbon dioxide-to-lipids conversion pathways, further strengthening its position in advanced bio-fuels research.
 
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