Page 1 of 1

HPCL, Rajasthan Govt ink revised MoU for

proposed 9 MMTPA refinery
Proposal to set up the Rs 37,230-cr refinery at Barmer district was first announced in March
2013

Rakesh Rao | Mumbai April 18, 2017 Last Updated at 15:27 IST

Hindustan Petroleum Corporation Ltd (HPCL) and Government

of Rajasthan have signed a revised memorandum of
understanding (MOU) for HPCLs proposed 9 million metric
tonnes per annum (MMTPA) grass root refinery in the state,
paving the way for the resumption of project, which was first
announced four years ago.

In March 2013, the then Congress-led state government had

entered into an MoU with HPCL for establishing the complex in
Barmer district at an estimated cost of over Rs 37,230 crores ($6
billion). After this, a JV agreement was signed in July 2013 between HPCL and the state government.
The refinery-cum-petrochemical complex was to process 4.5 million tonnes of Mangala crude and 4.5
million metric of Arab or other crude oil.

However, the project failed to take off as the BJP government of the state, which came to power in
December 2013, had been demanding a review as it felt that the previous proposal was not in favour
of Rajasthan.

Though, HPCLs yesterday statement do not spell out the revised financial details of the project,
experts believe it will cost more than the earlier estimate of $6 billion.

http://www.business-standard.com/article/printer-friendly-version?article_id=1170418005... 20-Apr-17