Indian Oil’s big investment in Bihar, company will spend Rs 21,000 crore – ..

The country’s leading petroleum company Indian Oil Corporation Limited (IOCL) is going to invest Rs 21,000 crore in Bihar.

• This announcement was made by the company’s executive director Suman Kumar at the Bihar Business Connect Investor Conference held in Patna.
• Under this investment, a plan has been made to increase the capacity of Barauni Refinery and develop CNG and PNG network in the state.

Key points of investment

1. Extension of Barauni Refinery:
   • The existing capacity will be increased from 60 lakh tonnes per annum to 90 lakh tonnes per annum.
   • The company will invest Rs 16,000 crore in this project.
   • Petrochemical Plant:
     • A polypropylene plant will also be set up along with the refinery.
     • Polypropylene is the raw material of the plastics industry.
     • The plant is likely to be operational by the end of 2025.
2. CNG and PNG Network:
   • CNG pumps for vehicles will be opened in 27 cities of Bihar.
   • A network will be established to supply piped natural gas (PNG) to homes and industries.
   • An investment of Rs 5,600 crore will be made on this project.

Indian Oil: Oldest investor in Bihar

• Barauni Refinery:
  • Established in 1964, this refinery was Indian Oil’s first major investment in Bihar.
  • The initial capacity was 30 lakh tonnes per annum, which was increased to 60 lakh tonnes.
• Now:
  • There are plans to increase the capacity of the refinery to 9 million tonnes per annum.
  • The capacity of the polypropylene plant will be two lakh tonnes.

Contribution of Indian Oil in the development of Bihar

• industrial development:
  • Supply of raw materials for plastics industry will boost the industrial development of the state.
• Expansion of clean energy:
  • Environment friendly fuel will be supplied through CNG and PNG network.
• Employment Opportunities:
  • The projects will generate direct and indirect employment for thousands of people.