BPCL Kochi Refinery is betting big on petroleum products exports to shore up its revenue. The company has earmarked an investment worth ₹70 crore to expand its existing export pipeline network from the refinery premises to Cochin Port to enable more flexibility in the supply of products for shipments.
The company had looked beyond the domestic market and targeted exports following a drop in demand during pandemic times.
In the current year, BPCL has made shipments of diesel and motor spirit to countries such as Bangladesh, South Africa, South Korea, Singapore and Malaysia by utilising the facilities at Cochin Port Trust, said TV Karunanidhi, General Manager, Oil Movement and Storage, BPCL, at a function organised by the Cochin Port Trust on PM Gati Shakthi National Master Plan on multi-modal connectivity.
Later, while talking to BusinessLine on the sidelines of the event, he said, “We now have an opportunity to ship more products to overseas destinations thanks to the infrastructure facility and connectivity by pipeline between the oil jetties and the refinery. This will give the company an opportunity to export products in case of requirements in the future.”
The prevailing situation has given the company more opportunities to explore overseas markets and the expansion of the pipeline network was based on emerging market trends. Work in this regard has already started and the expanded facility will be ready for operations by next year, Karunanidhi said.
Domestic demand back up
However, Karunanidhi went on to add that with the dropping of Covid cases, there is a revival in domestic demand by 95 per cent and so presently the company is now focussing on meeting the requirements.
It is also exploring measures to extend product pipeline from the Cochin Oil Terminal to the proposed Multi-User Liquid Terminal of Cochin Port Trust at Puthuvypeen as its commissioning will open the scope to handle various other petroleum products. This will pave the way for BPCL to handle more ships of exports and coastal cargoes when the Cochin Oil Terminal is occupied. BPCL is also exploring a crude oil handling facility at MULT which can be used to receive crude oil in Puthuvypeen shore tank farm at the time of adverse weather conditions at Single Point Mooring of BPCL in the outer sea, he added.
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.