http://ampersand.in/images/abou_img_03.jpg

Kochi is home of one of Country's biggest refinery facility, Bharat Petroleum owned by Kochi Refineries as well as Country's second LNG Terminal owned by Petronet.

Both the organizations has announced some big projects for the city, which includes Rs 20,000 crore worth Refineries Capacity up-gradation and enhancing capacity of LNG Facility.

This thread is to discuss news, informations and pics about these projects.

Rs 20,000 crore worth investments in Kochi Refineries

The union minister for petroleum and natural gas S Jaipal Reddy dedicated to the nation the Rs 4000 crore capacity expansion and modernization project phase II of Bharat Petroleum Kochi Refinery on Friday. The project envisages refining capacity expansion from 7.5 million tones to 9.5 million tones making BPCL KRL fully equipped to make euro III grade petrol and diesel . With this, the total refining capacity of the BPCL group now stands at 30.5 million tonnes

BPCL KRL is poised for further expansion to 15.5 million tonnes along with a foray into petrochemicals segment. This project envisages an investment of Rs 20,000 crore. Kerala chief minister Oommen Chandy, who was present at the meeting, said the company had requested for special concession of deferment of sales tax for 15 years for the proposed expansion. The chief secretary is already looking into the matter and is expected to submit a report soon, Oommen Chandy said.

Later talking to newspersons Jaipal Reddy said the regassified LNG terminal at Kochi is in an advanced stage of construction under the aegis of Petronet LNG. The Rs 4200 crore project is expected to be completed by 2012 and will provide 4500 mw of power.

On the request of the chief minister for allotment of domestic gas to Kerala, Jaipal Reddy said it will be discussed by an empowered group of ministers

http://economictimes.indiatimes.com/news/news-by-industry/energy/oil-gas/bpcl-kochi-refinery-poised-for-rs-20000-crore-expansion/articleshow/10444228.cms

Kochi Refineries Upgradation Phase 3 will make into country's largest Public sector Refinery

Bharat Petroleum Corporation Ltd's (BPCL) Kochi Refinery is set to expand its capacity to 15.5 million metric tons per annum (mmtpa), at an estimated cost of Rs.12,500 crore. On commissioning it is expected to be the largest public sector refinery in the country.

Union Minister for Petroleum Jaipal Reddy would dedicate to the nation the BPCL-Kochi Refinery's expanded capacity of 9.5 million metric tons per annum (mmtpa) on Friday. (The work was taken up under the capacity expansion and modernisation phase II project. It is part of the major capacity enhancement project).

Rs.300 crore used

The major project, work on which had already started, would be completed in 2015-16. The company had spent Rs.300 crore on identifying the right process and getting the process licence for capacity expansion.

The new project required about 200 acres of land, which was being made available from the housing colony of the refinery. Land preparation work would begin soon.

Employment

The project would employ nearly 10,000 people in the construction phase and 1,000 person on commissioning.

The refinery would also set up a petrochemical complex, which would involve many derivatives-based industries. Joint ventures for the down-stream industries were expected to bring in investments to the tune of Rs.6,500 crore.

Kochi Refinery Executive Director E. Nandakumar told The Hindu on Tuesday that that initial work on capacity expansion was progressing well.

“Kochi refinery has undertaken an ambitious expansion plan to enhance refining capacity to 15.5 million metric tons per annum (mmtpa) and also to diversify into petrochemical manufacturing for value addition,” said information on the Union Petroleum Ministry's website.

Indian Oil Corporation's Panipat refinery was the largest public sector refinery in the country. However, the biggest refiners in the country were Reliance Industries and Reliance Petroleum, which had facilities in Jamnagar, Gujarat, with capacities of 33 million tons and 27 million tons a year respectively.

Plan

There are a total of 21 refineries — 17 in the public sector, of varying sizes in the country. Their combined capacity is nearly 200 million tons a year.

The Ministry's plans for public sector refineries included capacity addition of 27 million tons over the next five to six years.

In the short-term, India planned 110 million tons a year of additional capacity, involving an investment of $ 22 billion.

http://www.thehindu.com/todays-paper/tp-national/article2550434.ece

del

The capacity of Bharat Petroleum Kochi Refinery would be expanded to 15. 5 million tonne per annum in five years at an investment of R20,000 crore, union minister of petroleum and natural gas S Jaipal Reddy said while inaugurating the second phase expansion of the refinery. The second phase Capacity Expansion & Modernisation Project - Phase II (CEMP-II) would help it refine an additional 2 mtpa.

The R4,000-crore investment enhances the refinery’s capacity from 7.5 mtpa to 9.5 mtpa. This is probably one of the largest capital investments in Kerala and equips the refinery to produce Euro III and Euro IV compliant fuels.

With this upgrade, the total refining capacity for the BPCL group now stands at 30.5 MTPA, company sources said.

The first phase was completed in 2005 .The refinery is at present fully equipped to make Euro-III grade petrol (motor spirit or gasoline) and partly conform to the Euro IV standard for diesel. The newly commissioned facilities will help in improving the fuel quality and reduce environmental pollution. A captive power Plant having a generation capacity of 36 Mega Watts is another feature of the project. In addition, auxiliaries, utilities and offsite facilities such as boilers, tankages and despatch facilities for catering to additional requirements have been set up.



http://www.financialexpress.com/news/BPCL-to-increase-Kochi-refinery-capacity-to-15-5-mtpa/863799/

Public sector Bharat Petroleum Corporation (BPCL) plans to set apart Rs 20,000 crore for further enhancing the capacity of Kochi Refinery (KRL) at nearby Ambalamugal and for setting up a petrochemical complex, Union Petroleum Minister S Jaipal Reddy said today.

"There is an ambitious proposal for BPCL to increase the capacity further. They also want to go in for a petrochemical complex. We will have to discuss with the state government. Talks in this regard are going on," Reddy said after dedicating to the nation the Rs 4,000 crore expanded capacity and modernised facilties of the BPCL-KRL refinery.

With the project's completion, the refining capacity has been enhanced to 9.5 million metric tonne (MMT) per annum from 7.5 MMT. There are plans to increase this further to 15.5 MMT.

The capacity expansion and modernisation project Phase II of the project at a total cost of Rs 4,000 crore is one of the largest capital investments in Kerala.

The Rs 4,200 crore Regasified Liquified Natural Gas (RLNG) terminal coming up at Puthu Vype was at an advanced stage of construction and would be commissioned by next year, the minister said.

This would be the biggest in the country and the first in South India and would be able to produce 4500 MW.

It will have a capacity of 18 MMSCMD (Million standard cubic feet per day) and would be a great boon for industries based on natural gas, said Reddy,who visited the project site.

The country's refining capacity has presently increased by more than three times to 193.38 MMT per annum from 62 MMT per annum in 1998. It is likely to increase to more than 230 MMT per annum by the end of 2012-13, Reddy said.

Chief Minister Oommen Chandy said BPCL has asked the state for 'special concessions' for deferment of sales tax for 15 years.

The government has entrusted the Chief Secretary to look into this and a decision would be taken soon after receiving the report, he said, adding, "there is no doubt that there will be a positive approach.Capacity expansion and new projects would throw up more job opportunities."

http://business-standard.com/india/news/bpcl-plans-to-set-apart-rs-20000-cr-for-kerala-projects/149511/on

http://epaper.mathrubhumi.com/epaperimages/22102011/22102011-md-ek-1/32522968.JPG

Union Petroleum Minister Jaipal Reddy pressing Kerala's biggest investment till date- The Rs 4000 crore Refinery Phase 2 Project

The Indian Oil Corporation officials clarified to Union Petroleum Minister, that they are still considering IOC LPG Terminals seriously. They said that the current file in under Ministry of Environmental Affairs for Environmental clearance and all issues for environmental clearance has been resolved recently.

The Union Petroleum Secretary and Chairman for Petronet, G.C Chaturvedi said that he believes the works of IOC LPG Terminal will soon able to start.

So if things go smoothly, another mega project in form of LPG terminal will be seen at Kochi soon.....:banana::banana::banana:

Union Minister for Petroleum and Natural Gas S Jaipal Reddy on Friday said the Liquified Natural Gas (LNG) terminal at Kochi will be commissioned in 2012. Reddy said the LNG terminal was in an advanced stage of construction under the aegis of Petronet LNG. Stating that the terminal was the biggest in the country and the first one in South India, Reddy said the terminal would have a capacity of 38 MMSCMD a day when completed.

Asked if his ministry proposed to do away with subsidy of diesel, he said: "I cannot remove subsidy element from diesel for any particular thing. We do not want to add to the sufferings of the farmers, road transport and railways. What I had said in Delhi was to impose duty on diesel-run passenger vehicles.’’

On the allegations that the petrol prices had never gone down in the country with respect to the global crude prices, Reddy said it was not true. On lowering the taxes for bringing down the price of petroleum products, he said the government had recently reduced the taxes. "But there is a limit to reducing the taxes,’’ he said.

Refuting the allegation that oil companies spending more on advertisements and other things as one of the reasons for the escalating petro prices, Reddy said it was only a misconception. Around 90 per cent of the cost production was for buying crude oil and only 10 percent was used. Reddy also promised Chief Minister Oommen Chandy, who was present at the press conference, of taking up the issue of allocation of domestic gas to the state.

"There is an empowered group of ministers who deal with the issue of allocation of domestic gas. I will present CM’s proposal before them,’’ he said.
Chandy said that the government would seriously look into the BPCL’s proposal for deferring of sales tax for 15 years for the proposed petrochemical complex and also for enhancing the capacity.

"The Chief Secretary has been asked to look into the proposal and we would take a positive approach,’’ he said.

http://ibnlive.in.com/news/kochi-lng-terminal-to-be-commissioned-in-2012/195421-60-122.html

Union Minister for Petroleum and Natural Gas S Jaipal Reddy on Friday said the Liquified Natural Gas (LNG) terminal at Kochi will be commissioned in 2012. Reddy said the LNG terminal was in an advanced stage of construction under the aegis of Petronet LNG. Stating that the terminal was the biggest in the country and the first one in South India, Reddy said the terminal would have a capacity of 38 MMSCMD a day when completed.

Asked if his ministry proposed to do away with subsidy of diesel, he said: "I cannot remove subsidy element from diesel for any particular thing. We do not want to add to the sufferings of the farmers, road transport and railways. What I had said in Delhi was to impose duty on diesel-run passenger vehicles.’’

On the allegations that the petrol prices had never gone down in the country with respect to the global crude prices, Reddy said it was not true. On lowering the taxes for bringing down the price of petroleum products, he said the government had recently reduced the taxes. "But there is a limit to reducing the taxes,’’ he said.

Refuting the allegation that oil companies spending more on advertisements and other things as one of the reasons for the escalating petro prices, Reddy said it was only a misconception. Around 90 per cent of the cost production was for buying crude oil and only 10 percent was used. Reddy also promised Chief Minister Oommen Chandy, who was present at the press conference, of taking up the issue of allocation of domestic gas to the state.

"There is an empowered group of ministers who deal with the issue of allocation of domestic gas. I will present CM’s proposal before them,’’ he said.
Chandy said that the government would seriously look into the BPCL’s proposal for deferring of sales tax for 15 years for the proposed petrochemical complex and also for enhancing the capacity.

"The Chief Secretary has been asked to look into the proposal and we would take a positive approach,’’ he said.

http://ibnlive.in.com/news/kochi-lng-terminal-to-be-commissioned-in-2012/195421-60-122.html
When it will be fully established...i dont think it will be in this decade

When it will be fully established...i dont think it will be in this decade

Don't worry.... They will complete before world ends... Okay!!! Happy:lol:

When it will be fully established...i dont think it will be in this decade

They have kept their word on the initial investments worth 4000 Cr. So Dont worry :cheers:

Remaining 23K Cr investments also will come..

Well, whats important is to urgently establish 3 powerplants in Kerala.... Else the gas stored in Kerala, will go to some other state and we will have stand in que to buy that!!!!

Whether we support costly thermal plant or not be another side of issue. The intention is host state gets priority in share of power than other states. I believe its urgent for us to our state's industralization

http://img42.imageshack.us/img42/638/1615676.jpg

Environment Ministry approve Expansion of LNG Terminal Kochi

The expansion now makes LNG Petronet to 5 MMTPA, from current 2.5 MMTPA.

Cross-posted from Projects Thread



LNG Terminal at Kochi got clearance from Environment ministry to double its capacity from 25 Lakhs to 50 Lakhs tons. :cheers:

http://img402.imageshack.us/img402/2241/lng.png
http://img6.imageshack.us/img6/4922/lng2.png


http://www.mathrubhumi.com/story.php?id=225370

LNG Terminal at Kochi got clearance from Environment ministry to double its capacity from 25 Lakhs to 50 Lakhs tons.

• The project will be commissioned next year
• Additional investment of 500 Crores.

Salient Features of this project:

• The huge L.N.G tanks are manufactured by I.H.I Corporation, Japan
• Exxon mobil corporation (US based MNC) will bring gas from Gorgon gas plant, Australia
• The works are being carried out under the leadership of 75-odd engineers from Japan, Taiwan and Britain.
• Equipments will be procured from USA as well.
• Pipes will be laid to Udyogamandal, Ambalamugal, Bangalore, Mangalore and Kayamkulam.

