BPCL to invest 25,000 cr on ethylene cracker unit
09 September 2019
Bharat Petroleum Corporation Ltd (BPCL) will invest about Rs 25,000 crore to set up an ethylene cracker plant at Rasayani, 50 km from its Mumbai refinery, as the firm pushes further into the petrochemicals business to fuel growth.
“We are now thinking of diversifying more into petrochemicals. Our plan is to move from 1% to 10% and, if possible, go up to 15%. This is what the existing configuration of our refineries will allow us. The existing configuration cannot be tweaked to a large extent to achieve a higher percentage of petrochemicals unlike a new refinery,” D Rajkumar, BPCL’s Chairman, and Managing Director said.
“The main thing for Rasayani is petrochemicals which will be done in two phases. In the first phase, we will put up the LPG and POL plants and replace the old Catalytic Cracking Unit and Fluidized Catalytic Cracking Unit with a modern Petro Resid Fluidized Catalytic Cracking Unit, which will produce Propylene,” R Ramachandran, director (refineries), BPCL, said.
“We are not stopping there. We have in mind a second phase which mainly involves setting up an Ethylene cracker plant that is also connected to the refinery which will require an investment of about Rs 25,000 crore. We are planning for that two years from now. We have a first stage clearance from the board for the Ethylene cracker plant and we are starting a feasibility study on that,” Ramachandran said.
BPCL will commission its Rs 5,236 crore Propylene Derivative Petrochemical Project (PDPP) at Kochi refinery for manufacturing niche petrochemicals in the next six months. To expand its product portfolio further, BPCL is investing Rs 11,130 crore to set up a facility in Kochi refinery for manufacturing Polyols, Propylene Glycol, and Mono-Ethylene Glycol.
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