With Petronet LNG Limited (PLL), company floated by ONGC, Indian Oil, Bharat Petroleum and GAIL to import liquefied natural gas and facilitate re-gasification, scouting for prospective partners in its terminal coming up at Gangavaram Port, there is buzz that oil major HPCL might pick up eight per cent stake in the project.
Andhra Pradesh government has given all the clearances post-bifurcation for the Rs. 4,500-crore project to have five million tonnes in the first phase. In the next phase, it will double the capacity by investing another Rs. 4,500 crore to Rs.5,000 crore.
Industry sources said 24 per cent stake in the project is up for grabs. While Petronet sources indicated they were confident of roping in HPCL, an official of HPCL told The Hindu that no final decision had been taken yet. While confirming discussions with PLL to explore partnership, he said it was premature to indulge in any speculation.
PLL has 40 million tonnes capacity at Dahej terminal in Gujarat and five million tonnes at Kochi in Kerala. Visakhapatnam facility will be its third terminal and the first on the East Coast.
HPCL has Visakh Refinery in the city, one of the premier refineries in the country with a capacity of 8.3 million tonnes and plans to expand its capacity to 15 million tonnes.
HPCL is also negotiating with AP Industrial Infrastructure Corporation to get suitable land near Nakkapalli or Atchutapuram for setting up a Greenfield 15 million tonne refinery-cum-petrochemical complex as part of petroleum corridor being developed between Visakhapatnam and Kakinada. Visakh Refinery, which suffered severe damage in the aftermath of Hudhud cyclone, has decided to rebuild its cooling tower.
