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HPCL board gives nod for Visakh Refinery expansion

The Hindustan Petroleum Corporation Limited (HPCL) board has given the go ahead for expansion of its Visakh Refinery in the city vizag news image

Visakhapatnam: The Hindustan Petroleum Corporation Limited (HPCL) board has given the go ahead for expansion of its Visakh Refinery in the city. The project envisages expansion of capacity from the current 8.33 mmtpa (million metric tonne per annum) to 15 mmtpa and is expected to bridge the product gap between the refining and marketing volumes of HPCL.

According to HPCL, the project would involve a total capital cost of Rs 20,928 crore and would have bottom upgradation facility that will improve distillate yield on total refining capacity and thereby improve the GRM (gross refining margin). According to sources, the construction phase of the project is expected to take around 48 months.

HPCL received environmental clearance from the ministry of environment, forest and climate change in February this year, and the public hearing was held in June 2015. The proposed expansion project requires around 167.5 acres out of which 122.8 acre is located inside the existing refinery premises and the remaining 44.7 acre is located at the ATP (additional tankage project) plot.

The expansion project would include a new crude distillation unit of 9 mmtpa, slurry hydrocracker unit of 2.5 mmtpa, solvent de-asphalting unit of 2.5 mmtpa, full conversion hydrocracker unit of 3.3mmtpa, propylene recovery unit of 96 TPD (tonne per day), isomerisation unit of 292 ktpa (kilo tonne per annum), revamp of continuous catalytic cracker unit and revamp of hydro treating unit.

The total water requirement after the expansion project is expected to be around 1,538 cubic metre per hour out of which fresh water consumption will be 873 cubic metre, which would be supplied by the GVMC, whereas the remaining water will be from treated effluent/recycled effluent. In order to have better control in terms of liquid effluent treatment of the entire refinery effluent at a single location, HPCL has proposed to install a new state-of-the-art integrated effluent treatment plant, which would replace all the existing effluent treatment plants apart from treating additional effluent from the proposed expansion project.