Mumbai: Bharat Petroleum Corporation Limited (BPCL), one of the leading companies in the petroleum sector in India, has announced the merger of its subsidiary, refinery Bharat Oman Refineries Limited (BORL). BORL amalgamates with Bharat Petroleum Corporation (BPCL)
The merger is expected to be mutually beneficial for both companies. While BPCL and Annie Group companies have significant operations in the upstream, refining and downstream value chains in the oil and gas industry, BORL offers security and logistics benefits to production in North and Central India through a network of pipelines. That is why non-refineries are strategically important in BPCL’s efforts to meet the demand for petroleum products in the hinterland.
Also there are some major advantages of buying crude oil – cost effective purchase of crude oil, flexibility in selection of crude feedstock, effectiveness in product mixing for product planning / refinery.
In this regard, Arun Kumar Singh said, “As the energy sector is undergoing major changes, BPCLA has a clear plan to expand its operations in all categories of the energy sector and for future growth and sustainability.” With the merger of Bina Refinery, we will be able to compete in a rapidly changing energy market for greater efficiency and profitability. ”
Without the refinery will have unrestricted access to BPCL’s marketing network to empty its products. Several renewable energy products, a 1.2 MMTPA ethylene cracker unit and a petrochemical infrastructure have been conceived for large land personnel, available without a refinery. Financial closure will occur quickly after the merger as these projects involve higher costs. They will also have access to BPCL’s support functions, business processes and talented people.
While Bharat Petroleum’s refineries at Mumbai, Kochi and Bina have a combined refining capacity of about 35.3 MMTPA, its marketing structure includes a network of installations, depots, retail outlets, aviation service stations and LPG distributors.
Its distribution network consists of more than 20,000 retail outlets, more than 6,100 LPG distributorships, 733 lubes distributorships, 123 POL storage locations, 53 LPG bottling plants, 60 aviation service stations, 3 lube blending plants and 4 cross-country.
A variety of refineries without refineries process 47 types of crude and have recently started production of mineral turpentine oil. The refinery is proud of the integrated flower conversion hydrocracker and diesel hydro-treater, the first of its kind in India and is proud of the delayed coker rather than upgrading the bottom of the barrel.