LAST UPDATED: Feb. 27, 2021, 2:03 p.m.
New Delhi (Anish Yande): Indian Oil Corporation Limited has approved an investment of Rs 32,946 crore. The oil production company would be expanding the Panipat refinery with the investment. The capital expenditure would be increasing the capacity of the refinery to 25 million metric tonnes per annum.
Indian Oil Corp invests Rs 32,946 crore in Panipat Refinery:
The Panipat refinery of the Indian Oil Corporation would be expanding its capacity from the current 15 capacity of million metric tonnes per annum. Currently, the oil production company controls a refining capacity of five million-barrels-per-day, along with its Chennai Petroleum.
The facility would be producing more fuels such as diesel, petrol, and Aviation Turbine Fuel. Indian Oil Corporation would be installing a catalytic dewaxing unit and polypropylene unit in the Panipat Refinery.
The expansion of the Indian Oil Corporation would be finalized by September 2024.
Indian Oil Corporation has stated that the expansion of the capacity would lead to fulfilling the demand for domestic energy and enhances the intensity of the petrochemicals.
The company said that the increased production of petrochemicals would improve the margins of the company and would also de-risk the conventional fuel business of the company.
Revenue of Indian Oil in December:
The net profit of Indian Oil rose to Rs 4,916.59 crore in the quarter ended on December 31, 2020. The net profit in the recent December quarter increased significantly over the corresponding December quarter in the previous fiscal, which was recorded at Rs 2,339.02 crore.
The operational revenue of Indian Oil Corp in the December quarter rose to Rs 1.47 lakh crore. The interim dividend of the company rose to Rs 7.50 per share.
The company’s petroleum products constitute around half of the market share in India with sales of 78.54 million metric tonnes in 2019-20.
The Indian Oil refinery fulfills the demand for petroleum products in Haryana and the northwestern region of India. The refinery supplies petroleum products to Jammu and Kashmir, Chandigarh, Punjab, Himachal Pradesh, Uttarakhand, Uttar Pradesh, and Delhi.
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