BPCL earmarks Rs 1.4 trn for petrochem, gas biz

BPCL earmarks Rs 1.4 trn for petrochem, gas biz

BPCL owns 14 per cent of India’s oil refining capacity of 251.2 million tonnes.

NEW DELHI: State-owned Bharat Petroleum Corporation Ltd (BPCL) will invest Rs 1.4 lakh crore in petrochemicals, city gas and clean energy in the next five years as it looks to non-fuel businesses for growth.

BPCL, the nation’s second-biggest oil refining and fuel marketing company, is “recalibrating its strategies to leverage emerging opportunities while mitigating risks,” its chairman and managing director Arun Kumar Singh said in the firm’s latest annual report.

As countries across the world opt for cleaner, carbon-free fuel, oil companies are looking at businesses to de-risk their mainstay hydrocarbon operations.

Gas is being seen as a transition fuel as electric mobility and hydrogen pick pace.

“The company has firmed up plans to diversify and expand in adjacent and alternative businesses to create additional revenue streams and provide a hedge against any possible future decline in liquid fossil-fuel business,” he said.

BPCL, which owns 20,217 out of 83,685 petrol pumps in the country, is looking at not just selling petrol and diesel at the bunks but also providing EV charging as well as fuels of the future like hydrogen.

“Mindful of the need to reinvent ourselves with the changing times, we are committed to and progressing towards transforming our fuel stations into energy stations, where all forms of energy solutions for mobility, like petrol, diesel, natural gas, EV solutions, flexi fuels and, eventually, hydrogen, would be available,” he said.

BPCL owns 14 per cent of India’s oil refining capacity of 251.2 million tonnes. It has refineries at Mumbai, Bina in Madhya Pradesh and Kochi in Kerala.

Six strategic areas, he said, have been identified as pillars of future growth and sustainability. These are petrochemicals, gas, renewables, new businesses (consumer retailing), e-mobility and upstream, while the core businesses of refining and marketing of petroleum products continue to serve as a solid foundation, providing stability and consistent cash flows.

“The company has laid out a detailed roadmap under each of these strategic areas, and has planned a capex outlay of around Rs 1.4 lakh crore in the next five years,” he said.

BPCL will set up petchem projects at its oil refineries at Bina and Kochi.

“The company has identified two new refinery-integrated petrochemical projects - the 1.2 million tonnes per annum ethylene cracker unit at Bina refinery and the 0.4 million tonnes polypropylene unit at Kochi refinery,” he said. “Action has been initiated for these projects.”

In the Electric Mobility space, to address range anxiety pertaining to electric 4-wheelers, BPCL has come up with a novel concept of creating Highway Fast Charging Corridors, and on a pilot basis, adopted the 900-km Chennai-Tiruchy-Madurai-Chennai highway (NH-45) to develop it as a Highway Fast Charging Corridor.

BPCL plans to grow in this space in tandem with market expansion, he said.

On the upstream front, Bharat PetroResources Ltd, its wholly-owned upstream subsidiary, is pursuing oil and gas development projects from Brazil to Mozambique.

BPCL owns 14 per cent of India’s oil refining capacity of 251.2 million tonnes. It has refineries at Mumbai, Bina in Madhya Pradesh and Kochi in Kerala

PointBoxPlans a capex outlay of around Rs 1.4 lakh cr in next five years
PointBoxBPCL owns 20,217 out of 83,685 petrol pumps in the country
PointBoxLooking at not just selling petrol and diesel at the bunks but also providing EV charging as well as fuels of the future like hydrogen
PointBoxIn the Electric Mobility space, to address range anxiety pertaining to electric 4-wheelers, BPCL plans to create Highway Fast Charging Corridors (HFCC)
PointBoxOn a pilot basis, it has adopted the 900-km Chennai- Tiruchy-Madurai-Chennai highway (NH-45) to develop it as a HFCC
PointBoxTo set up petchem projects at its oil refineries at Bina and Koch

Visit news.dtnext.in to explore our interactive epaper!

Download the DT Next app for more exciting features!

Click here for iOS

Click here for Android

Related Stories

No stories found.
DT next
www.dtnext.in