Ministry of Petroleum and Natural Gas has approved the revision in the project cost of HPCL Rajasthan Refinery Limited (HRRL) for the Pachpadra refinery-cum-petrochemical complex in Rajasthan, from ₹43,129 crore to ₹79,459 crore.
Hindustan Petroleum Corporation Ltd (HPCL) is setting up the 9 million tonnes per annum (MTPA) joint venture project, which includes 2.4 MTPA of petrochemical products. HPCL will hold a 74 per cent stake with an investment of ₹19,600 crore, while the remaining stake will be held by the Government of Rajasthan.
Project structure and scale
HRRL is a greenfield integrated refinery-cum-petrochemical complex with a high Nelson Complexity Index of 17 and petrochemical intensity of 26 per cent, indicating significant value addition and processing capability.
The project is in an advanced stage of commissioning, with trial runs of the crude distillation unit (CDU) and other units currently underway.
Crude sourcing and infrastructure
The refinery is designed to process a total of 9 MTPA of crude, comprising 7.5 MTPA of imported crude and 1.5 MTPA of domestically sourced Rajasthan crude.
As part of the integrated infrastructure, the project includes a 487-km crude oil pipeline from Mundra to Pachpadra to ensure steady feedstock supply.
Strategic importance
The refinery is aimed at producing high-demand petrochemical products, reducing India’s dependence on imports, and fostering industrial development in Rajasthan.
The project is also expected to act as a catalyst for downstream industries, enhancing the region’s industrial ecosystem and generating employment opportunities.