Union Ministry of Environment and Forest (MoEF) has given its final nod to Petronet LNG Ltd's proposal for expanding the capacity of liquefied natural gas (LNG) terminal at Puthuvypu, off Kochi from 2.5 million tonnes to 5 million tonnes.

"This was the only clearance that was pending for the expansion proposal. We had obtained all other clearances earlier," AK Balyan, managing director and CEO, Petronet LNG told TOI here.

"The project is on track and we are planning to commission it towards the end of 2012," he added.

The project is estimated to cost around Rs 4000 crore, and Petronet which is a consortium promoted by state-owned energy firms such as GAIL (India) Limited, ONGC, Indian Oil Corporation and Bharat Petroleum Corporation Limited, is funding it through internal resources and borrowing.

Balyan says, "The entire initial design of the project was for 5 million tonnes. Hence, only few additions will be required for expanding the capacity", Balyan said.

The Expert Appraisal Committee of MoEF said it had noted Petronet's statement that augmentation of the capacity from 2.5 million tonnes to 5 million tonnes will not induct additional environmental issues and that the planned system will take care of the overall requirement of the facility.

"However, impacts if any arising out of increased activities to meet the additional capacity shall be brought to the notice of the Ministry with appropriate mitigation measures that will be put in place, to ensure that the given commitment of 'no additional impact' is maintained in letter and spirit," a committee statement said.

The MoEF panel has also stipulated that 'at least 5% of the total cost of the project shall be earmarked towards Corporate Social Responsibility (CSR) and item-wise details along with time bound action plan shall be prepared and submitted to the Ministry prior to the commencement of the project. Implementation of such program shall be ensured accordingly in a time bound manner."

The project will be able to supply LNG to states like Karnataka and Tamil Nadu apart from downstream industries in Kerala like NTPC power plant at Kayamkulam and FACT, Kalamassery. It has already tied up a 1.5-tonne LNG supply agreement with Exxon Mobil Australia and has been in talks with other LNG suppliers.

GAIL is laying the pipelines for gas distribution in two phases. In the first phase, it will connect to industrial consumers in Kerala. In the second, it will connect to Bangalore and Mangalore. The pipeline to Bangalore would pass through Coimbatore and Salem. The first line for industrial consumers in Kalamassery and Aluva is likely to be completed by early next year, Balyan disclosed.

Interestingly, Kerala government has appealed to the Centre to raise the capacity of the plant to 15 million tonnes, considering the projected LNG demands for future.

The state has also requested Petronet to set up a gas-based power plant near the project, promising land for both these proposals. But Petronet sources said these proposals are unlikely to be considered till the plant under construction gets stabilized.

The project for expanding the capacity of liquefied natural gas terminal at Puthuvypu, off Kochi from 2.5 million to 5 million tonnes, is estimated to cost around Rs 4000 crore.

http://timesofindia.indiatimes.com/city/kochi/Capacity-growth-of-LNG-plant-on-track/articleshow/10514022.cms

If the media is right and minister is talking based on his absolute knowledge, we have a huge news to cheers upon:cheers:

Kerala will not lose the Cheemeni power project, Union Minister of State for Power KC Venugopal said here on Friday.

Addressing a press conference, Venugopal said that that MoEF had merely pointed out certain drawbacks in the project, but had not rejected it. The minister’s assurance comes in the wake of the Expert Appraisal Committee of the MoEF deferring the 1200-MW LNG-fuelled project stating that the project was premature.

The committee also noted, in a September 12 meeting, that Kerala had not signed an MoU with the gas supplier. Besides, the project proposal should incorporate the recommendations of the Prof Madhav Gadgil Committee on Western Ghats, the committee had noted.

Power Minister Aryadan Mohammed, who was also present, said that Kerala had started receiving more power from Talcher.

The Centre has also cleared a proposal to step up the capacity of the LNG terminal in Kochi to 15 million metric tonnes per annum (MMTPA) from 5 MMTPA.:banana::banana::banana::banana::cheers:

http://ibnlive.in.com/news/ministers-assurance--on-cheemeni-project/197283-60-123.html


I love to believe it, though now the decision is court of Petronet for an upgrade If a 5 MMPTA unit can capable of producing upto 4500 MW of power, a 15 MMPTA unit surely fuel the entire south India with power generation capability upto 13,500 MW....... Surely its something big to cheer, as we can soon expect for mega fuelling from Cochin-Bangalore Industrial Corridor as well as probably a Cochin-Mangalore Logistics Corridor.

Anyway, I feel, Petronet may consider, once construction of current terminal complete. But its a very positive move!!!:banana:

The State government will lobby hard to get its share of natural gas from the KG Basin with a view to switching feedstock for the expansion of NTPC Ltd's Kayamkulam generation facility, said Union Minister of State for Power K.C. Venugopal here on Thursday.

The Minister was speaking to The Hindu after inaugurating the Kerala region golden jubilee of Caritas India, the charity and social works arm of the Catholic Church in India.

He said the government wanted domestic gas so that the cost of power generated from the expanded facility would be affordable. An assured supply of domestic gas would also pave the way for the signing of a power purchase agreement (PPA) by the Kerala State Electricity Board with the NTPC.

The PPA has been hanging fire as NTPC is in no position to expand generation unless the electricity board agrees to evacuate at least a portion of the power generated at the expanded facility.

Memorandum

Chief Minister Oommen Chandy had recently sent a memorandum to the Union Petroleum Ministry highlighting the State's urgent requirement for domestic natural gas to ensure the State's power security.

The delay in signing the PPA by the KSEB had held up work on the 120-km gas pipeline between Kochi and Kayamkulam, to be laid by GAIL India Limited. Only a gas transfer agreement between the NTPC and GAIL India can pave the way for laying the pipeline.

Cost of power from the NTPC's 350 MW plant is high and the perception is that the landed cost of natural gas from abroad will be costly, pushing still further up the price of power from the expanded unit. The proposal is to raise the current capacity to 1,050 MW, which will generate a gas requirement of about 5.5 million metric standard cubic metres.

Mr. Venugopal said the NTPC's Kayamkulam plant used naphtha as feedstock and the price of power from the plant was high. State electricity board sources had said that the board was buying power from the Talcher and Ramagundam plants of the NTPC, which was comparatively cheaper.

Uncertainties

The Minister also pointed to uncertainties about the price of power from a generation facility that was proposed by Petronet LNG Limited (PLL). The company had proposed that it could set up a 1,250 MW facility on Puthuvype Island close to the LNG receiving and re-gasification jetty coming up on the island.:banana:

The Minister said though initially it was felt that power from the proposed plant would be cheaper there were some doubts about it now.

http://www.thehindu.com/todays-paper/tp-national/tp-kerala/article2596861.ece

So a 1200 MW Thermal Powerplant going to come up in Kochi.

The proposal to set up a thermal power plant, near the LNG terminal being set up by Petronet LNG Ltd at Puthuvypu, off Kochi, has moved closer to reality with the Kerala government promising land for this.

The assurance was given to the Petronet officials by the team led by chief minister Oommen Chandy, power minister Aryadan Muhammed and excise and port minister K Babu during their visit to the terminal under construction on Saturday.

The proposal is to set up 1200 mw LNG-based power plant at Puthyvypu, and the Petronet is known to have requested for 50 hectares. "The first phase will be a 356 mw unit and arrangements have been made for providing land for this,'' Aryadan told TOI here.

Asked whether it will be a Petronet project exclusively, the minister said, the initial proposal was to make it a Petronet project. But the KSEB might also take part in it as a partner, if needed. Anyway the KSEB will guarantee that it would buy up the entire power generated there.''

The State government has asked the Cochin Port Trust chairman to identify the land to be allocated to the Petronet for setting up the power plant.

The Petronet has already embarked on a programme to set up a 1200-mw LNG-based power plant at its Dhahej plant. Work on that plant has reached the Detailed Project Report (DPR) preparation stage.

According to the Petronet sources, cash flow will not be much of constraint for the proposed Kochi power plant considering the robust financial position of the company.

The chief minister also drew attention of the Petronet officials to the State's demand to enhance the capacity of the Kochi LNG Terminal.

However, the company officials said this remained a distant possibility now. Only recently, the Union Ministry of Environment and Forest (MoEF) gave its clearance to the Petronet's proposal to enhance the capacity of Kochi LNG terminal from 2.5 to 5 million tonne. The Petronet officials informed the chief minister and his Cabinet colleagues that work on the LNG Terminal is on track and it would be ready for commissioning early next year.

http://timesofindia.indiatimes.com/articleshow/10797852.cms

So a 1200 MW Thermal Powerplant going to come up in Kochi.

KSEB will guarantee that it would buy up the entire power generated there.

Cash flow will not be much of constraint for the proposed Kochi power plant considering the robust financial position of the company.

:applause:

72 acres of land to be taken up for Refinery development projects!
http://i41.tinypic.com/wumbvb.jpg
cc: Manorama

Projects include expanding the refinery to 15.5 MMT from current 9.5 MMT, thus making it the largest public sector refinery in the country along with the Mega Petrochemical plant development. :cheers:

BPCL to invest Rs 20K cr on petrochem plant, expansion of Kochi refinery

Single Biggest Investment ever in the state! :cheers:

Bharat Petroleum Corp Ltd (BPCL), India’s second-largest public sector refinery, is planning to invest Rs 18,000-20,000 crore over the next five years for setting up a petrochemical plant and expansion of the Kochi refinery.

The company is looking at diversification into petrochemicals by building a niche speciality chemical project at a cost of Rs 5,000-6,000 crore at Kochi, and plans to rope in a multinational partner for the project, BPCL Chairman and Managing Director, Mr R.K. Singh, said today.

“We are expanding the Kochi refinery from 9.5 million tonnes per year to 15 million tonnes a year,” he said on the sidelines of the third India Africa Hydrocarbon Conference here.

From the expansion, BPCL is looking at manufacturing some propylene derivatives, which are currently imported and not manufactured in the country.

The petrochemical project would use feedstock from the expanded refinery and the projects are likely to be completed in the next five years.

“While the refinery expansion will be funded by BPCL, for the petrochemical plant we are looking for a foreign partner preferably a licensor of the speciality chemical we intend to manufacture,” he said.

Besides the Kochi refinery expansion, BPCL plans to add capacity at the new joint venture grassroots refinery it commissioned this year at Bina in Madhya Pradesh and also add capacity at its Mumbai refinery.

Mr Singh said the Bina refinery is proposed to be expanded by 3 mt to 9 mt a year. BPCL’s 12-mt Mumbai refinery would add 2-3 million tonne per annum through yield optimisation and operational efficiencies.

Bina refinery, which was inaugurated in May, is expected to stabilise by year-end. Besides Mumbai, Kochi and Bina refinery, BPCL also operates a 3-mt Numaligarh Refinery in Assam.

The Hindu Business Line (http://www.thehindubusinessline.com/companies/article2703898.ece)

Later talking to newspersons Jaipal Reddy said the regassified LNG terminal at Kochi is in an advanced stage of construction under the aegis of Petronet LNG. The Rs 4200 crore project is expected to be completed by 2012 and will provide 4500 mw of power.



The proposal is to set up 1200 mw LNG-based power plant at Puthyvypu, and the Petronet is known to have requested for 50 hectares. "The first phase will be a 356 mw unit and arrangements have been made for providing land for this,'' Aryadan told TOI here.


Are these two separate projects?

Are these two separate projects?

The proposed Power-plant using LNG will produce 1200MW. The 4500MW thing must be the total expected power production from the LNG which will be used by various industries like NTPC, Kayamkulam.

The proposed Power-plant using LNG will produce 1200MW. The 4500MW thing must be the total expected power production from the LNG which will be used by various industries like NTPC, Kayamkulam.

Well, the current capacity of Petronet can support upto generation of 4500 MW of power. Kerala plans for expansion of NTPC-Kayamkulam, Puthuvypeen Power Plant, proposed Brahmapuram Powerplant (not sure)-Kochi, Palakkad Power Plant and Chemmni Powerplant (at verge of dropping, but still hopeful)-Kasargod.....

The proposed Power-plant using LNG will produce 1200MW. The 4500MW thing must be the total expected power production from the LNG which will be used by various industries like NTPC, Kayamkulam.

Wait - 4500 MW won't be for State Discoms for consumption?

BPCL to form JV with LP Chemical in the Kochi Petrochem project (http://www.business-standard.com/india/news/bpcl-to-form-jvlp-chemical/458794/) :cheers:
Bharat Petroleum Corporation Ltd (BPCL) (http://www.bharatpetroleum.com/EnergisingBusiness/KochiRefinery_Overview.aspx) will shortly seal a deal with the UK’s LP Chemical (http://www.lpchemicals.com/) for a maiden foray into petrochemicals.

