BPCL to begin pre-project work for greenfield refinery in Andhra

Bharat Petroleum Corporation Limited (BPCL) is all set to commence pre-project activities for establishing a greenfield refinery and petrochemical complex in Andhra Pradesh. The project, with an estimated investment of Rs 6,100 crore, underscores BPCL’s commitment to expanding its footprint on India’s east coast.

In its filing with the National Stock Exchange, BPCL outlined the pre-project activities, including land identification and acquisition, preparation of a Detailed Feasibility Report (DFR), Environmental Impact Assessment (EIA), Basic Design Engineering Package (BDEP), and Front-End Engineering Design (FEED). These preparatory steps will ensure a seamless execution of the ambitious project. The Andhra Pradesh government has designated Ramayapatnam in Nellore district as the site for the refinery, spearheaded by BPCL as part of a larger Rs 60,000 crore investment plan.

This project fulfills a critical promise made during the state’s bifurcation in 2014 and showcases Chief Minister N Chandrababu Naidu’s vision for industrial development. Following detailed feasibility studies and strategic evaluations of three potential locations—Srikakulam, Machilipatnam, and Ramayapatnam—the latter emerged as the ideal choice. Ramayapatnam offers significant strategic advantages, including proximity to a dedicated jetty at the upcoming Ramayapatnam port.

The refinery and petrochemical complex are expected to bolster Andhra Pradesh’s industrial landscape, providing a substantial boost to the local economy. BPCL’s announcement has also positively impacted its shares, which witnessed an uptick in trading following the news. This project is seen as a milestone in Andhra Pradesh’s industrial growth trajectory, reaffirming its position as a preferred destination for mega infrastructure projects.