The board of Indian Oil Corp has approved a final investment of Rs 29,777 crore for a 15 mln ton refinery project. Rs 9,800 crore will be funded domestically by a SBI-led consortium of 20 banks, Rs 4,000-5,000 crore will be raised through foreign funds. The external funding would be mainly used for buying equipment for the project, which would be sourced from the international market.
The company has not set any timeline for tapping overseas markets for the project. The refinery project is to be commissioned in phases. In the initial phase the primary unit of the refinery crude distillation unit and naphtha cracker, sulphur recovery unit and diesel hydro treater will be commissioned by March 2012. Total commissioning of the refinery is expected by June 2012.