CPCL is starting new projects to grow its business and income. It plans to produce pharma-grade hexane at a cost of ₹67.15 crore by upgrading its isomerisation unit with new technology. This project should be finished this quarter.
Another project aims to produce Group II/III lube oil base stocks. It has passed the first approval stage, and environmental clearance was given in January 2024. The final investment decision is still pending. CPCL is also studying how to improve its Fluid Catalytic Cracking Unit (FCCU) to increase propylene production. This study, started last year, will be finished soon.
Additionally, CPCL is examining the feasibility of a new unit to produce microcrystalline wax, with a report expected by September 2024. The company is installing a new 22-km desalination water pipeline and a 10-inch RO reject water pipeline between Manali Refinery and Ennore, costing ₹205 crore. This project should be done by September 2025. CPCL’s desalination plant at Kattupalli, opened in 2010, reduces freshwater use by using seawater.
CPCL is also developing a 9 mtpa refinery at Nagapattinam, Tamil Nadu. Preparatory work is underway, with the project expected to finish in 39 months after approvals. This refinery will produce Bharat Stage-VI petrol and diesel, and polypropylene. The project costs ₹36,354 crore, with 75% funded by IOCL and 25% by CPCL.
