“This mega project will be Indian Oil’s largest-ever investment in a single location,” it said, but did not provide timelines for the completion of the project.
This is part of the transition plan, including boosting petrochemical intensity to help protect against volatility. Petrochemical intensity refers to the percentage of crude oil that is converted directly into chemicals used to make plastics and other materials.
Crude oil, which is pumped from the ground and from under the seabed, is processed in refineries into gasoline, diesel and other fuels. It can be processed to make petrochemicals, bypassing the fuels.
The IOC’s petrochemical intensity – the percentage of crude oil converted to chemicals – is currently low at 5-6 percent. The company plans to take it to 10-12 percent.
The company’s newer refineries
Energy transition refers to the shift from fossil fuel-based energy production and consumption systems – including oil, natural gas and coal – to renewable energy sources such as wind and solar, as well as lithium-ion batteries. This shift is likely to gradually reduce the demand for gasoline and diesel and so the IOC is conducting petrochemical projects in preparation for it.
The company said the petrochemical complex at Paradip would include a world-class cracker unit along with downstream process units for the production of various petrochemicals, including polypropylene (PP), high-density polyethylene (
Speaking of development,
“This mega project will significantly improve IndianOil’s petrochemical intensity index. It will be a growth engine to make the company a major player in the petrochemical industry while strengthening India’s self-sufficiency in the petrochemical sector,” he said.
The project, the statement said, will catalyze the growth of PCPIR and Plastic Park in Paradip.
“Upon commissioning of this project, domestically available petrochemicals are expected to provide feed and drive industrial growth in key downstream industries such as plastics, pharma, agrochemicals, personal care, paints etc. It is also expected to create employment opportunities in East -India, especially Odisha,” it added.
Chinese app TikTok still has large amounts of personal data of Indians: report
India’s growth mirrors China’s trajectory over the next decade, with private consumption more than doubling to $4.5 trillion