Chennai Petroleum Corp Ltd (CHPC.NS) said on Tuesday it has formed a joint venture with its parent company Indian Oil Corp (IOC.NS) and others to build a 9 MMTPA refinery at a cost of 315.80 billion rupees ($3.95 billion) in southern Tamil Nadu state.
CPCL, in which National Iranian Oil Company has about 15% stake, was operating a small refinery at the Cauvery Basin at Nagapattinam, where the new plant will be located.
The new refinery will come up after dismantling the existing 1 million metric ton per annum (MMTPA) refinery, according to CPCL’s website, and will produce liquefied petroleum gas, BS VI quality gasoline, diesel and aviation turbine fuel.
CPCL will hold 25% stake in the new refinery for an investment of 25.70 billion rupees, while IOC and other seed equity investors including Axis Bank (AXBK.NS), HDFC