HPCL to sell 50-per cent stake in Vizag refinery to Total

New Delhi:
19 January 2007

New Delhi: Hindustan Petroleum Corporation (HPCL) - is planning to sell 50 pc of its stake in the Vishakapatnam refinery to French firm Total SA for Rs6,000 crore.

Total is likely to pick up the stake in collaboration with Kuwait Petroleum.

HPCL is currently at a preliminary stage of discussions with Total and will finalise the deal in 2-3 months.

HPCL is setting up a 9 million tonne export-oriented refinery adjacent to the existing refinery at Vishkapatnam at an estimated investment of Rs12,000 crore.

The Lakshmi Mittal group is also reported to be in interested in picking up a 49 per cent stake in the refinery in Punjab.

HPCL has tied up with GAIL (India) Ltd for city gas distribution projects in Andhra Pradesh and Madhya Pradesh, and is likely to reach an agreement with the state-run gas marketing company for distribution project in Rajasthan.