Petroleum Minister favours merger of CPCL with IOC

Union Minister of State (independent charge) for Petroleum and Natural Gas Dharmendra Pradhan recently indicated that he was in favour of the merger of Chennai Petroleum Corporation Ltd (CPCL) with Indian Oil Corporation Ltd (IOCL). He stated that there were technical issues due to stake holding of National Iranian Oil Company (NIOL). The Union Ministry has discussed expansion of CPCL with shareholders in Iran and US. The Centre has been attempting to buy the stake of NIOL in order to merge CPCL with IOCL.
Pradhan pointed out that CPCL’s Manali refinery had huge potential to serve the energy needs of Tamil Nadu and south India. He stated that the CPCL expansion would also aim at recreating a petrochemical hub in the Manali complex, the industrial hub to the North Chennai, to cater requirements in the region.
Quoting IEA (International Energy Agency) estimates, he said India would have to add at least 300 MMTPA (million metric tonnes per annum) over the next 25 years in order to meet the domestic energy demand, which is forecast to grow to 600 MMTPA by 2040 from about 200 MMTPA this year. Present refining capacity in India is 230 MMTPA. 

Previous articleNew Indian reactor starts up
Next articleColombo to resume crude imports from Iran