IOC rises on expansion plans of Rs 7,812 crore

Indian Oil Corp (IOC), the nation's largest oil firm has gained over 3% at Rs 328 on the BSE (Bombay Stock Exchange) after the company said that it will invest Rs 7,812 crore in fuel quality upgradation projects at two key refineries as well as other expansion projects.

The Board of state-owned company last week approved an investment of Rs 1,843 crore in upgrading the 13.7 million tons Koyali refinery in Gujarat to produce Euro-IV complaint petrol an diesel.

Another, Rs 1,327 crore will be spent on similar fuel quality upgradation project at Barauni refinery in Bihar, IOC said.

The project would help in consolidating the glycol business of IOC by producing low cost mon-ethylene glycol based on refinery gas. The Board approved Rs 108 crore for carrying of detailed feasibility report of the project.

The stock opened at Rs 319 and touched a high of Rs 330 on the BSE. At 10.40 AM, a total of 86,292 shares changed hands on the BSE .