BPCL Signs Strategic Alliances with OIL, NRL & FACT for Growth in Refining, Petrochemicals & Green Energy

Hyderabad, October 28, 2025:  At the 28th Energy Technology Meet 2025 being held in Hyderabad, Bharat Petroleum Corporation Limited (BPCL) signed three landmark Memoranda of Understanding (MoUs) with Oil India Limited (OIL), Numaligarh Refinery Limited (NRL) and Fertilisers & Chemicals Travancore Limited (FACT), and in the august presence of Shri Pankaj Jain, Secretary, Ministry of Petroleum and Natural Gas (MoPNG). These partnerships mark significant milestones in BPCL’s integrated growth strategy—spanning refining, petrochemicals, green energy, and logistics infrastructure—and reaffirm its commitment to building a sustainable and self-reliant energy future for India.

BPCL and OIL signed a non-binding MoU to explore collaboration in developing BPCL’s upcoming Greenfield Refinery and Petrochemical Complex near Ramayapatnam Port in Nellore district, Andhra Pradesh.

The proposed facility, with a refining capacity of 9–12 Million Metric Tons Per Annum (MMTPA) and an estimated investment of ₹1 lakh crore (US$11 billion), will be a cornerstone of India’s downstream expansion.

Under the MoU, the companies will evaluate opportunities for collaboration, including the possibility of OIL taking a minority equity stake in the proposed joint venture. The project has already secured key statutory clearances and 6,000 acres of land from the Government of Andhra Pradesh, with pre-project activities in progress.

Speaking on the occasion, Mr. Sanjay Khanna, Director (Refineries) with additional charge of Chairman & Managing Director, BPCL, said, “This collaboration marks a significant milestone in our journey to build world-class refining and petrochemical infrastructure in southern India. By joining hands with OIL, we are combining complementary strengths to create a project of strategic scale and sustainability. The Ramayapatnam complex will not only reshape BPCL’s portfolio but also reinforce India’s self-reliance in fuels and petrochemicals, in line with the vision of Atmanirbhar Bharat.”

Dr. Ranjit Rath, Chairman & Managing Director, Oil India Limited and Chairman, Numaligarh Refinery Limited stated, “This collaboration reaffirms our commitment to pursue various strategic diversification initiatives to Midstream and Downstream. By partnering with BPCL, OIL and NRL look forward to leveraging our collective strengths to unlock value creation and contribute to the nation’s energy security and distribution infrastructure.”

Together, we aim to create long-term value, enhance energy security, and participate in India’s expanding refinery and petrochemical ecosystem. This collaboration also embodies OIL’s strategic intent to diversify into integrated energy ventures that support sustainable national growth

The Ramayapatnam complex will feature a 1.5 MMTPA ethylene cracker unit, the first of its kind in southern India, with a 35% petrochemical intensity—among the highest in the country. Supported by the Government of Andhra Pradesh, the project is slated for commercial operations by FY 2030, expected to catalyze industrial development, employment generation, and regional energy security.

In another major development, BPCL, OIL, and Numaligarh Refinery Limited (NRL) signed a tripartite MoU to facilitate efficient evacuation of petroleum products following NRL’s expansion from 3 MMTPA to 9 MMTPA.

The agreement covers the joint construction of a 700-km cross-country product pipeline from Siliguri to Mughalsarai via Muzaffarpur, with an estimated investment of ₹3,500 crore. The pipeline, designed to transport Motor Spirit (MS), High-Speed Diesel (HSD) and Aviation Turbine Fuel (ATF), will be jointly owned by BPCL (50%), with OIL and NRL sharing the remaining 50%.

To ensure robust downstream logistics, the partners will augment BPCL’s depots at Mughalsarai and Muzaffarpur, and develop new facilities at Singrauli (Madhya Pradesh), Korba (Chhattisgarh), Khagaria (Bihar) and Tatanagar (Jharkhand).

The MoU was signed in the presence of Mr. Pankaj Jain, Secretary, MoPNG; Mr. Sanjay Khanna, Director (Refineries) & C&MD (Addl. Charge), BPCL; Dr. Ranjit Rath, CMD, OIL and Chairman, NRL; and Mr. Bhaskar Jyoti Phukan, MD, NRL.

Furthering its green energy and waste-to-energy initiatives, BPCL signed an MoU with Fertilisers and Chemicals Travancore Limited (FACT) for the supply and trading of Fermented Organic Manure (FOM) and Liquid Fermented Organic Manure (LFOM) produced from BPCL’s upcoming Municipal Solid Waste (MSW)-based Compressed Biogas (CBG) Plant at Brahmapuram, near Kochi Refinery.

The plant will process 150 MT of municipal waste per day, generating 5.6 MT of CBG, along with 28 MT of FOM and 100 KL of LFOM daily.

The MoU was exchanged between Shri Manoj Menon, Business Head (I&C), BPCL, and Shri S. Sakthimani, Director (Finance), FACT, in the presence of Shri Sanjay Khanna, Director (Refineries) & C&MD (Addl. Charge), BPCL, and Shri Pankaj Jain, Secretary, Ministry of Petroleum and Natural Gas (MoPNG).

This collaboration will enable FACT to trade high-quality organic fertilizers, supporting sustainable agriculture while contributing to India’s waste-to-energy and green fuel vision.

This collaboration underscores the shared commitment of India’s leading energy PSUs to strengthen energy infrastructure, streamline logistics, and ensure reliable fuel supply across the eastern and northern regions.

Collectively, these three MoUs highlight BPCL’s holistic approach to expanding refining capacity, advancing petrochemical integration, accelerating green energy initiatives, and building robust logistics networks.