BPCL pays ₹5 crore to Kochi Corporation

For permit to replace old pipeline

May 21, 2017 09:04 am | Updated 09:04 am IST - KOCHI

Bharat Petroleum Corporation Limited (BPCL) has paid ₹5 crore to Kochi Corporation as part of an agreement connected with the grant of permission to replace its old pipeline from the South Tanker Berth Jetty to BPCL Kochi Refinery.

A cheque for ₹5 crore was handed over to Mayor Soumini Jain by Prasad K. Panicker, Executive Director, BPCL Kochi Refinery, on Saturday, in the presence of K.V. Thomas, MP; Hibi Eden, MLA; and others, said a release issued here.

The new 20-inch insulated pipeline that is to replace the old 30-inch crude pipeline would help Kochi Refinery transport not only diesel, petrol or crude oil but also high viscous petroleum products like vacuum residue and vacuum gas oil from other refineries in the country and process these into value-added products. Since most of the other Indian refineries do not have bottom upgradation capabilities, this business model would help the country produce additional value-added products.

The ₹5 crore was being contributed towards the Corporation’s developmental activities.

After execution of the project, Kochi Refinery will also pay restoration charges to the Corporation for restoring any damaged roads. The Corporation will also use this fund for restoration.

The pipe line would be laid in small stretches of 50 m to100 m simultaneously in multiple locations in coordination with district administration, Kochi city police, Corporation and other agencies to minimise the inconvenience caused to the public, the release said. Modern trenchless technologies and other drilling methods would be used to also speed up the work.

Kochi Refinery is one of the few refineries in India capable of processing the heavy high viscous crude oil from the Barmer oil fields in Rajasthan.

The pipeline will help Kochi Refinery in processing the indigenous crude oil at a much lower cost.

The new arrangement will also facilitate the import of diesel or petrol from other locations in case of any product shortage due to shut down of the refinery units for maintenance or any other reason and also the export of surplus products produced when the plants are running at the full expanded capacity, the release claimed.

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