Cash-and-carry supply of naphtha likely

CHENNAI, MARCH 17. `Make the payment and take the naphtha' is the message that Chennai Petroleum Corporation Limited is likely to convey to Madras Fertilisers Limited, whose dues to the refinery total about Rs.120 crores. "We will allow them (to lift naphtha) on a cash and carry basis," the CPCL Managing Director, S.V. Narasimhan, said in response to queries at a press meet at the company's refinery in suburban Manali on Wednesday. Stating that the refinery would take a final decision on the issue in a few days, he said CPCL was expecting about Rs. 65 crores from its neighbouring fertilizer unit. But, "As of today MFL could not get the (urea) subsidy." CPCL normally extends one month credit, he added. In late January, CPCL had threatened to stop the naphtha supply leading to a possible shutdown of the MFL unit on February 1.

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