IOC Likely To Begin Tendering Process Soon For Paradip Project

Kolkata: IOC may begin tendering the key process packages for the proposed 15-million-tonne Paradip refinery-cum-petrochemical complex in December 2007 or January 2008. The projects are, however, likely to be granted early in the next fiscal once the IOC board permits final investment in the project, expectedly in March 2008. Tenders for all key packages may be open for participation in December-January. They are hoping to go to board in March 2008 for the final approval to investments in Paradip.

The company has named Engineers India Ltd for preparing a detailed feasibility report for process upgradation in Barauni refinery. They are planning a low-cost select process upgradation requiring an investment of Rs 1,000-1,500 crore so that the refinery can use 40-50 per cent of high-sulphur crude. This will enhance the refining margin by $2-3 a barrel. Established in 1964, the six-million-tonne Barauni refinery is run on low sulphur Nigerian crude resulting into high operational cost. A pre-feasibility report is also prepared for setting up a coker unit at eight million tonnes Mathura refinery. They are hoping to approach the board in September seeking its approval for launching a detailed feasibility report on the project.