Ramayapatnam Chosen for BPCL’s New Greenfield Refinery
The Bharat Petroleum Corporation Limited (BPCL) has announced plans to establish a massive Greenfield refinery and petrochemical complex in Andhra Pradesh. The project, estimated at ₹6,100 crore, will be located in Ramayapatnam, Nellore district, and was approved during the BPCL board meeting on Tuesday.
Following the decision, BPCL informed the National Stock Exchange of India Limited (NSE) and the Bombay Stock Exchange (BSE) about the development. It also submitted a proposal for stock market listing and disclosed that pre-project activities have already commenced.
Pre-Project Activities Underway
BPCL has initiated preliminary activities, including feasibility studies, land identification, acquisition, environmental impact assessments, and engineering designs. The company highlighted that these steps are crucial for setting up the refinery and petrochemical complex on the eastern coast of India. Initially, Krishna district’s Machilipatnam was considered for the project, but BPCL ultimately decided on Ramayapatnam as the preferred location.
State Government’s Role
The project garnered significant attention at various levels of government. Member of Parliament Vallabhaneni Balashowry advocated for setting up the refinery in Machilipatnam and brought the proposal to the attention of Andhra Pradesh Chief Minister N. Chandrababu Naidu. The Chief Minister assured BPCL officials of suitable land allocation in Machilipatnam and emphasized its viability as a location. However, BPCL later decided that Ramayapatnam was a more strategic site. The state government endorsed the decision, prioritizing the project’s economic and developmental benefits to the region.
Details of the Refinery and Petrochemical Complex
BPCL currently operates refineries in Mumbai, Bina (Madhya Pradesh), and Kochi (Kerala). The Ramayapatnam facility will be its fourth refinery. The refinery will process crude oil to produce petroleum products such as gasoline, diesel, jet fuel, and liquefied petroleum gas (LPG).
The petrochemical complex will manufacture products like ethylene, propylene, butadiene, benzene, and polymers such as polyethylene, polypropylene, and polyvinyl chloride (PVC). Additionally, it will produce fertilizers like urea and ammonium nitrate, along with solvents, surfactants, and additives.
The integrated refinery and petrochemical facility will also generate electricity, implement waste management systems, and conduct research activities, thereby enhancing India’s energy security, driving economic growth, and creating employment opportunities.
Investment Surge in Andhra Pradesh
Under Chief Minister Chandrababu Naidu’s leadership, the state has been actively attracting significant industrial investments to boost economic activities and create employment. Companies like Reliance, Tata, and Lulu Group have already announced investments in Andhra Pradesh. The BPCL refinery and petrochemical complex, valued at ₹6,100 crore, marks another milestone in the state’s industrial development.
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