A senior BPCL official said the state-run company would form a joint venture with LP Chemicals, based in Winsford off Cheshire, to set up a petrochemical plant at its Kochi refinery in Kerala.
“The negotiations are on. We will seal the deal soon,” he told Business Standard. “Our investments will be to the tune of Rs 13,000 crore and our partner will bring in Rs 6,000 crore. We are looking at 2015 as the deadline.”

Petrochemicals are chemicals made from petroleum (crude oil) and natural gas. BPCL is engaged in discussions with the Kerala government for concession on the investment in the planned petrochemical unit, the official added.

LP Chemicals manufacture and distribute laboratory chemicals and veterinary chemicals to customer specification.

This September, at the company’s annual general meeting, R K Singh, who is BPCL’s chairman and managing director, had announced the company’s plans to spend Rs 40,000 crore in the next five years to set up a petrochemical plant at the Kochi refinery to produce niche products, expand the capacity of existing refineries, gas marketing and exploration and production.

Also, BPCL is planning to expand its Kochi and Mumbai refineries. The 12-million-tonne refinery at Mumbai would be expanded by two-three million tonnes per annum by means of yield optimisation and operational efficiencies.

good to see this going as per schedule ............
7000 crore Petrochemical complex mind blowing...


Bharat Petroleum Corporation's Kochi Refinery, set to emerge as the largest refining facility in the country with a capacity of 15.5 million tonnes a year, is expected to complete the process of licensee selection for six processes by the middle of January.

The expansion programme, announced by the Union Petroleum Minister, Jaipal Reddy, here in October, was on schedule, sources said here on Friday. They said that the licensee selection process, at an advanced stage now, was expected to be completed by the middle of January.

BPCL-Kochi Refinery will incur an expenditure of around Rs.300 crore in securing licences for the delayed coker unit, diesel desulphurisation unit, vacuum gas oil hydro treating unit, petro-fluidised catalytic cracking unit, naphtha hydro treater and sulphur recovery unit.

The oil refining and marketing company is also at an advanced stage of selecting a joint venture partner for the proposed petrochemicals complex, which will involve an investment of Rs.7,000 crore. Initial round of discussions with a technology partner for the joint venture has been successful. Besides BPCL and the selected technology partner, Kerala State Industrial Development Corporation is expected to hold a share in the venture along with financial institutions or any other investor identified by the promoters.

Application for environmental clearance for the refinery expansion project is expected to be ready after the licences for the processes are finalised.

According to the current schedule, public hearing is expected in February. The detailed feasibility report, to be considered by the BPCL board, is expected to be ready by March. Environmental clearance is also expected around the same time.

With refining capacity going up to 15.5 million tonnes a year, the refinery will produce 5 lakh tonnes of propylene and generate nearly 9 lakh tonnes of petrochemical products, which will include acrylates, super absorbent polymer and phenol.

The petrochemical complex is expected to spawn at least a score of downstream units making products ranging from paints and inks to diapers, cooling gel packs and hand sanitizers.

http://www.thehindu.com/business/companies/article2742269.ece

Kochi Refinery expansion on course

http://www.thehindu.com/multimedia/dynamic/00872/TH24_KOCHI_REFINERY_872766f.jpg
A view of Kochi Refineries in Kerala.

good to see this going as per schedule ............
7000 crore Petrochemical complex mind blowing...

More and more ancillaries will come with these huge investments. Kochi is really growing big! and i love the mix -Petroleum, Shipping, IT, electronics, healthcare, real estate, tourism, infra, engineering and what not :cheers:

Downstream units to be set up for petrochemical complex

About 10,000 jobs expected to be created

A score of downstream units expected to be set up here on the heels of the proposed petrochemicals complex in Kochi, will not only generate more than 10,000 new job opportunities, they will also augment business for the Port of Kochi, Fertilizers and Chemicals Travancore and the State government-owned Travancore Cochin Chemicals (TCC).

Bharat Petroleum Corporation Limited is looking to establish the petrochemicals complex with a joint venture partner in tandem with the expansion of its refining capacity here to 15.5 million tonnes a year. Augmented refining capacity will result in generation of 5 lakh tonnes of propylene, which in turn will lead to production of nearly 9 lakh tonnes of petrochemical derivatives. Industry sources said here that at least 20 small downstream units could be established based on the derivatives from the refinery. Involving investments approximately totalling Rs.6,000 crore, these units could generate at least 1,500 direct employment and around six times that number in indirect employment.

Kerala State Industrial Development Corporation (KSIDC), sources said, would act as the nodal agency for establishing the downstream units, helping the process of land acquisition and providing other basic facilities like water and power.

Sources said that moving petrochemical derivatives from Kochi using the coastal route, rather than by road, would help generate more business for the port of Kochi. Increased demand for sulphuric acid from the downstream units will offer FACT a new set of customers.

The State government-owned TCC will see increased demand for caustic soda, which is one of its key products now. Sources said that the government company would have to expand its capacity to meet the projected demand.

FACT has a combined capacity to produce about 1,600 tonnes of sulphuric acid a day at its Cochin and Udyogamandal divisions. Further, the company is looking to establish a joint venture with another PSU to set up a sulphuric acid plant with a 2,000-tonne-per-day capacity at the Cochin division, involving an investment of approximately Rs.265 crore.

Sources said that it would be possible to set up the downstream units in and around Kochi because there was lot of interest evinced by the non-resident Keralite population in investing at home.

With a total land requirement of around 100 acres, it would be possible to retain these downstream units in the State itself, they said.

The key derivatives expected out of the petrochemicals complex are acrylates, super absorbent polymer and phenol. End products form these derivatives include paints and inks, adhesives, textiles, diapers, caprolactam and agrochemicals.http://www.thehindu.com/todays-paper/tp-national/tp-kerala/article2751212.ece

^^

Hope the government build on on these opportunities :cheers:

LNG Petronet Tanks, Vypine Islands, Kochi
http://img16.imageshack.us/img16/4011/pc290337.jpg
By prasanth_kcv (http://profile.imageshack.us/user/prasanth_kcv) at 2012-01-09

LNG Petronet Tank, Vypine Island, Kochi
http://img515.imageshack.us/img515/944/pc290338.jpg
By prasanth_kcv (http://profile.imageshack.us/user/prasanth_kcv) at 2012-01-09

And another mega project set to roll!

Govt gives land for 1000 MW thermal plant (http://timesofindia.indiatimes.com/city/kochi/Govt-gives-land-for-1000-MW-thermal-plant/articleshow/11708555.cms) :cheers:
The state government has allocated 100 acres of land to set up a 1,000 MW thermal power plant near the LNG terminal coming up at Puthuvypu, off Kochi. It will be a joint venture between KSEB and Petronet LNG Ltd, which is setting up the terminal. The land will form part of the equity share of KSEB in the project.

Power minister Aryadan Muhammed told TOI here on Monday that the project will be implemented in phases and that a 380 MW unit would be set up in the first phase.

According to A K Balyal, MD, Petronet, the project would cost around Rs 3,600 crore. Aryadan said the Kerala government would be able to buy major portion of the power generated.

And another mega project set to roll!

Govt gives land for 1000 MW thermal plant (http://timesofindia.indiatimes.com/city/kochi/Govt-gives-land-for-1000-MW-thermal-plant/articleshow/11708555.cms) :cheers:

waww , another 3600 crore investment

waww , another 3600 crore investment

Thats a good deal.... Kerala is on verge of strong industrialization and requires more industrial power supply.... Its good to think such... I hope soon, Chemmani Power Plant in Kasargod and Palakkad Power Plant will revolutionize Kerala's industrial prospects to newer levels.

Petronet LNG, the country’s biggest natural gas importer, is in talks with the Kerala government to set up a gas-based power plant at an investment of around Rs 3,000 crore. The plant may be set up adjacent to the company’s upcoming regassification terminal at Kochi.

Petronet is investing Rs 4,500 crore in setting up the 5 million tonne terminal at Kochi. This will be the company’s second terminal after Dahej in Gujarat. “The Kerala government wants us to set up a gas-based power plant in the state under a joint venture. We have asked the government to sign a power purchase agreement before so that the anchor load is taken care of. Ideally, it should have a capacity of 750 Mw,” said A K Balyan, managing director and CEO, Petronet LNG.

Kerala is a power deficit state and the state government is keen to see new capacity additions, he said. The 5 million tonne Kochi terminal of Petronet LNG will be ready by July and will be operational by year end.

Business Standard (http://business-standard.com/india/news/petronet-in-talkskerala-govt-for-power-plant-at-kochi/157193/on)

Pollution concerns over BPCL expansion (http://www.thehindu.com/todays-paper/tp-national/tp-kerala/article2894928.ece)
Bharat Petroleum Corporation Ltd-Kochi Refinery and Kerala State Pollution Control Board faced public ire at a public hearing on environmental clearance for the refinery expansion project. The public hearing was held at the Ernakulam Collectorate here on Tuesday.

People from various walks of life including elected representatives, members of the residents associations and local residents accused the BPCL refinery of failing to address the problems faced by the public before going ahead with its expansion plans. The State Pollution Control Board was pulled up for its apathy in initiating action against industries responsible for polluting the environment.

Initiating the public response on increasing the capacity of Kochi Refinery from the current 9.5 million tonnes to 15.5 million tonnes a year, Geevarghese, a resident of Mattakuzhi in Thiruvaniyoor panchayat, alleged that the Kochi Refinery was yet to set up a green belt as part of the pollution mitigation measures.

Residents of Venmani pointed out that the company should resolve the apprehensions existing among the people on the pollution impact of the expansion project in the region. They also wanted the district administration and the company to fulfill the promise of land acquisition as part of the expansion plan.

John Minu Mathew, Executive Director (Technical) of BPCL-Kochi Refinery, in his project presentation said that the expansion plan would help in meeting the increasing fuel requirements across the country.

Kochi Refinery to ink 6k-cr propylene JV (http://epaper.timesofindia.com/Default/Scripting/ArticleWin.asp?From=Archive&Source=Page&Skin=TOINEW&BaseHref=TOIKRKO/2012/02/16&PageLabel=9&EntityId=Ar00900&ViewMode=HTML)

Petrochemical Project To Involve 2k-Cr Downstream Investments

Ravi Menon TNN

As part of Phase I of its integrated refinery expansion project, the Kochi Refinery, controlled by Bharat Petroleum Corporation, will set up a joint venture (JV) to produce various petroleum products from the propylene generated as part of the refining process.

The project will involve Rs 6,000 crore in investments coupled with additional downstream investments of Rs 2,000 crore to set up supply facilities for ancillary industries who will use propylene derivatives produced at the refinery as feedstock in their manufacturing processes.

“We are in the process of shortlisting a JV partner for the propylene derivatives project and will finalize the selection shortly,” said a refinery spokesperson on Wednesday, without giving a timeline for the JV's commencement. The propylene derivatives produced from the refining process will include super absorbent polymer, oxo alcohols, phenol, acetol, acrylic acid and acrylates. These petro products have wide applications across industries.

Ancillaries or 'downstream units' who will be part of the Kochi Refinery's propylene supply chain will include makers of sanitary products, inks and dyes, resins, paints, gums, diapers and cooling gel packs. “We will invest an additional Rs 2,000 crore in setting up the downstream facilities for supplying propylene derivatives to the ancillaries who will be benefiting from the upcoming JV,” the spokesperson said.

The spokesperson said that the exact terms for a Memorandum of Understanding (MoU) with a prospective JV partner are still under discussion.

Kochi Refinery has earlier announced plans to invest Rs 12,000 crore in Phase I of its integrated refinery expansion plan which it expects to complete by 2016. Post-expansion, the refining capacity will be enhanced to 15.5 MMTPA (Million Metric Tonnes Per Annum) from 9.5 MMTPA, arguably making Kochi Refinery one of the largest refining facilities in India.

Once capacity is boosted at the end of Phase I, the refinery will produce 500 TMT (Thousand Metric Tonnes) of propylene annually which is expected to produce a huge derivatives feedstock for downstream units. Phase I expansion of the refinery will include joint ventures for six different components - a crude distillation unit, vacuum gas oil hydro treating unit, diesel desulphurisation unit, petro-fluidised catalytic cracking unit, sulphur recovery unit and a naphtha hydro treatment unit.

“A feasibility report is under preparation. We have completed an Environmental Impact Assessment study by Vimta Labs which has given our expansion plan the goahead. We are in the process of selecting licensees for these units,” the spokesperson added.

Kochi Refinery plans to acquire nearly 70 acres as part of the Phase I expansion plan. The land will be used to set up more crude oil tanks, as well as facilitate the JVs for the component units.

EXPANSION PLANS

• Kochi Refinery is shortlisting the JV partner and will finalize the selection shortly

• The propylene derivatives will include super absorbent polymer, oxo alcohols, phenol, acetol, acrylic acid and acrylates

• The Refinery’s earlier announced Phase I expansion plan is expected to be completed by 2016

• The Phase I plan will include joint ventures for six different components

Kochi Refinery mulls sulphur link to FACT (http://timesofindia.indiatimes.com/city/kochi/Kochi-Refinery-mulls-sulphur-link-to-FACT/articleshow/11920558.cms)

Industrial revolution by Kochi refinery!
Kochi Refinery, operated by Bharat Petroleum Corporation Ltd (BPCL), is understood to be planning to build a pipeline to transport molten sulphur from its refinery in Ambalamugal to Fertiliser and Chemicals Travancore Ltd (FACT), as part of the phase I of its Rs 12,000-crore expansion plan to boost refining capacity, a source close to the project said.

