The country's biggest oil firm Indian Oil Corporation (IOC) will invest Rs 2 lakh crore in next 5-7 years to expand refining and petrochemical capacities in order to maintain leadership position, through greenfield and brownfield expansions, Chairman Sanjiv Singh has been reported to say as per PTI.
The plan is to almost double its oil refining capacity to 150 mln tpa, expand fuels and LPG retailing network, jack up petrochemical production capacity and produce more crude oil and gas. The company currently is India's largest oil refiner with a group refining capacity of 80.7 mln tpa. IOC also wants to raise petrochemical production capacity to 13 mln tons from the current 3.15 mln tons. It is expanding Panipat naphtha cracking capacity and plans to set up new chemical projects in Gujarat, Paradip and Panipat.Also, the company is looking at rapid expansion in natural gas retailing by investing Rs 10,000 crore over the next eight years. IOC wants to triple current market share in gas business and expand its presence in city gas to 60 geographical areas from current 40.
IOC also plans to expand its presence in upstream oil and gas exploration and production (E&P) by investing in oil-rich countries in the Middle East and Central Asia and acquiring producing assets. Its stakes in oil and gas fields in 10 countries such as Russia, UAE, the USA and Venezuela, currently give 4.39 mln tons and the plan is to raise this to 7 mln tons by 2023-24 and further to 11 mln tons by 2030, the annual report said. While continuing expansion of its petrol pump and LPG distribution agencies, the firm will focus on retailing in rural markets to expand its marketing. It will automate and modernise fuel stations as well as set up electric vehicles (EV) charing stations.
IOC said it also plans to increase its overseas footprint to 8% of turnover with additional regional hubs in South Africa and Nigeria and agents/distributors in 20 countries to scout for new business.