HPCL investment

Vol 15, PW 4 (25 Aug 11) News in Brief
     

Mumbai-based refiner Hindustan Petroleum has revived plans to set up a 15m t/y refinery, and adjacent ‘petrochemical and aromatics’ complex in an ‘investment region’ at Vizag in Andhra Pradesh.

HPCL’s proposed petrochemical complex could produce up to 1m t/y of paraxylene, 1m t/y of polyethylene and 1m t/y of propylene. On August 17, HPCL officials met consultants Foster Wheeler, Technip and Fluor Daniel for ‘technical discussions’ on the proposed complex, and then met potential project partners GAIL and Oil India on August 18.

“We have yet to finalise an equity structure for the investment region,” says HPCL. “We prepared a project feasibility report back in 2008 but shelved it because of the recession.

We want to revive it now.” HPCL is preparing to issue a global tender this September to hire a consultant for a Detailed Feasibility Report.

It wants a partner to pick up a 25% stake by investing up to $1bn in estimated $10.8bn project.

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