BPCL commits to Rs 1.5 lakh crore in capital expenditure over 5 years
BPCL) on Monday said it will spend around ₹1.5 lakh crore in the next five years, towards its transformative initiative, 'Project Aspire'.
As part of Project Aspire, the oil marketing company will not only grow its oil business but also expand its renewable energy portfolio as it aims for a 2040 net-zero goal, chairman and managing director G Krishnakumar said at its 70th annual general meeting.
«The company has set a planned capex outlay of around ₹1.5 lakh crore in the next five years, which will enable BPCL to create long-term value for our stakeholders while preserving our planet for future generations,» Krishnakumar said at the meeting.
Krishnakumar also said BPCL would invest ₹1 lakh crore between now and 2040 for projects including green hydrogen, carbon capture, utilisation, and storage (CCUS) and on improving energy efficiency to cut emissions.
BPCL will also invest ₹10 lakh crore to set up 50 megawatts of captive wind power plants for its 240,000 barrels per day (bpd) Mumbai refinery and Bina refinery in central India.
The company hopes to own 1 gigawatt (GW) of renewable energy capacity by 2025 and 10 GW by 2040.
Bharat Oman Refineries' merger with BPCL has provided a significant boost to refining capabilities of the company, Krishnakumar said, adding that BPCL is expanding the capacity of its Bina Refinery from 7.8 MMTPA to 11 MMTPA, thereby securing its markets in northern and central India.
The capacity of the Bina refinery after the expansion will be around 220,000 barrels per day (bpd).
BPCL is also building a Rs 490-billion ethylene cracker at 156,000 barrels per day (bpd) at its Bina refinery. The ethylene cracker will raise the Bina refinery's share of petrochemicals in its business to 8%.