The refinery is yet to announce a detailed proposal for the pipeline project, which could include a sulphur handling terminal, though the source said that discussions have been initiated with FACT. "It is a very good possibility at the moment.

Setting up a sulphur link makes strategic sense for us and will also serve FACT's raw material requirements," the source said. Kochi Refinery is presently scouting for a joint venture partner for a new sulphur recovery unit which is part of its Phase I expansion plans to improve refining capacity from 9.5 MMTPA (Million Metric Tonnes Per Annum) to 15.5 MMTPA by 2016.

The new sulphur recovery unit which is part of the six new units coming up under the integrated expansion plan, will raise the refinery's sulphur production capacity to 260 TMT (Thousand Metric Tonnes) annually from 48 TMT at present.

"FACT's sulphur requirements are estimated in the region of 200 TMT (Thousand Metric Tonnes) or more annually and the new facilities will be equipped to handle thatOnce Phase I of the expansion is in final stages of completion we will look to work on the pipeline to meet FACT's supply requirements," the source said. Besides the sulphur recovery unit, BPCL, which acquired Kochi refinery in 2006, will award engineering, procurement and construction contracts for a crude distillation unit, vacuum gas oil hydro treating unit, diesel desulphurisation unit, petro-fluidised catalytic cracking unit and a naphtha hydro treatment unit.

Vimta Labs has conducted an Environmental Impact Assessment study and has given the go-ahead to the Refinery's expansion plan. A feasibility report is expected to be placed before the BPCL board next month.

Kochi LNG Terminal to be commissioned this July
http://epaper.mathrubhumi.com/epaperimages/2022012/2022012-md-kz-9/13538641.JPG

^^^^^^

And the first set of recruitments for Kochi Project has started!!!:banana::banana:

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LNG-based power proposal gets a boost (http://www.thehindu.com/todays-paper/tp-national/tp-kerala/article3005319.ece)

The Union Budget proposal for exempting natural gas and liquefied natural gas from basic customs duty comes as a boost to plans to set up a 1,200-MW LNG-based power plant, integrated with the LNG receiving and re-gasification facility being set up at the port-based Special Economic Zone on Puthuvype Island here.

Petronet LNG Limited, which is building the LNG terminal here, had confirmed here this week that the government had agreed in principle to a proposal for setting up a power plant at the Kochi terminal. The power project is estimated to cost between Rs.3,000 and Rs.4,000 crore.

The cost of electricity from a power plant integrated with the LNG terminal is expected to be cheaper than that from other generation facilities. The move to exempt gas for power generation from customs duty will add to the attractiveness of the project.

The budget proposal said that domestic producers of thermal power had been under stress because of the high price of coal.

The Budget move will also prove beneficial for the proposal by the National Thermal Power Corporation to use LNG from Kochi for expanding its generation facility at Kayamkulam. The pricing issue has held up the signing of a gas purchase agreement between NTPC and Gail India Limited. There is no understanding yet between Kerala State Electricity Board and NTPC on purchase of power by the former.

So Kochi thinks big with South India's first Petrochemicals Zone (http://www.thehindu.com/news/cities/Kochi/article3015806.ece)



http://www.thehindu.com/multimedia/dynamic/00957/vbkrs-m20kochi-petr_957410f.jpg

The State Budget for 2012-13 has taken due note of the prospects for employment generation raised by the establishment of a petrochemical complex here in rhythm with the expansion of the capacity of Bharat Petroleum Corporation's Kochi Refinery from the current 9.5 million tonnes to 15 million tonnes a year.

The budget has set aside Rs. 50 crore towards preliminary works for the petro-chemical industrial zone, the project now being coordinated by Kerala Industrial Development Corporation. The budget provision recognises the fact that Kerala is eager to shed its image as a home to industries in the traditional mould as it reaches out to the new industries, said an office-bearer of the Small Industries Association here.

According to industry sources, nearly 20 downstream units, involving an approximate investment of Rs. 6,000 crore, can be set up with the petrochemical complex going on stream. These projects require around 100 acres of land.

The process of identification of the land is progressing in right earnest. The land is already available with the government and it would be possible to allocate the area for the downstream units. It is estimated that about 10,000 new jobs can be created through these units that will make products as varied as ink and paints; adhesives, agrochemicals, textiles and diapers.

The petrochemical complex will also offer new business avenues for public sector undertakings like Fertilizers and Chemicals and Cochin Port Trust; and the Kerala State owned Travancore Cochin Chemicals.

Industry sources said that the increased capacity of the BPCL refinery would result in the production of around five lakh tonnes of propylene, which will result in the production of nine lakh tonnes of petrochemical derivatives.

Petrochemicals Zone holds a major key for development (http://ibnlive.in.com/news/proposal-to-set-up-petrochemical-zone/240934-60-122.html)

The proposal to set up a petrochemical industrial zone in view of the capacity expansion of BPCL Kochi Refinery offers a lot of opportunities in terms of employment and business. The Finance Minister has earmarked `50 crore for land acquisition and preliminary work for the zone.

“BPCL Kochi Refinery is implementing a Rs 18,000-crore project for capacity expansion in the next five years. This is considered to be the largest investment in the industrial sector of the state. It is expected that the capacity expansion will open up opportunities for allied industries which will also generate employment opportunities. The government has already announced certain tax exemptions for BPCL. A Petrochemical Industrial Zone will further enhance the possibilities in this sector,” the minister said during the Budget speech.

With the capacity expansion of the refinery, the production of chemical compounds such as polypropylene and poly urethane is expected to increase. Polypropylene is a thermoplastic polymer used in a wide variety of applications including packaging and labelling, textiles (ropes, thermal underwear and carpets) stationery, plastic parts and reusable containers of various types, laboratory equipment, loudspeakers, automotive components, and polymer banknotes.

“Since the number of industries using these compounds are low in India, they are being exported now. Though the amount of polypropylene produced in Kochi Refinery is unbridgeable presently, it is expected to go up in the near future. In such a situation, a petrochemical industrial zone will be advantageous for the industrial sector in the state,” said sources

Great News:cheers:

^^

Great news for Kochi and Kerala. I feel the thread should be separated into two as,

BPCL - Kochi Refinery & Petrochemical Industrial Zone
Petronet - LNG Terminal, Power Plant and GAIL Pipeline

^^

Great news for Kochi and Kerala. I feel the thread should be separated into two as,

BPCL - Kochi Refinery & Petrochemical Industrial Zone
Petronet - LNG Terminal, Power Plant and GAIL Pipeline

+100:cheers::cheers:

Even now I feel so... Lets wait for the proposals taking more concrete shape... Perhaps Kochi SSC might require few threads like

1. Kochi Refineries and Petrochemicals Zone Project
2. Petronet Puthuvypeen SEZ- LNG Terminal, 1200 MW Power Plant, Gas Corridors/Industries, KGAIL
3. W.Island Port City project

Petrochemical to be the next catalyst for industrial growth of Kochi and Kerala :cheers:

http://img804.imageshack.us/img804/431/20362259.jpg
cc: Mathrubhumi

Cross posting from India Emergency Service thread

LNG Terminal gets two fire tenders
Anto Thermadam, TNN | Feb 29, 2012, 05.16AM IST

KOCHI: The Kochi LNG Terminal will now have its own fire tenders to conduct rescue operations and address emergency situations. Two fire tenders arrived at the project site at Puthuvypeen last week.

These will be part of a fire and rescue station, which will be commissioned on the terminal premises in October, a senior official at the terminal said on Tuesday. This fire station might also be of help to the city's Fire and Rescue Services Department.

"Initially its services will be used for emergency situations in the terminal and nearby industries on mutual understanding. At a later stage we will consider rendering our services to others," the official said. The fire tenders with air-conditioned cabins will use water, foam and dry chemical for rescue operations. Each has three tanks with a capacity of 13,000 litres.

According to the official, these multipurpose fire tenders can prevent oxidation of liquefied natural gas in case of an emergency.

An official in the Fire and Rescue Services Department said this could be the first time a fire tender is being brought to the city. "At present, the fire trucks cannot use water and foam simultaneously," said the official.

Wait for approval from Smart City to delay LNG pipeline project

പുലി പുല്ല് തിന്നുകയുമില്ല .... :bash:

http://img714.imageshack.us/img714/7215/93204010.jpg
cc: Manorama

Wait for approval from Smart City to delay LNG pipeline project

പുലി പുല്ല് തിന്നുകയുമില്ല .... :bash:


സ്മാര്*ട്ട്* സിറ്റി അല്ലെ.. 'പുലി' കുറച്ചു കൂടുതലാ... 'പട്ടി' എന്ന് തന്നെ ആണ് ശെരി....

Link: Deepika (http://malayalam.deepikaglobal.com/latestnews.asp?ncode=93130)

BPCL Directorial board clears capacity expansion (http://www.myiris.com/newsCentre/storyShow.php?fileR=20120330165457199&dir=2012/03/30)

Bharat Petroleum Corporation (BPCL) announced Friday the board of directors has approved the integrated refinery expansion project at BPCL (Q,N,C,F)* Kochi Refinery with a capital outlay of Rs 142.25 billion. The environmental clearance for the project is expected during the latter part of the year.

The project envisages expansion of Kochi Refinery from 9.5 million tonnes per annum to 15.5 million tonnes per annum. It also plans to modernize the refinery to produce motor fuels meeting Euro IV/V quality specification.

The entire residue from the expanded refining capacity of 15.5 MMTPA will be upgraded to value added distillates and coke along with the project.

BPCL also intends to produce polymer grade propylene from the project which can be used as raw material for a series of niche petrochemicals which are at present being imported into the country. The Refinery will be able to process cheaper high sulphur crude oils once the project is implemented. The project is targeted to be completed by December 2015.

Shares of the company gained Rs 15.45, or 2.26%, to settle at Rs 699.30. The total volume of shares traded was 73,869 at the BSE (Friday).

Refinery Expansion project increased its size slightly (http://business-standard.com/india/news/bpcl-to-expand-kochi-refinery-by-63/161954/on)

Bharat Petroleum Corporation (BPCL) said it will expand its Kochi refinery by 63%, slightly higher than previously planned, by December 2015 and upgrade the refinery to process cheaper, high-sulphur crude to improve margins and products.

The Rs 14,225-crore expansion and upgradation project will see the southern India-based refinery processing 310,000 barrels per day (bpd), the country's second-biggest state-run refiner said in a stock exchange filing on Friday.:cheers:

BPCL had initially planned to raise the capacity of its 190,000 bpd Kochi refinery capacity to 300,000 bpd by March 2015.

Refiners in Indian and other emerging markets are boosting capacity to feed rising regional demand, while their counterparts in the United States and Europe restructure or shut plants on sluggish economic growth and weakening global demand.

BPCL said it expects to get environmental clearance for the project in the latter part of 2012.

The company said it also plans to produce polymer-grade propylene from the project which will be used as a feedstock for a series of niche petrochemicals.

Indian refiners want to ramp up exports as local sales of fuels at subsidised prices are impacting their margins and driving up local fuel demand.

Private refiners, which do not get compensation from the federal government for selling fuel at subsidised rates, prefer to export fuel.

The International Energy Agency said in its latest report India's fuel demand could rise 3.2% in 2012, led by diesel.

BPCL plans to boost capacity at the Bina refinery to 180,000 bpd from 120,000 bpd. It also operates a 240,000-bpd refinery in Mumbai and has a majority stake in a 60,000 bpd refinery in northeast India.

Night view of LNG Terminal from Fort Kochi beach

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By prasanth_kcv (http://profile.imageshack.us/user/prasanth_kcv) at 2012-03-31

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By prasanth_kcv (http://profile.imageshack.us/user/prasanth_kcv) at 2012-03-31

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By prasanth_kcv (http://profile.imageshack.us/user/prasanth_kcv) at 2012-03-31

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By prasanth_kcv (http://profile.imageshack.us/user/prasanth_kcv) at 2012-03-31

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By prasanth_kcv (http://profile.imageshack.us/user/prasanth_kcv) at 2012-03-31

Refinery Expansion project increased its size slightly (http://business-standard.com/india/news/bpcl-to-expand-kochi-refinery-by-63/161954/on)

According to me oil companies should stop spending money to expand capacity of refineries and spend more money acquire and develop more oil fields abroad. Our refineries have overcapacities and we export petroleum products. In future oil deficit countries like India will encourage vehicles which use electricity or hydrogen as fuel. I don't know why people who protest against nuclear projects are not protesting against pollution caused by refineries and vehicles.

LNG pipeline solution in 10 days; issues to be solved soon (http://timesofindia.indiatimes.com/city/kochi/LNG-pipeline-solution-in-10-daysissues-to-be-solved-soon/articleshow/12526247.cms)
The more than six-month-old impasse over the GAIL pipeline project through SmartCity and Naval Armament Depot (NAD) areas will be resolved in ten days.

