State-owned Indian Oil Corporation (IOC) today said it is looking at equity partners in companies like Saudi Aramco and Kuwait Petroleum for its Rs 29,777-crore Paradip refinery project in Orissa.
"Thinking (of inducting equity partners) is on... We are thinking to offer equity to someone who can bring synergy to the project," IOC Chairman B M Bansal told reporters here.
IOC is looking at companies which can supply crude oil to 15-million tonnes a year refinery that is scheduled to be completed by March 2012.
Companies like Saudi Aramco, the world's largest crude oil producer, and Kuwait Petroleum Corporation may fit into the scheme as oil supplier to the project.
"So far discussions have not taken place with anyone but we will like to begin them soon," he said. "Strategically, we wanted to offer equity (closer to project completion) at a premium, but if financial problems persist we will have to advance it," he said.
IOC wants someone who can commit long term crude supply as equity partner.
More From This Section
"(But) so far nothing concrete has happened," he said. IOC had last year signed a loan agreement with a consortium of lenders led by State Bank of India for term loan of Rs 14,900 crore for the project.
Bansal said IOC is targeting commissioning of the refinery in first quarter of 2012.
The company had some time back split the refinery-cum-petrochemical complex into two, deciding to do the refinery first and the chemical unit will follow later.
Paradip refinery is being configured to process the toughest, heaviest and the most dirtiest crudes which are cheaper than the cleaner and easier varieties.
The refinery will have a Nelson Complexity Index of 15.