HPCL inks JV pact with Rajasthan Govt for Barmer refinery

Hindustan Petroleum Corporation Ltd has inked joint venture agreement with Government of Rajasthan for the upcoming refinery in Barmer at a cost of Rs 43,129 crore, reported a leading business daily.

According to the agreement, HPCL will command 74% stake in the JV, HPCL Rajasthan Refinery Ltd, while the state government will hold remaining 26%.

The Chief Minister Vasundhara Raje said that as a result of the renegotiation with HPCL, a significant savings of Rs 40,000 crore have been ensured in the project cost. She said that under the new conditions, the state will now get 12% return on investment (investment income) than the 2% fixed in the previous agreement.

Raje said that Barmer refinery will be the country’s first refinery project to manufacture petro-products of BS-6 standard and will be an environmentally friendly project.

Meanwhile, the stock on bourses gained 0.75% at Rs 437.40 per share attracting a total traded quantity of 0.47 lakh shares..

 Click Here For Free Trial:-