Additional chief secretary (Industries) V Somasundaram told TOI that one or two viable proposals have already been drafted for resuming the pipeline work through SmartCity project area and a final decision would be taken soon. Similarly, NAD authorities have also assured that they would get clearance for the pipeline work in the next few days.

Work on these pipeline stretches (about 800 metre) were stopped citing safety considerations. Reacting to the latest development

GAIL deputy general manager K P Ramesh said that laying pipelines through these stretches were critical for the completion of the first phase of LNG pipeline project.

"We will be able to complete both works within a month once we get the necessary permissions.'' First phase of the pipeline will carry gas from the Petronet LNG terminal to Amabalamukal and Udyogamandal areas.

The terminal will start trial run in July and commercial operation in October. The first phase of pipeline should be completed much earlier than commissioning of the LNG terminal.

The total project would cost Rs 3,700 crore and involves construction of a 1,114km-long pipeline from the LNG terminal at Puthuvypeen to Mangalore and Bangalore. In Kerala the pipeline will pass through Ernakulam, Thrissur, Palakkad, Malappuram, Kozhikode, Kannur, and Kasaragod.

Some private land owners have objected against the pipeline in some areas on the route beyond Amabalamukal and Udyogamandal areas. Collectors in these districts have been directed to resolve the issue and make land available for the project by May 31, Somasundaram said.

Kochi LNG terminal might further double capacity (http://www.thehindubusinessline.com/industry-and-economy/logistics/article3293945.ece?ref=wl_industry-and-economy)
With dependence on imported natural gas (LNG) on the rise, interest in creating infrastructure at ports — such as terminals and re-gasification units — has seen a spurt.

This dependence on imported gas is due to continued drop in domestic gas output, and no new producing fields are expected to come on stream in the near term.

The country's re-gasification capacity will reach around 50 million tonne (mt) annually by 2016-17, double of the current capacity, reveal industry estimates.

The country's third LNG terminal was commissioned at Ratnagiri in March.

The re-gasification capacity in the country is 13.6 mt annually — 10 mt at Petronet LNG's Dahej terminal and 3.6 mt at Shell's Hazira terminal. Both Dahej and Hazira ports belong to the Gujarat Maritime Board, belonging to the State Government. The recently commissioned Ratnagiri Gas and Power Pvt. Ltd is expected to take the capacity to 5 mt by 2013-14 from the present 2 mt. The port, where the terminal is located, belongs to the Maharashtra Government. In fact, to meet the growing domestic demand the gas importers are augmenting capacities.

DOMESTIC DEMAND

While Petronet LNG is looking at taking the Dahej terminal capacity to 12.5 mt by 2013 and to 15 mt by 2015-16, Shell is also increasing the capacity to 5 mt by 2013-14.

Another 5 mt capacity is being added at Kochi by Petronet LNG which is expected to double. The port infrastructure belongs to the Cochin Port Trust, a Central Government entity.

Insofar as future terminals are concerned, GSPC-Adani plans to add a 5 mt terminal at Mundra, a port infrastructure of the State Government. With all operational ports located on the west coast, companies are now looking at the east coast for setting up LNG terminals.

The possible ports are Dhamra, Gangavaram and Ennore. IndianOil Corporation proposes to set up a 5 mt terminal at Ennore Port, the only corporatised port under the Central Government.

It has signed an MoU with the Ennore Port, though there is no clarity on the timeline.

Petronet LNG: Steady earnings, capacity hike to pump up show (http://economictimes.indiatimes.com/features/investors-guide/petronet-lng-steady-earnings-capacity-hike-to-pump-up-show/articleshow/12665416.cms)
India's dwindling natural gas production and growing demand will sustain over-utilisation at Petronet LNG's Dahej terminal. Debottlenecking of its existing terminal and a new terminal at Kochi will add further capacity in next couple of years, while the annual increase in regassification charges will ensure profit growth.

Petronet LNG's robust business model coupled with undemanding valuations make it attractive for long-term investors.

BUSINESS

Petronet LNG is India's largest importer of liquefied natural gas (LNG) at its Dahej plant. The company recently expanded the capacity to 10 million tonne per annum (equivalent of 40 million standard cubic meters per day or MMSCMD). The company has a firm supply contract with Qatar's RasGas for 7.5 MTPA for which it has a back-toback sales contract.

It also imports LNG on a spot basis depending on its ability to market the same in domestic market. Similarly, it also imports cargos on behalf of other importers for a fee. The company currently charges Rs 35 per MMBTU as regassification charges, which are set to go up 5% every year in January.

GROWTH DRIVERS

India's domestic natural gas production is dwindling, especially with the KG-D6 block output going down steadily. The East Coast block which was producing at an average rate of 41 MMSCMD in the December 2011 quarter is likely to go down to 36 MMSCMD in the March 2012 quarter and further to 28 MMSCMD in FY13. Petronet LNG operated its Dahej facility at 115% capacity utilisation in the December quarter.

This helped it clock its highest-ever quarterly volumes of 145 trillion BTU or 45 MMSCMD. Non-core sectors (industries excluding power and fertiliser) still find regassified LNG to be a cheaper option when compared to the liquid fuels, which will ensure high capacity utilisation for Petronet even in future. The company's recent 0.6 MTPA deal with GDF Suez will help in this. Petronet is setting up a 5 MTPA LNG import facility in Kochi which will be commissioned by the end of this year. When it is fully functional, the facility will grow total capacity by 50%.

The company also plans to add an additional jetty, which will add 5 MTPA of capacity at Dahej along with debottlenecking and brownfield expansion in FY14. It is also studying the possibility to set up another LNG import facility on the East Coast at Gangavaram. Availability of LNG at reasonable prices on a long term basis has remained a key worry. LNG prices have remained at unreasonably high levels in spite of major LNG export facilities coming up globally.

However, things are likely to change with the US becoming a net exporter and European demand slowing down. Petronet's ability to sign any long-term supply contract could improve visibility to its earnings growth and prove a major trigger for appreciation.

India seeks strategic investment ties with Qatar for petro projects (http://www.thehindu.com/business/article3321281.ece)
India has offered Qatar stake in some of the major petro projects, including the petrochemicals complex at Dahej in Gujarat, Indian Oil Corporation's (IOC's) LNG project in Ennore, Tamil Nadu, BPCL's petrochemical project in Kochi, petrochemical project in Mangalore and investment opportunity in the Paradip refinery and petrochemical project to further enhance its strategic partnership and ties. These big ticket investment offers were made to Qatar's Emir, Sheikh Hamad bin Khalifa Al Thani during his talks with the Petroleum and Natural Gas Minister Jaipal Reddy.

Bharat Petroleum Corporation Limited (BPCL) has proposed to set up a petrochemical complex at Kochi and is on the look out for an established global petrochemical player as partner. The project is expected to cost around Rs.9,000 crore and BPCL has put up an investment proposal before the Qatar Government for the project. In addition to this, the government has discussed the issue of offering strategic investment partner status to Qatar for the petrochemicals complex being set up by the special purpose vehicles (SPV), ONGC Mangalore Petrochemicals Limited (OMPL). The project is expected to cost around $1.25 billion.

Kochi Refinery aims to be ‘world class,' says official
(http://www.thehindu.com/news/cities/Kochi/article3344681.ece)

Directors' board has approved IREP to be completed by 2015

The newly appointed executive director of Kochi Refinery, John Minu Mathew, has opined that the Rs.14,225 crore Integrated Refinery Expansion Project (IREP) will ensure that the Refinery becomes truly world class in size and complexity.

In his message to the employees of the public sector in the company newsletter, the ED said the directors' board had approved (subject to environmental clearance) the IREP to be completed by December 2015. Once this project is through, the Nelson Complexity Factor of the Refinery would improve to 9.6 from the current level of 6.3 and the Specific Energy Consumption to 67 from 84.

The project envisages building capability to process 100 % high sulphur crude oil (the design average crude sulphur content is 2.66 wt%). The 45-year old CDU-1 will be replaced by building a new 10.5 MMTPA CDU, but the other downstream units would have capacities equivalent to the incremental refining capacity of 6 MMTPA. The project would pave way for the BPCL's entry into petrochemical business with a downstream petrochemical complex planned in joint venture with one of the major multinational players in the business. The State government has extended tax concessions for this project, for the first time for such a project.

The year gone by (2011-12) has seen Kochi Refinery surpassing some of its own major performance milestones. A new crude throughput record of 9.55 MMTPA has been set against the previous record of 8.77 MMTPA and the refinery clocked 26.16 million accident-free manhours, the highest ever so far for the public sector.

New challenges
The Executive Director also noted that the year 2012-13 brought with it a new set of challenges. For one, the crude oil throughput target is set at 9.8 MMTPA, that too in a shut down year. Other physical targets would also require ensuring one hundred per cent availability of the plant and machinery throughout the year. The new 220 kV substation will be ready for commissioning this year, he added.

State to give land for LNG Powerplant in Puthuvypeen (http://www.thehindu.com/news/cities/Kochi/article3420827.ece)

Government of Kerala and Petronet LNG Limited, promoters of the LNG terminal coming up on Puthuvype island, are learnt to have reached an understanding on land for an LNG-based power generation facility.

Sources here said that the government had identified 50 acres for the project, the original extent requested for by PLL, which proposed setting up a 1,250 mw plant using the advantages of the proposed plant's proximity to the LNG receiving and re-gasification facilities.:banana::banana:

Though the proposal for setting up the power plant was made more than two years ago, the project could not go ahead as the land required for the project was not immediately available, technicalities holding up the transfer of land for the project.

However, the State government is learnt to have cleared the differences of opinion on a claim made by a government agency over the land now identified for the power project. Though only about 30 acres have now been cleared for the project, government is making all efforts to clear the remaining 20 acres at the earliest, sources said.

Meanwhile, Cochin Port Trust has received the Union shipping ministry nod for building an exclusive jetty for receiving LPG.

The permission was granted after a meeting recently convened by the Union shipping secretary, sources here said.

The proposal for a dedicated facility for receiving shipment of cooking gas was proposed in 2009 by Indian Oil Corporation. The project was meant to solve the problem of the perennial shortage of LPG in the State.

A State government review of the project in the second half of 2011 had found out that the proposal for the LPG jetty was almost in an abandoned stage. Subsequently, State government engaged Kerala State Industrial Development Corporation as the nodal agency for overseeing the project implementation.

Sources here said that the Cochin Port Trust would build the LPG receiving jetty with financial backing from Indian Oil Corporation.

The new jetty is being built after IOC abandoned the idea of using Cochin Oil Terminal for receiving shipments of LPG. It was earlier proposed that the LPG jetty could be built along the multi-user liquid terminal (MULT), proposed by the Cochin Port Trust. However, the MULT project has been held up for various reasons.

BPCL Kochi Refinery targets 99 lakh tonne crude oil refinement

Refined 95.5 lakh tonne last fiscal.

http://img585.imageshack.us/img585/3322/3097414642184copy.jpg
cc: Manorama

Kerala, Petronet LNG to sign pact for power project (http://www.thehindubusinessline.com/industry-and-economy/article3428329.ece)
The Kerala Government and Petronet LNG will sign a contract for setting up a Rs 2,250-crore power plant as part of the LNG terminal at Puthuvype in Kochi.

This will be a combined cycle gas turbine project with a capacity of 356 MW, an official spokesman announced here.

A decision to sign the contract was taken at a high-level meeting chaired by the Chief Minister, Mr Oommen Chandy.

Petronet officials are of the view that ‘cold energy’ from the power plant would add significantly to the State’s energy security.

The project would be completed in 50 months if the 50 acres required were made available. Officials said efforts in this direction were already on.

The contract would be signed only after further rounds of discussions were completed, the spokesman said.

Rs 2000 Crore Investment- Petronet Power Plant (http://timesofindia.indiatimes.com/city/kochi/Petronet-power-to-cost-Rs-7-per-unit/articleshow/13241264.cms):banana::banana::banana:

Power generated at the LNG-based power plant, proposed to be set up at Puthuvypu, near Kochi, will cost around Rs 7 per unit.

This was broadly agreed upon at a meeting between officials of the Petronet LNG Ltd and Kerala government held in Thiruvananthapuram on Wednesday.

A K Balyal, Petronet MD, told ToI here on Thursday that the Kerala government would undertake a guaranteed purchase of 75% of the power to be generated in the initial phase.

According to KSEB sources, LNG power, albeit costlier than hydel, would be advantageous to the state since Kerala is currently buying power from some private stations at Rs 11 per unit.

The total capacity of the station would be 1050 MW. The first phase of 350 MW and all the basic utilities for the complete project is estimated to cost around Rs 2000 crore.

The power station would be a 50:50 joint venture between Kerala government and Petronet. KSEB will participate in the venture on behalf of the Kerala government. The cost of the land (about 90 acres) to be allocated for the project would be part of the Kerala government's equity share, Dr Balyal said.

