BPCL to Invest Rs 968 Billion in Andhra Refinery Project
OIL & GAS

BPCL to Invest Rs 968 Billion in Andhra Refinery Project

State-run Bharat Petroleum Corporation Ltd (BPCL) will invest nearly USD 11 billion (Rs 968.62 billion) to construct a new refinery with a capacity of 180,000–240,000 barrels per day in the southern state of Andhra Pradesh, according to a state government order issued on Thursday.

The Andhra Pradesh government has allocated 6,000 acres of land for the refinery and petrochemicals complex, and has instructed BPCL to commence commercial operations by January 2029.

The project, which is expected to significantly boost industrial growth in the region, comes as the state—led by Chief Minister Chandrababu Naidu, a key ally of Prime Minister Narendra Modi—seeks to attract major investments to mitigate financial pressures arising from high debt and extensive social welfare spending.

According to the order, the state government will offer financial incentives amounting to 75 per cent of the project’s estimated capital expenditure over a period of 20 years to support BPCL’s investment.

BPCL, India’s second-largest state-owned refiner, currently operates three refineries with a combined crude processing capacity of 706,000 barrels per day. The new refinery in Andhra Pradesh will further strengthen the company’s refining and petrochemical portfolio, positioning it as a key player in meeting India’s growing energy demand.

State-run Bharat Petroleum Corporation Ltd (BPCL) will invest nearly USD 11 billion (Rs 968.62 billion) to construct a new refinery with a capacity of 180,000–240,000 barrels per day in the southern state of Andhra Pradesh, according to a state government order issued on Thursday. The Andhra Pradesh government has allocated 6,000 acres of land for the refinery and petrochemicals complex, and has instructed BPCL to commence commercial operations by January 2029. The project, which is expected to significantly boost industrial growth in the region, comes as the state—led by Chief Minister Chandrababu Naidu, a key ally of Prime Minister Narendra Modi—seeks to attract major investments to mitigate financial pressures arising from high debt and extensive social welfare spending. According to the order, the state government will offer financial incentives amounting to 75 per cent of the project’s estimated capital expenditure over a period of 20 years to support BPCL’s investment. BPCL, India’s second-largest state-owned refiner, currently operates three refineries with a combined crude processing capacity of 706,000 barrels per day. The new refinery in Andhra Pradesh will further strengthen the company’s refining and petrochemical portfolio, positioning it as a key player in meeting India’s growing energy demand.

Related Stories

Gold Stories

Next Story
Products

Koemmerling opens Navi Mumbai experience centre

Koemmerling, a brand of the profine Group, has expanded its presence in the Mumbai metropolitan region with the opening of a new experience centre in Navi Mumbai and launched its Allure S46 minimal sliding door system for the Indian market.Located in CBD Belapur, the facility was inaugurated by Peter Mrosik, Owner and CEO, profine Group, along with Farid Khan, Chairman and Managing Director, profine India, and Kamal Bajaj, CEO, profine India.The company said the new centre will showcase its portfolio of uPVC and aluminium window and door systems to architects, developers and homeowners.The ina..

Next Story
Products

India's waterproofing market nears Rs 150 bn milestone

India's waterproofing industry is approaching a market size of Rs 150 billion and is expected to surpass the $2 billion milestone, according to speakers at the 2nd India International Waterproofers Conference & Expo 2026 organised by the Waterproofers Association of India (WAI) in New Delhi.The two-day event brought together more than 20 speakers, 55 international delegates and 53 exhibition booths, with discussions focusing on climate-resilient construction, advanced waterproofing technologies and international collaboration.Inaugurating the event, Durga Shanker Mishra, former Secretary, ..

Next Story
Real Estate

Dilip Buildcon Q1 FY27 Revenue at Rs 23.78 billion

Dilip Buildcon Limited reported consolidated revenue from operations of Rs 2,378 crore in Q1 FY27, along with EBITDA of Rs 429 crore and profit after tax of Rs 128 crore.Consolidated EBITDA margin stood at 18.1%, improving from 17.1% in Q4 FY26. On a standalone basis, revenue from operations was Rs 1,930 crore, EBITDA stood at Rs 199 crore and PAT was Rs 39 crore, with an EBITDA margin of 10.3%.The company’s order book stood at Rs 27,691 crore as of 30 June 2026, compared with Rs 28,830 crore as of 31 March 2026. Roads and highways accounted for 17.1% of the order book, irrigation and water ..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement