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Nayara Energy to set up two ethanol plants at Rs 600-cr outlay

Tuesday, 14 May 2024
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Rosneft-backed Nayara Energy plans to invest Rs 600 crore to set up two ethanol manufacturing plants in the country. Each plant will have a production capacity of 2,00,000 klpd, and will use broken rice and maize for feedstock.

These units will come up in Naidupeta, Andhra Pradesh and Balaghat in Madhya Pradesh, and are slated for commissioning by 2026. Overall, the company plans to have five ethanol manufacturing plants. By 2025, it intends to blend 20 percent ethanol, along with 100 percent sourcing.

Nayara Energy operates a 20 million tonne capacity oil refinery at Vadinar in Gujarat, and is investing Rs 6,000 crore to set up a petrochemical unit with annual capacity of 4,50,000 tonne in the same facility. It is also investing Rs 4,000 crore for modernisation of the refinery to improve its lifespan and reliability. These investments will be made till 2026.

Further, the company plans to significantly grow its fuel retail footprint from 6,600 outlets to 10,000 in three to four years. Nayara Energy's vision is to diversify its product portfolio and lead in the high growth petrochemical industry while also catering to domestic energy needs. In its endeavour for clean fuels, the company is also studying the prospect of venturing into sustainable aviation fuel (SAF) business as well as integration with a refinery.

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