India looks to build fuel pipeline to Myanmar: report

India is examing building a fuel pipeline linking India's northeastern states with Myanmar, as part of New Delhi's efforts to deepen commercial and economic ties with its eastern neighbour.

India is planning to sell petrol and natural gas and other refined crude oil products to Myanmar, which is expected to see strong demand for fuels as it builds new roads, factories, utilities and airports.

India's Numaligarh refinery Ltd (NRL), a unit of state-run Bharat Petroleum Corp, is looking to sell gasoil into northwest Myanmar, reports quoting its managing director said. NRL also plans to treble its refining capacity to 180,000 barrels per day in four to five years.

"Initially it will be a small quantity. We will look for a long-term contract for diesel exports after expansion of our refinery, " Reuters quoted Padmanabhan as saying.

Indian oil minister Dharmendra Pradhan began a five-day trip to Myanmar on Monday, scouting for opportunities in oil exploration, refining and products retailing.

Prime Minister Narendra Modi wants to expand ties with the country's eastern neighbours including Myanmar to develop its landlocked northeastern states.

Pradhan's trip comes months after Myanmar leader Aung San Suu Kyi visited New Delhi, courting investments in sectors neglected under nearly 50 years of a military dictatorship.

Myanmar's refined fuels consumption is estimated to rise at an average annual rate of 6 per cent over the next 10 years to 2026, according to research by ratings agency Fitch Group.