Optimistic about the commercial commissioning of its Rs 350 billion refinery project at Paradip in Odisha "very very soon," the IOCL today said the entire world is looking at the project because of its volume and uniqueness.
"The Paradip refinery is an important project for us and we are going to commission it very very shortly. The entire world is looking at the project as IOCL has made it as the world's largest facility," IOCL Chairman B Ashok said.
Asked about the tax exemption for IOCL's refinery project, Ashok said "It will be applicable on sale of products within Odisha. Concession on VAT is only a deferment and we will pay it back to the state government after a certain period. VAT is not an issue as the state government has promised full support to the project." Stating that the state government was extremely supportive to the IOCL, Ashok said besides investment of Rs 350 billion in the refinery project, the oil major would invest around Rs 750 billion in associated projects.
"We also expect investment of equal amount by others in Paradip," Ashok said. "A lot more economic activities will follow in the state of Odisha and Paradip with commissioning of the refinery project," Ashok said adding, work would soon start for the Rs 30 billion Polypropylene project at Paradip. The IOCL refinery would produce 5.97 million ton of diesel, 3.4 million ton of petrol, 1.45 million ton of kerosene/ATF (Aviation Turbine Fuel), 5, 36,000 ton of LPG, 1, 24,000 ton of Naphtha and 3, 35,000 ton of Sulphur.