BPCL planning to build Rs25,000-crore refinery in Maharashtra

Public sector Bharat Petroleum Corporation Limited (BPCL) is planning to set up a refinery in Maharashtra with an annual capacity of 15 million tonnes at an estimated cost of Rs25,000.

With no further scope to expand its 6.5 million-tonne-a-year Mumbai refinery spread over 350 acres, the oil major is planning to set up the new refinery somewhere between Mumbai and Goa.

BPCL, a Fortune 500 company has a 7.5-million-tonne refinery at Vizag in Andhra Pradesh, a 3 MMTPA refinery in Numaligarh in Assam, a 7.5 MMTPA refinery at Kochi in Kerala, and a 6 MMTPA refinery at Bina, in Madhya Pradesh, which has been set up as a joint venture with Oman Oil Company.

BPCL is looking at an area of over 2,000 acres of land for building the new refinery and has intimated the Maharashtra government of its need for the land for the project.

The company is looking at possibility of obtaining land at Raigad or Ratnagiri districts of Maharashtra and is willing to look at Gujarat as an alternative if it can not get the required area in Maharashtra.

BPCL plans to fund the project through a debt-equity ratio of 2:1 or 2.5:1