IOC to Expand in Bengal with Chemical Downstream Unit
ECONOMY & POLICY

IOC to Expand in Bengal with Chemical Downstream Unit

Indian Oil Corporation plans to establish a chemical downstream unit at Haldia in West Bengal, expanding its operations around the oil refinery in the port town. The company has sought 175 acres for the project, with the final design and scale dependent on the land made available.

The state government has arranged 85 acres through the Haldia Development Authority, while discussions are continuing with the port authority for the remaining land. The project proposal is expected to be placed before the Indian Oil Corporation board for consideration within six to eight months after the land requirement is resolved.

The plan was discussed during a visit to Kolkata by Indian Oil Corporation chairman Arvinder Singh Sahney, who was attending the curtain-raiser for India Energy Week 2027. Chief minister Suvendu Adhikari assured support for securing the additional land, while petroleum minister Hardeep Singh Puri praised the state government’s efforts and indicated that the board approval process was progressing.

Adhikari recalled that land had earlier been allotted to Indian Oil Corporation during his tenure as chairman of the Haldia Development Authority for a delayed cracker project involving more than Rs. 22 bn. He said the project had since become a profitable business for the company.

The Haldia refinery has an installed capacity of 8 mn t and was commissioned in 1975. Its operations have been affected by the low river draught, which makes it difficult for the company to receive large crude carriers and increases operating costs. A downstream chemical facility producing value-added products would be less exposed to those shipping constraints. Puri said oil companies were investing Rs. 176 bn in projects, with a further Rs. 15 bn at the planning stage.

Indian Oil Corporation plans to establish a chemical downstream unit at Haldia in West Bengal, expanding its operations around the oil refinery in the port town. The company has sought 175 acres for the project, with the final design and scale dependent on the land made available. The state government has arranged 85 acres through the Haldia Development Authority, while discussions are continuing with the port authority for the remaining land. The project proposal is expected to be placed before the Indian Oil Corporation board for consideration within six to eight months after the land requirement is resolved. The plan was discussed during a visit to Kolkata by Indian Oil Corporation chairman Arvinder Singh Sahney, who was attending the curtain-raiser for India Energy Week 2027. Chief minister Suvendu Adhikari assured support for securing the additional land, while petroleum minister Hardeep Singh Puri praised the state government’s efforts and indicated that the board approval process was progressing. Adhikari recalled that land had earlier been allotted to Indian Oil Corporation during his tenure as chairman of the Haldia Development Authority for a delayed cracker project involving more than Rs. 22 bn. He said the project had since become a profitable business for the company. The Haldia refinery has an installed capacity of 8 mn t and was commissioned in 1975. Its operations have been affected by the low river draught, which makes it difficult for the company to receive large crude carriers and increases operating costs. A downstream chemical facility producing value-added products would be less exposed to those shipping constraints. Puri said oil companies were investing Rs. 176 bn in projects, with a further Rs. 15 bn at the planning stage.

Related Stories

Gold Stories

Next Story
Real Estate

Japanese companies expand GCC operations in India

More than 100 Japanese companies have established or are expanding Global Capability Centres (GCCs) in India, with a growing focus on artificial intelligence (AI), engineering, digital innovation, product development, cybersecurity and advanced analytics. The shift marks an expansion beyond traditional back-office and operational support functions towards higher-value technology and innovation activities.Japanese companies are increasingly using their Indian GCCs to support digital transformation, address talent shortages and contribute to global business strategies. These centres are taking o..

Next Story
Real Estate

India’s flexible office stock projected to reach 160 million sq ft by 2030

India retained its position as the world's most mature flexible office market, scoring 100 per cent on Cushman & Wakefield's Flexible Office Market Maturity Index, according to the firm's Global Trends in Flexible Office 2026 report.India's flexible office inventory reached 88.7 million sq ft (MSF) in H1 2026, accounting for 10.5 per cent of the country's total office stock. The report projects this to exceed 100 MSF in 2026 and reach approximately 160 MSF by 2030.Flexible office operators leased 8.5 MSF across India's top eight cities in H1 2026, their strongest first-half performance to ..

Next Story
Infrastructure Urban

K2 Infragen appoints Abhishek Sharma as DGM, supply chain

K2 Infragen has appointed Abhishek Sharma as Deputy General Manager, Supply Chain Management. He will oversee procurement planning, vendor partnerships and coordination with project teams.Sharma brings nearly two decades of experience in infrastructure procurement across railways, highways, expressways and hydropower. His experience includes procurement responsibilities associated with the Delhi–Meerut Expressway and the Delhi–Vadodara greenfield corridor. ..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code