The board of directors of Hindustan Petroleum Corp. approved on Wednesday the construction of a pipeline from the Visakh refinery in Visakhapatnam to Raipur at a cost of Rs 2,212 crore.
At a meeting, the board also approved the construction of allied facilities, including a depot at Kantabanji, Odisha, according to an exchange filing.
This project is expected to provide strategic advantage for evacuation of products for the expanded capacity after implementation of the Visakh Refinery Modernisation Project in optimising placement costs and enabling product movements to eastern, central and northern parts of the country, it said.
HPCL also revised the cost for the VRM to Rs 30,609 crore with a mechanical completion by October 2024. The major units of the VRMP are already commissioned and the residue upgradation facility will be commissioned shortly.
With the completion of the VRMP Project, Visakh Refinery will operate to its full capacity of 15 MTPA, including bottom upgradation facilities.
Shares of HPCL closed 2.86% lower at Rs 409.60 apiece on the BSE, compared to a 0.49% decline in the benchmark Sensex.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
