Indian Oil reviews refinery expansion plans
Indian Oil Corp (IOC) India's largest refiner, is reviewing its refinery expansion plans because of a gradual rise in use of cleaner fuels and changing demand patterns in Asia's third-largest economy, its chairman said.
In 2018 India set a target for a 77% jump in refining capacity to about 9 MM barrels per day (bpd) by 2030, with IOC raising capacity to 2.6 MM bpd.
However, Petroleum Planning and Analysis Cell, an oil ministry think-tank, is revising the supply and demand scenario for the country.
"Based on that study we will revise our numbers as well," IOC Chairman S.M. Vaidya told a news conference on Monday.
"Demand is not really destructive in our country. It has got deferred. Nevertheless, we are reviewing our refinery expansion plans."
Vaidya said that IOC's focus is on adding higher capacity through expansion of existing units and raising petrochemical capacity to protect margins.
"As far as grassroots projects are concerned, we are reviewing all projects," he added.
IOC will also review expansion of its Paradip refinery when the revised supply and demand figures are available, he said
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