Indian Oil Corporation (IOC) would invest around Rs 14,000 crore during the current fiscal and would soon look for a partner for its Rs 10,000 crore LNG Terminal project near Chennai.
Speaking to reporters after inaugurating the augmented lube oil storage facility at Tondairpet, near here, IOC chairman RS Butola said the feasibility report for the proposed project would be ready in six months and the company would then look for a partner.
The underrecovery for the industry during the fourth quarter stood at around Rs 6,900 crore of which IOC’s was almost half, he said. For diesel it is Rs 16.49 and for LPG it is Rs 29.69.
The total subsidy burden in the current fiscal for the industry is around Rs 78,000 crore, and for IOC it is Rs 43,100 crore. “Whatever decision the government takes on price, we should be fully compensated by way of cash support,” he said.
He didn’t give the break for the proposed investments.
The corporation is planning to start exporting its brand Servo lubricants to the European market. The company exports this brand to over 19 countries at present.
He said they were planning to appoint distributors and start joint ventures in Europe. It would also automate its fuel stations. At present, the company has 19,000 retail outlets. As part of Phase I, 1600 outlets will be taken up for automation and the rest will be in 12 months.