HPCL refinery might lead to reversing the flow of Cairn pipeline

The 9-million-tonne refinery would also be importing half of it crude oil requirements from South America

The Rs 37,230-crore refinery-cum-petrochemical complex here of Hindustan Petroleum Corporation Ltd (HPCL) would probably mean a reversal in flow from the world's longest continuously heated and insulated waxy crude pipeline, of Cairn India.

The nine-million-tonne HPCL refinery would be importing half its crude oil requirement from South America, as it is identical to the specifications of Mangala crude, brought put by Cairn). According to sources, there is an understanding between both companies that once the refinery is in place, the 670-km pipeline from the Mangala processing terminal would be reversed, to bring imported crude oil. The project is expected to be commissioned by 2017. Currently, the pipeline supplies coastal refineries.

Cairn India built the world’s longest continuously heated pipeline to evacuate the Rajasthan crude oil, which is waxy. “It is technically possible to reverse the pipeline and we are open to it. We had invested about $1 billion for this pipeline only and its flow is reversible,”said P Elango of Cairn India. A senior HPCL official said,“Moreover, we cannot import crude oil from Saudi Arabia or any other Gulf country for this refinery. It has to be similar to the waxy crude from Cairn India fields. So, we will have to source the crude from South America, which is identical to the waxy crude in Rajasthan if domestic production is not enough. With minor technical changes, the pipeline can be reversed.” This would be for the first time that HPCL would be sourcing crude from South America.

 

To ensure continuous heat tracing of oil pipeline, a little more than 30 SEHMS (Skin Effect Heat Management System) stations are installed after every 18-20 km along the pipeline, up to Bhogat. The pipeline route from MPT to Bhogat via Salaya passes through Rajasthan and Gujarat, covering eight districts and a little more than 250 villages.
 
The routing of India’s first heated and insulated pipeline from Barmer to a coastal location in Gujarat is designed to access an extensive existing pipeline infrastructure and refinery network, with a final coastal delivery point providing access to the majority of India’s refining capacity. The major consumers include Reliance and Essar.

The gas produced from RJ-ON-90/1 block is used to heat the pipeline.