Engineers India Limited wins contract for Cauvery Basin Refinery Project
Engineers India Limited (EIL) said that it has bagged a contract worth INR 1,039 crores ($140 million) pertaining to the Cauvery Basin Refinery Project in Tamil Nadu from the Chennai Petroleum Corporation Limited (CPCL).
The contract is for executing the engineering, procurement and construction management-1 (EPCM-1) with MPMC and EPCM-3 services for the 9 million metric tonnes per annum (MMTPA) petroleum refinery project at Nagapattinam.
According to Engineers India Limited, the total project schedule is 42 months for mechanical completion.
The project will be an expansion of the Cauvery Basin Refinery in Panangudi. The new refinery, which is expected to cost INR 31,580 crores ($4.33 billion), had broken ground in February 2021.
Engineers India Limited wins contract for Cauvery Basin Refinery Project. Photo courtesy of SatyaPrem from Pixabay.
The existing refinery of Chennai Petroleum Corporation Limited, which was established in 1993, currently has a capacity of 1MMTPA. It will be dismantled by the company.
The Cauvery Basin Refinery Project will also have a crude processing unit along with other secondary processing units for processing petroleum products. It will have a polypropylene unit as part of petrochemical integration with a potential to increase petrochemicals units in future.
Chennai Petroleum Corporation Limited is expected to begin operations of the expanded Cauvery Basin Refinery Project by 2024. The company is a fully-owned subsidiary of Indian Oil Corporation (IndianOil).