Archive · 28 Oct 2025
BPCL and Oil India to Build Rs 1 Lakh Crore Refinery in AP
Two big oil companies, BPCL and Oil India, are planning to build a giant new oil refinery and a place to make plastics in southern India.
This huge project will cost about $13 billion and will help India make more of its own fuel and plastics.
They also signed deals to build a long oil pipeline to move fuel more easily and to work together to sell eco-friendly fertilizers made from garbage.
These plans are part of India's effort to be more independent in energy and to use waste to create energy and products.
BPCL and Oil India have agreed to jointly build a refinery and petrochemical complex in Andhra Pradesh with an investment of Rs 1 lakh crore.
The new refinery is expected to have a capacity of 9-12 million tonne per annum and will be a key part of India's downstream expansion.
The project has secured 6,000 acres of land and necessary government clearances, with pre-project activities underway.
Separate agreements were also signed for a Rs 3,500-crore cross-country pipeline and for marketing organic fertilizers from BPCL's biogas plant.
These collaborations aim to enhance India's self-reliance in fuels and petrochemicals and support the nation's energy security.
- Who
- Bharat Petroleum Corporation (BPCL) and Oil India (OIL)
- What
- Signed a non-binding agreement to develop a refinery and petrochemical complex, and also signed agreements for a cross-country product pipeline and fertilizer marketing.
- When
- Tuesday
- Where
- Andhra Pradesh (for the refinery), and Siliguri to Mughalsarai for the pipeline.
- Why
- To expand India's downstream sector, reinforce self-reliance in fuels and petrochemicals, facilitate efficient petroleum product evacuation, and support sustainable agriculture and green fuel initiatives.
- Project Investment
- Rs 1 lakh crore
- Location
- Andhra Pradesh
- Refinery Capacity
- 9-12 million tonne per annum
- Land Acquired
- 6,000 acres
- Pipeline Project Cost
- Rs 3,500 crore
- Pipeline Route
- Siliguri (West Bengal) to Mughalsarai (Uttar Pradesh)
- Biogas Plant Location
- Brahmapuram, near Kochi refinery