Chennai Petroleum Corporation Limited (CPCL), an Indian Oil Corporation company, is planning to invest Rs 1,092.21 crore in 2012-13. The investments include a plan outlay of Rs 785.68 crore. Besides, the corporation has received an investment approval for its proposed Rs 3,110.36-crore resid upgradation project near Chennai.
The resid upgradation project has been proposed to distillate the yield of the Manali refinery in order to maximise its margins. The final DFR (draft final report) has been completed and the investment approval has been obtained. The anticipated completion of the project would be 33 months from the date of the environmental clearance, which is awaited.
The clearance is delayed mainly due to a ban imposed by the ministry of environment and forests (MOE&F ) on new expansion projects in the Manali industrial region. All efforts are being made to get the ban lifted at the earliest, according to a company statement.
CPCL’s 42-inch crude oil pipeline, as a replacement to the existing 30-inch crude oil pipeline from Chennai Port to the Manali refinery along the route of the proposed Chennai Port–Ennore connectivity road, is planned at an outlay of Rs 126 crore.
The project work is awarded to IOCL on a turnkey basis. The coastal regulatory zone (CRZ) clearance from the MOE&F is awaited to start the site activities. All efforts are being made to obtain the clearance from the MoE&F, the release said.
On the six-million tonne a year Manali refinery expansion project, the company said that this brown-field refinery project was proposed to increase the capacity of the refinery by six million tonne per year with suitable secondary processing facilities. The process configuration for this refinery expansion is under finalisation and the preparation of the pre-feasibility report is in progress.
