Indian Oil Corporation (IOC), the nation's largest oil firm, on Thursday said it would invest Rs 740.2 crore in raising the capacity of its Digboi Refinery in Assam from 0.65 million tonne per annum to 1 million tonne per annum.
In a regulatory filing, IOC said: "The Board of Indian Oil at its meeting held on June 28, 2022, has accorded investment approval for capacity expansion of Digboi Refinery in Assam from 0.65 mtpa to 1 mtpa along with associated facilities at an estimated cost of Rs 740.2 crore."
"The project is expected to be commissioned by October 2025. The capacity expansion would improve the profitability of the Digboi Refinery," it said.
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Previously owned and operated by the Assam Oil Company/Burmah Oil Company, it came into the IOC fold by an Act of Parliament on October 14, 1981, and became the Assam Oil Division of the company.
According to the IOC website, the refinery processes waxy crude extracted from oil fields operating in areas nearby Digboi. It also started processing crude condensate in 2018.
Digboi refinery's current product portfolio includes LPG, petrol and diesel, fuel oil and sulfur. IOC is the nation's largest oil refining and fuel marketing company. It owns and operates 10 oil refineries with a cumulative capacity of 80.55 million tonnes per annum.
This makes up for about 32 percent of India's oil refining capacity of about 250 million tonne. IOC is the nation's largest oil refining and fuel marketing company. It owns and operates 10 oil refineries with a cumulative capacity of 80.55 million tonne per annum.
Shares of Indian Oil Corporation ended at Rs 74.25, down by Rs 35.55, or 32.38 percent on the BSE.