He said the MoU for the project is expected to be signed between the Petronet and the State government within a month. The detailed feasibility report would be prepared subsequently.

The normal gestation period for a project of this scale could be around 36 to 41 months. "But if decisions are taken quickly and we are able to launch multiple portions of the work simultaneously we can complete it in 28 months," he said.

Chennai, May 18: Looking to charter a liquefied natural gas (LNG) ship on a long-term basis? Book it four years ahead of time. That's what Petronet LNG Ltd is doing.

According to the plan, the company is to commence LNG transportation from Kochi Regasification Terminal between January and June 2016.

However, to achieve that, it has issued a global notification to pre-qualify ship owners and operators to provide an LNG ship.

The owners and operators will be responsible for shipping-related activities — right from loading and unloading.

Mr C.S. Mani, Director (Technical), said that while the plant is ready for commissioning, the full-fledged movement of LNG would commence in 2016 only.

“We need to order now to make sure we have the ship ready by then. It takes such a long time,” he said.

Long-term agreement
Petronet LNG is a joint venture company promoted by Oil and Natural Gas Corporation, Indian Oil Corporation and Bharat Petroleum Corporation. It is setting up a greenfield LNG Regasification Terminal at Kochi in Kerala with an annual capacity of five million tonne.

It has signed a long-term LNG sale and purchase agreement for supply of 1.44 mtpa of LNG from Gorgon, Australia, to Kochi on free-on-board basis for a period of 20 years.

According to Mr Hemant Bhattbhatt, Senior Director, Deloitte in India, typically LNG ships are custom-built and designed for the user's specific requirements if they are to be given on long-term charter.

As such the chartered ships must be getting built and will require time for construction.

Hence, the tie-up four years in advance, he said.

By 2017 it is expected that 175 new ships will need to be added to the current global fleet of 365 to address the demand for LNG transportation.

Currently, only 70 are on order and given the generally depressed shipping market conditions and a degree of scepticism around the ‘bubble-like growth' in demand for LNG carriers, further orders for about 100 more ships are difficult to materialise. Hence a supply shortage is anticipated and this could well be influencing the decision to tie-up the ships four years ahead.

http://www.thehindubusinessline.com/industry-and-economy/logistics/article3433108.ece

Kochi, May 21: The Southern Railway's Thiruvananthapuram Division has started transporting bitumen by rakes as part of the consignment from BPCL's Kochi Refinery to Bhutan.

The service, flagged off from here, is as per an MoU signed between the public sector oil company and the Bhutan Government for supply of bitumen for one year.

The cargo is meant for road-laying in Bhutan.

This is the first consignment of 12,600 barrels of bitumen and the Railway will move three rakes a month. The cargo movement assumes significance for BPCL-KR as it is the first time it is moving the product by rail and exporting it too.

Each train will consist of 42 wagons and the Railway will generate a revenue of Rs 91 lakh as freight charges from each service, Mr George John, Area Manager, Southern Railway, Ernakulam, told Business Line.

‘Kairali Black'
The final destination of the train service is Falakatta in West Bengal and, from there, the consignment will be moved by trucks to the unloading point, he said, adding that the service will be in full swing after undertaking the necessary infrastructure developments at the loading point, including building a platform.

The Railways will also make round-the-clock arrangements at the loading point, he said.

He termed the service the first international contract for the Railways, which expects to generate more revenues in the coming years.

The Railways christened the service Kairali Black, which extends the concept of Kairali Queen, a dream project of the Thiruvananthapuram Division. Mr Rajesh Agarwal, Divisional Railway Manager, has taken the initiative for this project, meant to showcase Kerala brand products such as spices, cashew and rubber in north Indian markets.

Petro products, coal
According to Mr John, the Thiruvananthapuram Division is coordinating with government agencies such as the Spices Board, the Coir Board and various transport agencies to move products to different markets, either through wagons or containers. Besides, the division is also transporting petroleum products from BPCL-KR to various parts of the State. An average 80-90 rakes per month move products to upcountry destinations also.

The Railways is also engaged in moving imported fertilisers and cement from Kochi Port to many manufacturing units. Coal movement, which was suspended almost a year and a half back, is expected to re-start shortly, he added.

http://www.thehindubusinessline.com/industry-and-economy/logistics/article3442756.ece

GAIL plans LNG line to Kochi Refinery, FACT (http://timesofindia.indiatimes.com/city/kochi/GAIL-plans-LNG-line-to-Kochi-Refinery-Fertilizers-and-Chemicals-Travancore-Ltd/articleshow/13458547.cms)
Public sector GAIL India Ltd is planning to lay a regassified LNG (Liquefied Natural Gas) pipeline from the upcoming Petronet LNG project over a distance of 32.4 km from Puthuvype to the Kochi Refinery premises in Ambalamugal. The dedicated pipeline, which will be a spur (or feeder) line from GAIL's main gas pipeline, will require estimated investments of Rs 320 crore and is intended to serve as a fuel link for Kochi Refinery, FACT (Fertilizers and Chemicals Travancore Ltd) and Hindustan Organic Chemicals Ltd (HOCL), sources aware of the project plan said. It is understood that the proposed pipeline will have a capacity of 20 Million Metric Standard Cubic Meter Per Day (MMSCMD). "The planned pipeline will constitute a part of GAIL's dedicated supplementary gas infrastructure to the main gas trunk pipeline it is currently working on," sources said.

The pipeline infrastructure will be laid out in two segments - a pipeline of 30-inch diameter from Puthuvype to FACT's premises in Udyogamandal near Kochi, and a second 18-inch section of pipeline from Udyogamandal to Kochi Refinery's Ambalamugal premises. "The first section which will terminate at FACT will be extended to HOCL. The project will, thereby, serve as a cost-effective fuel link to all three organizations," sources said. GAIL is currently in the process of laying gas trunk lines on the Kochi-Bangalore and Kochi-Mangalore routes while simultaneously working on setting up its 5- Million Metric Tonnes Per Annum (MMTPA) LNG terminal at Puthuvype in Kochi by Petronet LNG at an estimated outlay of Rs 4,000 crore. When completed, this will be India's fourth LNG terminal and the first in South India.

The proposed Kochi-Koottanad-Bangalore-Mangalore pipeline will pass through Kerala, Karnataka and Tamil Nadu. "We had faced some local opposition to the placement of the pipeline -- from the co-operative medical college, FACT and other parties -- but have surmounted these glitches," a government official added.

Among associated projects, a 120-km pipeline is planned under the sea from Puthuvype to Kayamkulam to provide gas to an NTPC unit there. Plans are afoot to transport the gas to Thiruvananthapuram as well. The main gas pipeline from the terminal will have a number of spur lines laid to service the feed requirements of various industries and projects GAIL has signed up with various public sector bodies as part of developing a natural gas infrastructure for Kerala.

GAIL Gas Ltd has entered into a distribution agreement with Kerala State Industrial Development Corp to form Kerala Gail Gas Ltd (KGGL), a joint venture, to take up projects such as city gas distribution, setting up of CNG stations for KSRTC buses, establishment of a Gas Training Institute, laying of spur lines from GAIL's main pipeline, and setting up small gas-based small power generating plants, among others. Investments for the KGGL project are estimated at Rs 2,000 crore.

LNG TERMINAL

http://img85.imageshack.us/img85/118/img4396xw.jpg

http://img715.imageshack.us/img715/1614/img4391p.jpg

Tug boats arrive early for operations at LNG terminal (http://www.thehindu.com/news/cities/Kochi/article3483087.ece)
http://www.thehindu.com/multimedia/dynamic/01101/02KITUG_1101609f.jpg
The four tugs that have arrived for the LNG terminal at Kochi early this week at the Kochi harbour.

With work on the LNG terminal nearing completion and the first vessel carrying natural gas expected here by the end of October, four tugs have arrived at the Kochi waters for services at the terminal.

The tugs that have arrived here this week are Ocean Elite, Ocean Perfect, Ocean Pioneer and Ocean Enterprises, all belong to Ocean Sparkle and have arrived here from Goa and Singapore, sources said.

They will be used to guide ships into the LNG terminal. They will be arriving here to complete the formalities with the Customs authorities, sources added. They said that the tugs were expected here in the first week of June but had arrived early.

BIDS INVITED

The LNG terminal project in Kochi has is taking its final shape and in early May Petronet LNG had invited long-term bids from ship owners for transport of natural gas to Kochi. The bids were to transport gas from the Exxon Mobil's Gorgon project in Australia with which the PLL had signed a deal to purchase 1.44 million tonnes of gas.

Kochi is among the first LNG terminals planned in the country and the second to be operated by Petronet LNG after the Dahej terminal in Gujarat. The PLL has signed an agreement with Gangavaram Port Limited in Andhra Pradesh for developing a terminal on the east coast.

The PLL has also proposed setting up a gas-based power generation facility on Puthuvype island, close to the LNG terminal.

LNG TERMINAL



http://img715.imageshack.us/img715/1614/img4391p.jpg

Awesome pics vjkrishn

UK-based LP Chemicals to partner BPCL for Kochi Petrochemical plant (http://business-standard.com/india/news/bpcl-to-give-majority-stake-to-uk-company-in-petchem-jv/476227/)
State-run Bharat Petroleum Corporation Limited (BPCL) (http://www.bharatpetroleum.in/EnergisingBusiness/KochiRefinery_Overview.aspx?id=1) has finalised a joint venture (JV) agreement with UK-based LP Chemicals (http://www.lpchemicals.com/) for petrochemical business. BPCL is likely to hold 49 per cent in the venture, with the British company holding a majority 51 per cent.

The JV would invest about Rs 5,000 crore in the project and have a 70:30 debt equity ratio. LP Chemicals may bring in Rs 1,500 crore. BPCL plans to spend Rs 40,000 crore in the next five years to set up a petrochemical plant at the Kochi refinery to produce niche products, expand the capacity of existing refineries, gas marketing and exploration and production.

“We will sign the memorandum of association shortly. After this, we will have to do a feasibility report and later a company will be formed. We should be able to put things in place by early next year,” said a senior BPCL executive, on condition of anonymity.

The executive said the company would integrate the expansion of its Kochi refinery and construction of its petchem plant. The deadline for both projects has been set for 2015. The country’s second-biggest state-run refiner would expand the Kochi refinery by 63 per cent to process cheaper, high-sulphur crude to improve margins and products.

In March, it had said it would invest Rs 14,225 crore in the expansion and upgradation project, which would see the refinery processing 310,000 barrels per day (bpd), clearance for the project is expected in the latter half of 2012.

It had also said it plans to produce polymer-grade propylene from the project which would be used as a feedstock for a series of niche petrochemicals.

The executive said the company was looking at producing 500,000 tonnes of propylene derivatives yearly, which are imported at present. “Our partner is a licensor of the speciality chemical that we are planning to produce,” he added. BPCL is engaged in talks with the Kerala government for concession on the investment in the planned petrochemical unit, the official added.

LP Chemicals, headquartered in Winsford off Cheshire, manufactures and distributes laboratory chemicals and veterinary chemicals to customer specification.

Bharat Petroleum Corporation invests Rs 75 crore in refinery substation (http://timesofindia.indiatimes.com/city/kochi/Bharat-Petroleum-Corporation-invests-75-crore-in-refinery-substation/articleshow/13790509.cms)
Bharat Petroleum Corporation Ltd (BPCL) has spent Rs 75 crore to set up a 22 kV substation on the premises of its subsidiary Kochi Refinery at Ambalamugal near Kochi. The substation will be inaugurated by state power minister Aryadan Mohammed on Tuesday. State minister of fisheries, excise & ports K Babu will be present at the inaugural function.

BPCL said in a statement that the substation will cater to the additional power requirements of Kochi Refinery and also pave the way for setting up a 110 kV substation which is being envisaged by the Kerala State Electricity Board (KSEB) in the Kochi Refinery land itself.

"This will contribute to KSEB's capability to maintain stable and reliable power in the area and support the upcoming integrated refinery expansion project of BPCL Kochi Refinery, a petrochemical joint venture of BPCL, as well as Petrochemical Park being planned by the state government. Moreover, this will directly increase the power reliability in the Kalamassery industrial area and benefit domestic customers," the release stated.

With the commissioning of the new substation, Kochi Refinery will become the first extra high voltage consumer of KSEB at the 220 kV transmission level, BPCL said.

Minister for Electricity and Transport Aryadan Mohammed will inaugurate a 220-kV substation on the BPCL's Kochi Refinery premises at Ambalamugal, near here, on Tuesday, said a press release. The substation has been built at a cost of Rs. 75 crore as the BPCL-Kochi Refinery becomes the first extra high voltage consumer serviced by the Kerala State Electricity Board. The Board is also planning to set up an 110-kV substation within the refinery premises soon.

Support for complex
The new facilities will support the proposed petro-chemicals complex being planned by the BPCL. Besides, the new facility will improve the power reliability of Kalamassery industrial area.

