Speaking to Business Standard, Bansal, who was here to sign a memorandum of understanding with Hyderabad-based Nandan Biomatrix for biofuel production, said the company would invest about Rs 20 crore in the state. It also has plans to set up similar facilities in Tamil Nadu and Gujarat. He, however, did not specify any time frame for these projects.
The company is also working on a 1 Mw power plant based on solar farm in Punjab. "We are just testing the technology to harness the solar power effectively," he said. Regarding its attempt to use fuel cells manufactured by Bharat Heavy Electricals Limited, a power equipment manufacturer, Bansal said though the technology was good, at present costs it was proving expensive.
This apart, BPCL is now bidding for new oil blocks in Oman, Australia and other countries for exploration activities. "This is a capital-intensive area. We will spend about Rs 1,500 crore depending on the project,'' he said, adding the company would focus on exploring gas or crude oil.
On crude oil crossing $120 a barrel, he said the public sector oil companies were not able to adjust to the steep rise. "We have exhausted all our credit limit and unless the government supports us by increasing the price we cannot absorb any hikes,'' he said. On Reliance closing its outlets he said the move would not affect the company's finances.
BPCL has also planned a bio-diesel chain in a joint venture with Nandan Biomatrix in Uttar Pradesh. The company will invest Rs 2,132 crore over the next 10 years and envisages cultivating jatropha on one million acre. The venture is expected to create one million jobs and produce one million tonne of bio-diesel.
