CPCL Gears Up for Mega Expansion

Chennai Petroleum Corporation Ltd (CPCL) is embarking on a series of transformative projects aimed at boosting its portfolio and revenue. The company is set to invest ₹67.15 crore to develop a new isomerisation unit that will produce 35,000 mtpa of pharma-grade hexane. This upgrade, featuring advanced divided wall column (DWC) technology, is slated for completion this quarter, enhancing CPCL’s position in the high-demand pharmaceutical sector.

In another strategic move, CPCL is preparing to launch a project for Group II/III lube oil base stocks. The initiative has secured initial approval, with design and environmental clearances in place. The final investment nod is pending, marking a significant step towards diversifying the company’s product offerings.

CPCL is also enhancing its Fluid Catalytic Cracking Unit (FCCU) through a revamp study awarded to UOP. This project aims to optimize propylene production, with the final report expected soon. Additionally, a feasibility study for a new de-oiling unit to produce microcrystalline wax is underway, with results anticipated by September 2024.

In infrastructure, CPCL is investing ₹205 crore in a new 22-km desalination pipeline to bolster water supply at its Manali Refinery. Scheduled for completion by September 2025, this project reinforces CPCL’s commitment to sustainable resource management.

The company's ambitious plans extend to a 9 mtpa refinery at Nagapattinam, Tamil Nadu, with a projected cost of ₹36,354 crore. Site preparations are underway, and the refinery will produce Bharat Stage-VI fuels and polypropylene, enhancing CPCL’s strategic footprint in the sector.

News by Rahul Yelligetti