Nayara Energy to set up two ethanol plants for ₹600 crore
Nayara Energy is planning to invest ₹600 crore to set up two ethanol manufacturing plants in the country, said a senior company executive.
Each plant will have a production capacity of 200,000 kilo litres of ethanol per day. These will be set up in Andhra Pradesh's Naidupeta and Madhya Pradesh's Balaghat, and are slated for commissioning by 2026. The company will use broken rice and maize for feedstock. In the long run, the company plans to have five ethanol manufacturing plants.
«We have big plans on the ethanol front. By 2025, we have to blend 20% ethanol, so we have a mission for 100% sourcing. We aim to have at least five ethanol plants in the long term but to start with, we are setting up two,» said Prasad Panicker, executive chairman at Nayara Energy.
Nayara Energy, which runs a 20-million-metric-tonne capacity oil refinery at Vadinar in Gujarat, is set to open a polypropylene unit in the same facility. The company is investing ₹6,000 crore to set up a petrochemical unit with annual capacity of 450,000 tonnes. It is also investing ₹4,000 crore in modernising the refinery to improve its lifespan and reliability. These investments will be made till 2026.
Nayara Energy has 8% share each in India's refining capacity and the domestic fuel retailing markets as well as another 7% in petrochemicals.
«For the last five to six years, we have achieved reasonably good growth both in our retail business, our expansion to petrochemicals, and also having operating one of the most complex refineries,» said Panicker,
