New Delhi, Dec. 5: Mangalore Refinery and Petrochemicals Ltd (MRPL) plans to invest Rs 11,000 crore to raise the refining capacity to 25 million tonnes (mt) against an earlier proposal of 21mt as part of its ambitious target to clock Rs 5,000-crore profit by 2022.
The company is also looking to scale up its petrochemical capacity to clock higher margins, MRPL managing director H. Kumar said.
"We have asked Engineers India Ltd to do a feasibility study for the expansion of our refining capacity from 15mt. Previously, we were targeting 21mt, but now, we are exploring if 25mt can be done," he said.
MRPL, a subsidiary of state-owned Oil and Natural Gas Corporation, is ready to produce Euro-VI fuel, and the planned expansion is part of its Vision 2022 with a target of Rs 5,000 crore net profit and local sales of 5mt.
It had reported a net profit of Rs 1,148.16 crore on a turnover of Rs 39,647.44 crore in 2015-16.
"The expansion is subject to availability of land. A 1,050-acres land parcel adjacent to our refinery has been identified and the acquisition process will now start," he said.
ONGC plan
In 2019, ONGC will begin producing oil from the Ratna and R-Series fields in Mumbai offshore, which it won back after the government cancelled the award to Essar Oil.
"We are working on a development plan and investment approvals will be sought in a month's time," ONGC director (offshore) Tapas Kumar Sengupta said.
Production form the fields is targeted to start in 2019 with an output of 10,000 barrels per day initially.
