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Home » BPCL Signs MoUs to Boost India’s Energy and Refining Capacity with Major Oil Companies, ETEnergyworld
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BPCL Signs MoUs to Boost India’s Energy and Refining Capacity with Major Oil Companies, ETEnergyworld

omc_adminBy omc_adminOctober 28, 2025No Comments4 Mins Read
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<p>The agreement covers the joint construction of a 700-km cross-country product pipeline from Siliguri to Mughalsarai, with an estimated investment of ₹3,500 crore.</p>
The agreement covers the joint construction of a 700-km cross-country product pipeline from Siliguri to Mughalsarai, with an estimated investment of ₹3,500 crore.

Bharat Petroleum Corporation (BPCL) on Tuesday signed three Memoranda of Understanding (MoUs) with Oil India (OIL), Numaligarh Refinery (NRL), and Fertilisers & Chemicals Travancore (FACT) at the 28th Energy Technology Meet 2025 being held in Hyderabad, to drive growth across refining, petrochemicals, and green energy.

According to the official press release, these partnerships mark significant milestones in BPCL’s integrated growth strategy spanning refining, petrochemicals, green energy, and logistics infrastructure.

At the event, BPCL and OIL signed a non-binding MoU to explore collaboration in developing BPCL’s upcoming greenfield refinery and petrochemical complex near Ramayapatnam Port in Nellore district, Andhra Pradesh.

The proposed facility, with a refining capacity of 9-12 million metric tonnes per annum (MMTPA) and an estimated investment of ₹1 lakh crore, will be a cornerstone of India’s downstream expansion.

Under the MoU, the companies will evaluate opportunities for collaboration, including the possibility of OIL taking a minority equity stake in the proposed joint venture. The project has already secured key statutory clearances and 6,000 acres of land from the Government of Andhra Pradesh, with pre-project activities in progress.

Sanjay Khanna, Director – Refineries – with additional charge of Chairman & Managing Director, BPCL, said that this collaboration marked a significant milestone in their journey to build world-class refining and petrochemical infrastructure in southern India.

“The Ramayapatnam complex will not only reshape BPCL’s portfolio but also reinforce India’s self-reliance in fuels and petrochemicals, in line with the vision of Atmanirbhar Bharat,” said Sanjay Khanna, Director – Refineries – with additional charge of Chairman and Managing Director, BPCL.

“This collaboration reaffirms our commitment to pursue various strategic diversification initiatives to Midstream and Downstream. By partnering with BPCL, OIL and NRL look forward to leveraging our collective strengths to unlock value creation and contribute to the nation’s energy security and distribution infrastructure,” said Ranjit Rath, Chairman & Managing Director, OIL and Chairman, Numaligarh Refinery.

He added that the companies aim to create long-term value, enhance energy security, and participate in India’s expanding refinery and petrochemical ecosystem.

“This collaboration also embodies OIL’s strategic intent to diversify into integrated energy ventures that support sustainable national growth,” he added.

The Ramayapatnam complex will feature a 1.5 MMTPA ethylene cracker unit, the first of its kind in southern India, with a 35 per cent petrochemical intensity — among the highest in the country.

Supported by the Government of Andhra Pradesh, the project is slated for commercial operations by FY30, expected to catalyse industrial development, employment generation, and regional energy security.

In another major development, BPCL, OIL, and NRL signed a tripartite MoU to facilitate efficient evacuation of petroleum products following NRL’s expansion from 3 MMTPA to 9 MMTPA.

According to the official release, the agreement covers the joint construction of a 700-km cross-country product pipeline from Siliguri to Mughalsarai via Muzaffarpur, with an estimated investment of ₹3,500 crore.

The pipeline, designed to transport motor spirit, high-speed diesel and aviation turbine fuel, will be jointly-owned by BPCL, with OIL and NRL sharing the remaining 50 per cent.

To ensure robust downstream logistics, the partners will augment BPCL’s depots at Mughalsarai and Muzaffarpur, and develop new facilities at Singrauli in Madhya Pradesh, Korba in Chhattisgarh, Khagaria in Bihar, and Tatanagar in Jharkhand.

BPCL also signed an MoU with FACT for the supply and trading of fermented organic manure and liquid fermented organic manure produced from BPCL’s upcoming municipal solid waste-based compressed biogas plant at Brahmapuram, near Kochi Refinery.

The plant will process 150 MT of municipal waste per day, generating 5.6 MT of CBG, along with 28 MT of FOM and 100 KL of LFOM daily.

This collaboration will enable FACT to trade high-quality organic fertilisers, supporting sustainable agriculture while contributing to India’s waste-to-energy and green fuel vision.

These three MoUs highlight BPCL’s holistic approach to expanding refining capacity, advancing petrochemical integration, accelerating green energy initiatives, and building robust logistics networks, added the release.

Published On Oct 28, 2025 at 03:30 PM IST

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