The inauguration of the new substation is scheduled for 4 p.m. at the Ambalamugal premises of the refinery. Minister for Excise K. Babu will preside over the function.

http://www.thehindu.com/news/cities/Kochi/article3489421.ece

Good news, so companies from UK will invest in Metro Rail and Petrochemical project in Kochi. Great going Kochi.:cheers:


UK-based LP Chemicals to partner BPCL for Kochi Petrochemical plant (http://business-standard.com/india/news/bpcl-to-give-majority-stake-to-uk-company-in-petchem-jv/476227/)

Another Power Plant planned in Kochi (http://timesofindia.indiatimes.com/city/kochi/Kerala-govt-mulls-petcoke-power-plant-in-Kochi/articleshow/13860152.cms)

I guess, Kochi is also going to become POWER CAPITAL of Kerala.....:cheers:

The Kerala government is planning a 300-MW power plant using petcoke, to be produced from BPCL's Kochi Refinery after the completion of the proposed Integrated Refinery Expansion Project (IREP), said state minister for power & transport Aryadan Mohammed on Tuesday.

Mohammed was inaugurating a 220-kV substation at the Kochi Refinery premises at a function presided over by minister of fisheries, excise & ports K Babu. Babu urged the public to extent all cooperation to the upcoming development activities at Kochi Refinery

Kunnathunadu MLA V P Sajeendran officially handed over the sub-station to M Muhammed Ali Rawther, member (transmission & generation operation), Kerala State Electricity Board (KSEB).

Built at a cost of around Rs 75 crore by BPCL, the new substation is set to revitalize the electrical transmission network of KSEB and enhance the reliability of power in Kochi, said John Minu Mathew, executive director, BPCL Kochi Refinery. Built at a cost of around Rs 75 crore by BPCL, the sub-station will cater to the additional power requirements of Kochi Refinery. It was conceived, developed and built by BPCL Kochi Refinery with the support of KSEB. The various components of the sub-station include HV breakers, isolators and two power transformers of 50 MVA capacity each.

A control room with the latest version of SMART communicative numerical relays has been set up for the protection of the electrics of the entire sub-station and transmission line.

The substation will also pave the way for setting up of a 110 kV substation which is being envisaged by KSEB on the Kochi Refinery land, he said.

^^

Good news :cheers:

- 14,250 Cr expansion in Kochi
- capacity to be increased from 95lakh to 1.55 Cr tmt
- Kochi to be the first city to get gas city project(gas to home)
- target completion by 2015

mathrubhumi.com (http://www.mathrubhumi.com/business/news_articles/story-278290.html)

^^

Rs 14,250 crore KRL expansion project awaiting environmental clearance.

EC expected in 1 month; project planned to complete by 2015.

http://img577.imageshack.us/img577/4775/1441671.jpg
cc: Mathrubhumi

I would bet that, still Pooja Gas will deliver Indane only after 50 days of booking!!

Kochi-Bangalore gas pipeline project gets regulatory approval (http://www.livemint.com/2012/06/12214448/KochiBangalore-gas-pipeline-p.html?atype=tp)
The Petroleum and Natural Gas Regulatory Board (PNGRB) has approved the 1,104km Kochi-Bangalore natural gas pipeline. The project, first mooted by GAIL (India) Ltd in July 2007, got the final nod from the regulator on 31 May.

The oil regulator has approved the Kochi-Koottanad-Bangalore-Mangalore pipeline with a common carrier capacity of 4 million metric standard cubic metre per day (mmscmd), according to the approval, which has been reviewed by Mint.

GAIL has agreed to build the pipeline and commission it by March 2013 for around Rs.3,500 crore. The pipeline will pass through the districts of Ernakulam, Thrissur, Palakkad, Malappuram, Kozhikode, Kannur and Kasargod in Kerala; Coimbatore, Erode, Salem and Dharmapuri in Tamil Nadu; and Dakshin Kannada, Chamarajanagar, Mandya and Bangalore in Karnataka.

“One hundred percentof the gas supplied through the Dabhol-Bangalore and Bangalore-Kochi pipelines will be imported,” said the first GAIL official quoted above. The gas will be imported from various countries including Australia, Qatar, and the US, the official added.

With imported liquefied natural gas costing twice as much as indigenous LNG (liquefied natural gas), the viability of these power plants could come under question unless the state or central government raises the price of power purchases.

GAIL has established a regasified LNG plant at Dabhol to convert imported LNG to natural gas at a cost of Rs.4,000 crore, the official said. A similar plant will also be built in Kochi, the official added.

Petronet plans to pick up stake in Kochi LNG shipping venture (http://www.livemint.com/2012/06/12210256/Petronet-plans-to-pick-up-stak.html?atype=tp)
Petronet LNG Ltd, India’s biggest importer of liquefied natural gas (LNG), is diversifying into shipping by taking a stake of up to 49% in the venture planned to haul gas to its new regasification terminal coming up at Kochi in Kerala.

The diversification plan was unveiled in the tender floated by Petronet for selecting shipowners and operators for transporting LNG to the Kochi terminal, which is scheduled to become operational in 2014.

The Kochi terminal will have a capacity for 5 million tonnes per annum (mtpa) of LNG. Regasification is the process by which LNG is heated and converted into a gaseous state.

The tender conditions say that Petronet may hold up to 49% of the company formed by the successful ship-owning and operating consortium.

The balance 51% will be distributed among the shipowners and operators.

“This is a diversification plan,” said Sanjay Gupta, vice-president, shipping, at Petronet LNG.

Petronet is part-owned by Oil and Natural Gas Corp. Ltd, GAIL (India) Ltd, Indian Oil Corp. Ltd and Bharat Petroleum Corp. Ltd.

The firm plans to hire one ship for 20 years with a capacity to load as much as 216,000 cu. m of LNG to ship the fuel from the Gorgon project in Australia.

പെറ്റ് കോക്ക് ഉപയോഗിച്ച് 300 മെഗാവാട്ട്: വൈദ്യുതി മന്ത്രി ആര്യാടന്*

കൊച്ചി റിഫൈനറിയില്* നിന്നുള്ള അവശിഷ്ട ഉല്*പ്പന്നമായ പെറ്റ് കോക്ക് ഉപയോഗിച്ച് 300 മെഗാവാട്ട് വൈദ്യുതി ഉല്പാദിപ്പിക്കുന്നതിനുള്ള പദ്ധതി നടപ്പാക്കുമെന്ന് ഊര്*ജ്ജ മന്ത്രി ശ്രീ. ആര്യാടന്* മുഹമ്മദ് അറിയിച്ചു. 2020-ല്* കേരളത്തെ വൈദ്യുതി മിച്ച സംസ്ഥാനമാക്കുന്നതിന് ആവിഷ്ക്കരിക്കുന്ന പദ്ധതികളുടെ ഭാഗമാണിതെന്നും അദ്ദേഹം പറഞ്ഞു. ബി.പി.സി.എല്*. കൊച്ചി റിഫൈനറിയില്* കെ.എസ്.ഇ.ബി. സ്ഥാപിച്ച 220 കെ.വി. സബ് സ്റ്റേഷന്* ജുണ്* അഞ്ചിന് ഉദ്ഘാടനം ചെയ്യുകയായിരുന്നു മന്ത്രി. സംസ്ഥാ നത്ത് ലോഡ് ഷെഡ്ഡിംഗ് ഒഴിവാക്കുന്നതിനായി ആവിഷ്ക്കരിച്ചിട്ടുള്ള പദ്ധതികള്* ഈ സാമ്പത്തിക വര്*ഷം പൂര്*ത്തീകരിക്കും. മറ്റ് സംസ്ഥാനങ്ങളില്* മണിക്കൂറുകള്* നീളുന്ന ലോഡ് ഷെഡ്ഡിങ്ങും പവര്* കട്ടും ഉള്ളപ്പോള്* കേരളത്തില്* അര മണിക്കൂര്* മാത്രമായിരുന്നു വൈദ്യുതി നിയന്ത്രണം. അതും ഇപ്പോള്* നീക്കിയിരിക്കുകയാണ്. സംസ്ഥാനത്ത് വൈദ്യുതി ലഭ്യത യില്* 600 മെഗാവാട്ടിന്റെ കുറവാണ് ഇപ്പോഴുള്ളത്. പീക്ക് ലോഡ് സമയത്ത് യൂണിറ്റ് 16-17 രൂപ നിരക്കിലാണ് പുറമെ നിന്നും ഈ വൈദ്യുതി വാങ്ങുന്നതെന്നും മന്ത്രി പറഞ്ഞു. പെറ്റ് കോക്ക് ഉപയോഗിച്ചുള്ള വൈദ്യുതി ഉല്*പാദനത്തിന് പുറമെ പുതുവൈപ്പിലെ പെട്രോനെറ്റ് ടെര്*മിനലില്* നിന്നുള്ള എല്*.എന്*.ജി. ഉപയോഗിച്ച് 1050 മെഗാവാട്ട് വൈദ്യുതി ഉല്പാദിപ്പിക്കാന്* കഴിയും. കേന്ദ്രം കേരളത്തിന് അനുവദിച്ചിട്ടുള്ള കോള്* ബ്ലോക്ക് പ്രയോജ നപ്പെടുത്തി 1050 മെഗാവാട്ട് ഉല്പാദിപ്പിക്കാനാകുമെങ്കിലും ഇത് കേരളത്തി ലേക്കെത്തിക്കുന്നതിന് പരിസ്ഥിതി സ്നേഹികള്* തടസ്സം നില്*ക്കുകയാണ്. ഇത് ആന്ധ്രയ്ക്കോ, ഒറീസയ്ക്കോ കൈമാറി വൈദ്യുതി നേടാനാകുമോ എന്ന് സര്*ക്കാര്* ആലോചിക്കുന്നുണ്ട്. കായംകുളം താപനിലയത്തിന്റെ രണ്ടാം ഘട്ട വികസനം പൂര്*ത്തിയാകുന്നതും സംസ്ഥാ നത്തെ വൈദ്യുതി ലഭ്യത വര്*ദ്ധിപ്പിക്കുമെന്ന് ശ്രീ. ആര്യാടന്* മൂഹമ്മദ് ചൂണ്ടിക്കാട്ടി.

Source : kseb.in

News in Brief

KSEB to generate 300 MW from Pet Coke, a bye product from BPCL, Kochi.

മന്ത്രിസഭയുടെ വാര്*ഷികോപഹാരമായി കൊച്ചി നഗരത്തിന് രണ്ട് വൈദ്യുതി സ്റ്റേഷനുകള്*.

യു.ഡി.എഫ് സര്*ക്കാരിന്റെ ഒന്നാം വാര്*ഷികോപഹാരമായി കൊച്ചിക്ക് രണ്ട് സബ് സ്റ്റേഷനുകള്*. പനങ്ങാട് 110 കെ.വി., ബി.പി.സി.എല്*. കൊച്ചി റിഫൈനറി 220 കെ.വീ. എന്നീ സബ് സ്റ്റേഷനുകളാണ് ഊര്*ജ്ജ മന്ത്രി ശ്രീ. ആര്യാടന്* മുഹമ്മദ് ജൂണ്* അഞ്ചിന് നാടിന് സമര്*പ്പിച്ചത്. ഇതിനൊപ്പം തൃപ്പൂണിത്തുറ 66 കെ.വി. സബ് സ്റ്റേഷന് ഈ സാമ്പത്തിക വര്*ഷം പ്രവര്*ത്തിസജ്ജമാകുമെന്ന പ്രഖ്യാപനവും മന്ത്രി നടത്തി. കെ.എസ്.ഇ.ബി. യുടെ മരട് സെക്ഷന്* വിഭജിച്ച് കുമ്പളം പഞ്ചായത്തിലെ പനങ്ങാട് കേന്ദ്രീകരിച്ച് പുതിയ സെക്ഷന്* രൂപീകരിക്കുമെന്ന സുപ്രധാന തീരുമാനവും മന്ത്രി അറിയിച്ചു. കൊച്ചി റിഫൈനറിയുടെ സ്ഥലത്ത് പൊതു ആവശ്യം മുന്* നിര്*ത്തി മറ്റൊരു 110 കെ.വി. സബ് സ്റ്റേഷന്* കൂടി കെ.എസ്.ഇ.ബി. സ്ഥാപിക്കും. കൊച്ചി റിഫൈനറിക്ക് വേണ്ടി കെ.എസ്.ഇ.ബി. സ്ഥാപിച്ച സബ് സ്റ്റേഷന് 75 കോടി രൂപയാണ് മുതല്* മുടക്ക്. ഇതോടെ 220 കെ.വി. തലത്തിലും കെ.എസ്.ഇ.ബി. യുടെ ആദ്യ എക്സ്ട്രാ ഹൈ വോള്* ട്ടേജ് ഉപഭോക്താവ് എന്ന പദവിയും കൊച്ചി റിഫൈനറിക്ക് കൈവന്നു. റിഫൈനറിയുടെ സംയോജിത റിഫൈനറി വിപുലീകരണ പദ്ധതി പെട്രോകെമിക്കല്* സംയുക്ത സംരംഭം, സംസ്ഥാനസര്*ക്കാരിന്റെ പെട്രോകെമിക്കല്* പാര്*ക്ക് എന്നിവയുടെ ഊര്*ജ്ജാവശ്യങ്ങള്* നിറവേറ്റാന്* സഹായകമാകുന്നതാണ് ഈ പുതിയ സബ് സ്റ്റേഷന്*.

