Global financial crunch may impede progress on IOC's petrochem projects

17-Oct-08

The new petrochem projects in the pipeline for state-owned Indian Oil Corp may be affected due to the crippling global financial situation. The company is making preliminary assessments on its planned oil refinery processing units at Haldia (120,000 bpd) and Mathura (160,000 bpd) refineries. Also in the pipelines are petrochemical units at Gujarat plant (274,000 bpd) to produce PX/PTA and Haldia plant. According to a senior executive, an improvement in global economic situation was required for timely implementation of the projects planned. Nevertheless, IOC's projects including Orissa's Paradip refinery (300,000 bpd), Panipat's refinery expansion and a naphtha cracker will not be affected as the financing of the projects was already finalized.