Jaipur: REC Limited has extended a loan of ₹ 4,785 crores to HPCL Rajasthan Refinery Limited (HRRL) to set up a greenfield refinery with a petrochemical complex in Rajasthan’s Barmer district. This loan is part of a consortium arrangement of ₹ 48,625 crores, where REC Limited’s contribution is ₹ 4,785 crores. The refinery cum complex aims to have a production capacity of 9 Million Metric Tonnes per Annum (MMTA), and will require a total project cost of ₹72,937 crores.
HRRL is a Joint Venture company of Hindustan Petroleum Corporation Limited (HPCL) and the Government of Rajasthan, incorporated on 18th September 2013. HPCL owns 74% of HRRL while the Government of Rajasthan holds the remaining 26%.
The project involves setting up an energy-efficient and environment-friendly refinery cum petrochemical complex with a capacity of 9 MMTPA; along with a pipeline for transportation of both Rajasthan Crude and imported crude, a pipeline for water transportation to the refinery site, a captive Power Plant for the refinery power and steam requirement; crude and product storage facilities; and township and allied facilities and utilities.
Clean fuels such as BS-VI grade Motor Sprit (MS or Petrol) & BS-VI grade High-Speed Diesel (HSD or Diesel) and Petrochemical products such as Polypropylene, Butadiene, LLDPE, HDPE, Benzene and Toluene will be produced.
The Project aims to serve the increased demand for petroleum and petrochemical products in the country and the Western, Northern and Central parts of India in particular.
REC Limited, a Maharatna CPSU under the Ministry of Power, is an NBFC focusing on Power Sector Financing and Development across India. Established in 1969, REC Limited has completed over fifty years of operations. It provides financial assistance to state electricity boards, state governments, central/state power utilities, independent power producers, rural electric cooperatives and private sector utilities. Its business activities involve financing projects in the complete power sector value chain; for various types of projects including Generation, Transmission, Distribution and Renewable Energy. REC’s funding illuminates every fourth bulb in India.
