Indian state-owned refiner Bharat Petroleum (BPCL) has begun initial operations at its new 120,000 b/d Bina refinery in partnership with state-owned Oman Oil.
The sole 120,000 b/d crude distillation unit was commissioned on 29 June, with the refinery starting to produce kerosine and LPG. All other units of the refinery will be commissioned sequentially and full commercial production should start by September, the company said.
While the $2.5bn Bina venture in landlocked Madhya Pradesh state has started up six months later than planned, the project has been planned as far back as 1995. The Asian financial crisis of 1997-98, India's refinery overcapacity and a lack of funding all contributed to hold up progress on the Bharat Oman Refineries joint venture. Bina will use a 935km pipeline to the Gujarati port of Vadinar to access predominantly Saudi crude.
Bina will produce mostly middle distillates and its debut is timely with India's shift to tighter fuel specifications. Indian refiners are having to import more low-sulphur diesel and gasoline because of a shortage of domestic supplies. Delhi's move last month to remove subsidies from gasoline and diesel is another fortunate piece of timing for Bina.
The sole 120,000 b/d crude distillation unit was commissioned on 29 June, with the refinery starting to produce kerosine and LPG. All other units of the refinery will be commissioned sequentially and full commercial production should start by September, the company said.
While the $2.5bn Bina venture in landlocked Madhya Pradesh state has started up six months later than planned, the project has been planned as far back as 1995. The Asian financial crisis of 1997-98, India's refinery overcapacity and a lack of funding all contributed to hold up progress on the Bharat Oman Refineries joint venture. Bina will use a 935km pipeline to the Gujarati port of Vadinar to access predominantly Saudi crude.
Bina will produce mostly middle distillates and its debut is timely with India's shift to tighter fuel specifications. Indian refiners are having to import more low-sulphur diesel and gasoline because of a shortage of domestic supplies. Delhi's move last month to remove subsidies from gasoline and diesel is another fortunate piece of timing for Bina.
