State owned oil and gas company Indian Oil Corporation Ltd (IOCL) said that it has entered into a joint venture with Bharat Petroleum Corporation Ltd (BPCL) and Hindustan Petroleum Corporation Ltd (HPCL) for the implementation and operation for a 2,757-km long LPG pipeline from Kandla, Gujarat to Gorakhpur, Uttar Pradesh.
While Indian Oil Corporation will hold 50% stake in the joint venture, Bharat Petroleum Corporation and Hindustan Petroleum Corporation will hold 25% stake each in the JV.
The new pipeline will source product from Kandla and other LPG import terminals on the West Coast and two refineries at Koyali in Gujarat and Bina in Madhya Pradesh. It would also directly link 22 LPG bottling plants including three in Gujarat, six in Madhya Pradesh and 13 in Uttar Pradesh.
In addition, the pipeline will also feed LPG through road-bridging to an additional 21 bottling plants in Rajasthan, Gujarat, Maharashtra, Madhya Pradesh and Uttar Pradesh.
The new proposed pipeline is also expected to provide reliability in the supply chain of LPG, said Indian Oil Corporation.
Headquartered in New Delhi, Indian Oil Corporation Ltd, commonly known as IndianOil, is the largest commercial oil company in the country with a turnover of Rs 506,428 crore and a net profit of Rs. 21,346 crore in 2017-18.
Indian Oil Corporation Limited, together with its subsidiaries, engages in refining, pipeline transportation and marketing of petroleum products in India. It is also involved in the exploration and production of crude oil and gas and marketing of natural gas and petrochemicals.