HPCL to Commission Barmer Refinery by January 2025: Company Executive S. Bharathan

Hindustan Petroleum Corporation Ltd (HPCL) is set to commission the nation's newest oil refinery in Barmer, Rajasthan, by January next year, aiming to meet the escalating fuel demand in North India, revealed a senior company executive. S. Bharathan, Director for Refineries at HPCL, stated that the refinery, with a capacity of 9 million tonnes per year, is currently 76% mechanically complete and is on track for completion by the end of the year or shortly thereafter. The first product from the refinery is anticipated to flow in December or January next year, Bharathan told reporters during the India Energy Week event. The Barmer refinery project is integral to India's objective of achieving an installed capacity to process 450 million tonnes of crude oil annually, meeting the energy requirements of the world's fastest-growing major economy. Currently, India's refining capacity stands just under 254 million tonnes. Bharathan further elaborated that the Barmer refinery will initially operate at 75% to 80% of its capacity in the first year as various units are commissioned. However, it is expected to reach full capacity by 2027. HPCL presently operates two refineries in Mumbai and Vizag, Andhra Pradesh, along with a joint venture refinery in Bhatinda, Punjab. The recent expansion of the Vizag facility to 15 million tonnes from 8.33 million tonnes is part of HPCL's efforts to bridge the gap between fuel production and sales. The Barmer refinery, in addition to its refining operations, will also feature a petrochemical complex, although the commissioning of this complex will follow the refinery's completion, Bharathan noted. The refinery-cum-petrochemical complex is being constructed by the joint venture company HPCL Rajasthan Refinery Ltd (HRRL), with HPCL holding a 74% stake and the Rajasthan government owning the remaining 26%. Originally conceived in 2008, the project received initial approval in 2013 and commenced work in 2018 after being reconfigured. Once operational, the refinery is expected to produce BS-VI grade petrol and diesel, along with various petrochemical products such as polypropylene, butadiene, linear low-density polyethylene (LLDPE), high-density polyethylene (HDPE), benzene, and toluene. It aims to cater to the heightened demand for petroleum and petrochemical products in the northern, western, and central regions of India.