Oil India forms strategic alliances with BPCL, NRL for refining and petrochemicals

Oil India Limited (OIL) has announced two strategic Memoranda of Understanding (MoUs) aimed at expanding its footprint in the refining, petrochemicals, and logistics infrastructure sectors. The first MoU, signed with Bharat Petroleum Corporation Limited (BPCL), outlines a non-binding collaboration to explore the development of BPCL's upcoming Greenfield Refinery and Petrochemical Complex near Ramayapatnam Port in Nellore district, Andhra Pradesh. This facility, with a proposed refining capacity of 9-12 MMTPA and an ethylene cracker unit of 1.5 MMTPA, represents an estimated investment of ₹1 lakh crore and is projected to commence commercial operations by FY 2030. OIL may consider a minority equity stake in this joint venture.

The second tripartite MoU involves OIL, BPCL, and Numaligarh Refinery Limited (NRL), focusing on efficient evacuation of petroleum products following NRL's expansion from 3 MMTPA to 9 MMTPA. This agreement will jointly explore the development of a cross-country petroleum product pipeline from Siliguri to Mughalsarai via Muzaffarpur, alongside augmentation of Depo infrastructure. This project carries an estimated investment of ₹3,500 crore, with ownership split among BPCL (50%), OIL (25%), and NRL (25%).

These initiatives, signed in the presence of pankaj jain, secretary, MoPNG, reaffirm OIL's commitment to strategic diversification across midstream and downstream operations, aligning with the government of India's vision of self-reliance, sustainability, and energy security.