Indian Oil Corporation (IOC) is planning to buy equity stake in Nagarjuna Group’s six million tonne a year Cuddalore refinery.
Nagarjuna Oil Refinery (NORL) holds 46.78 per cent of the equity share capital of Nagarjuna Oil Corporation (NOCL). Tatas too are a shareholder in the refinery.
The six million tonne refinery is the first phase of a Rs 25,000 crore project that will have an ultimate capacity of 12 million tonne.
The project was delayed due to damages caused by a cyclone some years back as well as funding problems due to global economic slowdown later.
The project originally involved relocation of an existing refinery of Mobil, Germany with total refurbishment, revamp, upgradation and modernisation, coupled with addition of several new plants and equipments including captive power plant and captive port terminal.