Indian Oil to Increase Gujarat Refinery Capacity by Mid-2026

Indian Oil Corporation (IOC) has confirmed plans to run its Gujarat refinery at increased capacity from mid-2026, as a part of its plan to diversify into petrochemicals and expand production capacity. The plan is in keeping with IOC's long-term objective of minimizing import dependence and fulfilling the rising demand for premium base oils and petrochemicals.

 

Points to Note:

✅ Increased Capacity: The capacity of the refinery will go up from 13.7 MMTPA to 18 MMTPA, aided by the ₹17,825 crore Petrochemical and Lube Integration (LuPech) Project.

✅ Focus on Petrochemicals: IOC is making an investment in producing polypropylene and butyl acrylate, the foundation stones for paints, adhesives, and textile industries, under the ₹5,894 crore Acrylics/Oxo-Alcohol Project.

✅ Strategic Objectives: The expansion is designed to balance declining fuel consumption and raise petrochemicals' share in IOC's portfolio from 5% to 15% by 2030.

✅ Environmental Considerations: The project features green energy programs and next-generation technologies for sustainable operation.

✅ Economic Gains: Experts predict that the expansion will enhance local job opportunities, accelerate economic growth, and improve India's energy security.

 

With these advancements, Indian Oil Corporation stands to redefine its operational model, guaranteeing long-term growth and sustainability in the changing energy paradigm.

 

Source: The Hindu BusinessLine