MRPL shifts focus to chemicals, shelves refinery expansion
OIL & GAS

MRPL shifts focus to chemicals, shelves refinery expansion

India's Mangalore Refinery and Petrochemicals has decided to cancel its planned refinery expansion in order to focus on increasing its petrochemical production capacity, which could amount to Rs 470 billion.

The company is shifting its efforts towards boosting the production of chemicals used in plastics and paints, driven primarily by the changing energy landscape influenced by the growing popularity of electric vehicles. The company's main investment will be directed towards a new production plant in Karnataka. Indian and Chinese refiners, as well as major players like Exxon Mobil Corp., are placing their bets on petrochemicals to support future oil demand as the transition to electric vehicles gradually reduces the consumption of transportation fuels.

The new MRPL plant is expected to become operational within the next three to five years. India, being a net importer of petrochemicals, is faced with a "make-or-buy" decision. There is a greater value in local production.

MRPL was primarily owned by state-controlled Oil and Natural Gas Corp. (ONGC), plans to allocate approximately Rs 300-400 billion for the new plant, with an additional Rs 60-70 billion for smaller petrochemical units. This investment will help mitigate risks for MRPL's future during the energy transition.

ONGC intends to spend a total of Rs 1 trillion to expand its petrochemical capacity to 8 million tonne per year by 2030, up from the current 3.4 million tonne.

Also read:
Focus on smaller refineries to overcome land acquisition challenges
India’s oil imports down by 8.3% in April y-o-y


India's Mangalore Refinery and Petrochemicals has decided to cancel its planned refinery expansion in order to focus on increasing its petrochemical production capacity, which could amount to Rs 470 billion. The company is shifting its efforts towards boosting the production of chemicals used in plastics and paints, driven primarily by the changing energy landscape influenced by the growing popularity of electric vehicles. The company's main investment will be directed towards a new production plant in Karnataka. Indian and Chinese refiners, as well as major players like Exxon Mobil Corp., are placing their bets on petrochemicals to support future oil demand as the transition to electric vehicles gradually reduces the consumption of transportation fuels. The new MRPL plant is expected to become operational within the next three to five years. India, being a net importer of petrochemicals, is faced with a make-or-buy decision. There is a greater value in local production. MRPL was primarily owned by state-controlled Oil and Natural Gas Corp. (ONGC), plans to allocate approximately Rs 300-400 billion for the new plant, with an additional Rs 60-70 billion for smaller petrochemical units. This investment will help mitigate risks for MRPL's future during the energy transition. ONGC intends to spend a total of Rs 1 trillion to expand its petrochemical capacity to 8 million tonne per year by 2030, up from the current 3.4 million tonne. Also read: Focus on smaller refineries to overcome land acquisition challenges India’s oil imports down by 8.3% in April y-o-y

Next Story
Infrastructure Transport

Anand Vihar and Punjabi Bagh Flyovers Ready

Work on two major road infrastructure projects, the Anand Vihar flyover and the Punjabi Bagh flyover, has been completed but are yet to be opened for public use, according to officials. Located in highly congested areas, work on these projects started around two years ago. "The work on the flyover is complete and it is ready for opening," said a PWD official on Wednesday. According to sources, both the flyovers are likely to be inaugurated closer to the assembly elections in Delhi, scheduled for early next year. During the time the work was under way, motorists faced heavy traffic congestion ..

Next Story
Infrastructure Transport

RDSO finalise oscillation trials on Indore Metro

Indore Metro Phase 1 advances with the completion of oscillation and brake performance trials on the Yellow Line through three coaches manufactured by Alstom conducted by Research Design and Standards Organisation (RDSO). The oscillation trials were conducted with an aim to evaluate the stability and performance of the three different coaches during the movement, ensuring that the commencement of operation on Indore metro meets the safety and performance standard. The Emergency Braking Distance (EBD) was also reviewed by the RDSO team to evaluate the efficient stopping of trains during the op..

Next Story
Infrastructure Urban

IIT Guwahati develops sustainable geopolymer

A research team at the Indian Institute of Technology Guwahati, led by Prof. Anil K. Mishra from the Department of Civil Engineering, has developed an innovative solution to two major global challenges: industrial waste management and sustainable construction. Their research focuses on creating a geopolymer using industrial byproducts and waste materials, such as water treatment sludge (WTS), fly ash (FA), and ground granulated blast furnace slag (GGBS). “With the rapid pace of urbanisation and industrialisation, managing industrial waste has become a critical global issue," said IIT Guwaha..

Hi There!

"Now get regular updates from CW Magazine on WhatsApp!

Join the CW WhatsApp channel for the latest news, industry events, expert insights, and project updates from the construction and infrastructure industry.

Click the link below to join"

+91 81086 03000