അത്യാധുനിക സൌകര്യങ്ങളോടെ സജ്ജമാക്കിയിരിക്കുന്ന റിഫൈനറി സബ് സ്റ്റേഷനില്* 50 എം.വി.എ. ശേഷിയുള്ള രണട് പവര്* ട്രാന്* സ്ഫോര്*മറുകളാണുള്ളത്. ഇതില്* ഒരെണ്ണം മാത്രം റിഫൈനറിയുടെ ഇപ്പോഴത്തെ ആവശ്യത്തിന് മതിയാകും. രണ്ടാമത്തെ ട്രാന്* സ്ഫോര്*മര്* പൊതു വിതരണ ശൃംഖലയ്ക്കായി നീക്കിവയ്ക്കും. കൊച്ചി റിഫൈനറി വളപ്പിലൂടെ കടന്നു പോകുന്ന 220 കെ.വി. ലൈനില്* നിന്നും നേരിട്ടാണ് സബ് സ്റ്റേഷനിലേക്ക് വൈദ്യുതി എത്തുന്നത്. നാലു വിതരണ ടവറുകളാണ് ഇതിനായി സ്ഥാപിച്ചത്. കുമ്പളം പഞ്ചായത്തിലെ പനങ്ങാട് 15 കോടി രൂപ ചെലവില്* ആവിഷ്ക്കരിച്ച 110 കെ.വി. സബ് സ്റ്റേഷന്* പൂര്*ത്തിയാകുമ്പോള്* ചെലവിട്ടത് 12 കോടി രൂപ മാത്രം. കുമ്പളം, മരട്, പനങ്ങാട്, ചാത്തമ്മ, നെട്ടൂര്* പ്രദേശങ്ങളിലെ വൈദ്യുത പ്രതിസന്ധിക്ക് വലിയൊരളവ് വരെ ഈ സബ് സ്റ്റേഷന്* പരിഹാരമാകും.

Source : kseb.in

News in Brief

Kochi Refineries (BPCL) Rocks :cheers:

The work of the Petronet LNG terminal at Puthuvype here has been hampered by an unseemly row over recruitment. Work has come to a standstill for the past few days after a group of people began a dharna, obstructing work.

The company officials said the work had suffered at a time when the project was nearing completion. The terminal is scheduled to be commissioned by the end of the year.

The officials expressed apprehension that the company might not be able to complete the work on schedule if the disturbance prevails.

The company had already informed the State government and sought the intervention of the High Court. The court has ordered protection to the company, according to the officials. About 3,000 people are working at the site and a loss of even a single day would result in irreparable damage to the timely execution of the project, A.K. Balyan, managing director of Petronet LNG, said. Three major international companies are working at the location, he said.

‘Job for locals'
The agitation began with a demand for recruiting locals, Mr. Balyan said, adding that the stir was instigated by certain people. He said over 95 per cent of the operating staff were Keralites.

The company had given advertisements in major newspapers for selection of technically qualified people. The LNG project work is a high technology area and only qualified people could be recruited for it.

“The fishermen's issue was settled long back; it was also being raised by a few. There is no basis at all for the agitation,” he said.

CITU leader M.M. Lawrence said his organisation was not involved in the incident, but youths belonging to many political groups were carrying out the agitation.

The Rs.3,750-crore LNG project envisages regasification of liquefied natural gas which could be transported through pipes for domestic and industrial use.

The project is expected to be a landmark in the infrastructure of Kerala.S. Sarma, MLA, said certain youth organisations had demanded that the local people who had lost their land when the project came up should get priority in appointments.

The company had agreed to do so earlier, he said. He was not aware of any disruption in work at the site, he said.

http://www.thehindu.com/news/cities/Kochi/article3526987.ece

http://www.sify.com/finance/bpcl-to-give-majority-stake-to-uk-company-in-petchem-jv-news-editors-

bpcl-to-give-majority-stake-to-uk-company-in-petchem-jv


BPCL to give majority stake to UK company in petchem
By Kalpana Pathak

Last Updated: Mon, Jun 04, 2012 00:50 hrs


State-run Bharat Petroleum Corporation Limited (BPCL) has finalised a joint venture (JV) agreement with UK-based LP Chemicals for petrochemical business. BPCL is likely to hold 49 per cent in the venture, with the British company holding a majority 51 per cent.


The JV would invest about Rs 5,000 crore in the project and have a 70:30 debt equity ratio. LP Chemicals may bring in Rs 1,500 crore. BPCL plans to spend Rs 40,000 crore in the next five years to set up a petrochemical plant at the Kochi refinery to produce niche products, expand the capacity of existing refineries, gas marketing and exploration and production.,

"We will sign the memorandum of association shortly. After this, we will have to do a feasibility report and later a company will be formed. We should be able to put things in place by early next year," said a senior BPCL executive, on condition of anonymity.


The executive said the company would integrate the expansion of its Kochi refinery and construction of its petchem plant. The deadline for both projects has been set for 2015. The country's second-biggest state-run refiner would expand the Kochi refinery by 63 per cent to process cheaper, high-sulphur crude to improve margins and products.

In March, it had said it would invest Rs 14,225 crore in the expansion and upgradation project, which would see the refinery processing 310,000 barrels per day (bpd), clearance for the project is expected in the latter half of 2012.

It had also said it plans to produce polymer-grade propylene from the project which would be used as a feedstock for a series of niche petrochemicals.

The executive said the company was looking at producing 500,000 tonnes of propylene derivatives yearly, which are imported at present. "Our partner is a licensor of the speciality chemical that we are planning to produce," he added. BPCL is engaged in talks with the Kerala government for concession on the investment in the planned petrochemical unit, the official added.

LP Chemicals, headquartered in Winsford off Cheshire, manufactures and distributes laboratory chemicals and veterinary chemicals to customer specification

This will be the biggest investment which will happen in state.

http://farm8.staticflickr.com/7085/7399850054_f5454318cc_c.jpg
License All rights reserved by IndiaEL2012

http://img207.imageshack.us/img207/7924/image1ms.png

http://www.manoramaonline.com/cgi-bin/MMOnline.dll/portal/ep/malayalamContentView.do?contentId=11840581&programId=1073753761&tabId=0&BV_ID=@@@

Naval ship repair yard gets new machine shop - The Times of India http://apnacircle.com/s/RXgDx


KOCHI: A machine shop was inaugurated on Friday at the Naval Ship Repair Yard (NSRY), Kochi as part of its modernization drive to cater to advanced platforms and expansion of the Indian Navy.

At present, NRSY undertakes maintenance and repair of warships and other craft of Southern Naval Command and visiting ships.

It was inaugurated by 82-year-old P K Ponnappan Pillai who retired as the first principal foreman of the yard in 1991. Vice Admiral Satish Soni, flag officer commanding in chief, Southern Naval Command was present.

We will commission Kochi terminal on time: Petronet LNG (http://www.moneycontrol.com/news/business/we-will-commission-kochi-terminaltime-petronet-lng_723599.html)
Petronet LNG says that commissioning of its Kochi terminal is on track. In an interview to CNBC-TV18, A.K Balyan, CEO and MD of the company said that by mid 2013, the Mangalore-Bangalore section of the pipeline will be ready. "Capacity utilization should improve post the commissioning of the pipeline," said Balyan.

Meanwhile, the terminal shall have a capacity of 5 million metric tonnes per annum. It will help in meeting enormous demand of natural gas for power, fertilizers, petrochemicals and various other industries in the southern states.
On the company's existing Dahej terminal, Balyan adds that even this terminal is back to full utilisation levels.

Petronet LNG is India's largest importer of liquefied natural gas (LNG) at its Dahej plant. The company recently expanded the capacity to 10 million tonne per annum (equivalent of 40 million standard cubic meters per day or MMSCMD).

Below is the edited transcript of his interview with CNBC-TV18.

Q: There has been some concern that your Kochi terminal might have to do with inadequate or very low capacity utilization for quite a while because GAIL's pipeline will not be ready, can you just take us through what your expectations are once the Kochi terminal is fully up and running?

A: We feel that the Kochi terminal should be operating around December-January. The progress is on track, it is as per schedule. Phase I of the pipeline, is being steered by GAIL and it is definitely going to be ready. So this first phase of about 45 kilometers would connect the immediate neighbourhood. We are looking at major consumers like Bharat Petroleum and in fact, one or two other consumers, maybe a power consumer as well.
I think we are looking at commissioning its operation somewhere around January or so. We have to fine tune our exact dates in discussion with GAIL and the readiness of the consumers to receive gas.

But the two major pipelines, one which goes from Kochi to Mangalore and then Kochi to Bangalore via Tamil Nadu would be ready somewhere around 2013 and may take some more time. I believe, now the terminal’s capacity utilization largely depends upon the pipeline connectivity.

I am sure GAIL is working on that. We have jointly reviewed it along with the state government. We sought their help to see the land related issues are sorted out and the state has facilitated quite a bit. So we hope that the pipelines, which are under construction would be able to go further quickly.
In 2013 we surely expect the pipelines to be there and two major consuming centers, Mangalore and also enroute to Bangalore, would definitely take our capacity utilization to much higher levels.

Q: What would you be more confident of holding out in terms of a volume target for this year, even for the calendar year?

A: I feel the trends, the demand scenario is pretty much similar to last several months. We feel this trend may continue and we are hopeful that we should be operating Dahej at more than 100% capacity. Our expansion plans for Dahej is also going on right now.

Q: Apart from the Kochi-Bangalore pipeline, what other expansion plans do you have lined up for the next six months and going into the next year?

A: Our first priority is ofcourse to see that Dahej plant, which operates over 100% capacity is expanded. We don't want to get into a capacity constraint there. We have completed the field work that is the frontend, engineering and design work is going on right now. We hope to finish it in maybe another one and a half months.

Then we would like to quickly go and see competent contractors coming into regasification facilities as also additional tankage. Our marine facilities for the second jetty is already under construction. I think, for us, this is a top priority project and we hope to perhaps have the marine facilities completed somewhere around 2013.

It would give us little leeway to go from beyond the present capacity utilization and then once the regasification facilities come in, we expect a quantum jump upwards, in terms of our capacities.

GAIL pipeline: Work through SmartCity land resumed

LNG terminal works 95% completed; Expected to commission in October.

Phase I of 40km pipeline from Puthuvypin to Ambalamughal will feed LNG to major industries in the area like Kochi Refineries, FACT, TCC, Binani Zinc, Reliance power plant etc.

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cc: Manorama

First phase of PNG project to be completed in Dec: Kerela CM (http://www.business-standard.com/generalnews/news/first-phasepng-project-to-be-completed-in-dec-kerela-cm/28115/)
The first phase of project of laying natural gas pipeline from Gas Authority of India's LNG Terminal in Kochi would be completed in December, Chief Minister Oommen Chandy said today.

The state government is planning to constitute a Petroleum Natural Gas Cell to prepare a strategy for maximum utilisation of natural gas for the state's economic growth, he told the state assembly.

The first phase of laying a 44 km pipeline from Kochi Gas Terminal to nine companies, including Cochin Refineries, FACT plant at Udyogamandal and Amalammukel power plant at Brahmapuram, is fast progressing and is expected to be commissioned in December, he said.

The construction work of LNG Terminal at Kochi has been completed, he said.
The plan to supply natural gas for domestic use through pipe connection to residences is also under consideration.

The second phase of routing natural gas to the NTPC Power plant at Kayamkulam and to Mangalapuram and to Bangalore via Palakkad would be taken up, he said.

The state government would ensure that people whose lands have been acquired or through which the pipeline passes get a good compensation package, he added.

LNG pipeline project to be completed by December

THIRUVANANTHAPURAM: Chief minister Oommen Chandy said that laying of the 44-kilometre-long LNG pipeline project would be completed by December this year.

The chief minister said that he along with defence minister A K Antony held discussions with GAIL chairman P C Tripathi, and the defence ministry had, in principle, approved to lay a pipeline through the defence territory situated in the outskirts of Kochi.

He said that the pipeline, which was part of the first phase of the project, would provide natural gas to nine companies, including power generation plants like Brahmapuram diesel power plant.

"A natural gas-based cell is being established which have experts from petroleum industrial sector as its members," he said.

The cell will look at the usage of natural gas for industrial units, income generations, domestic consumption pattern and new ways to generate income from this sector.

Chandy was replying to the calling attention notice given by Congress MLA, V D Satheeshan on the necessity to establish a petroleum natural gas cell in order to ensure the availability of natural gas in the state in proportion to the state's share in the growth of natural gas usage.

Chandy said a compensation package would be worked out for families who lose their land for the second phase of the pipeline project envisaged from Mangalapuram to Palakkad.

http://timesofindia.indiatimes.com/city/thiruvananthapuram/LNG-pipeline-project-to-be-completed-by-December/articleshow/14679203.cms

Kochi LNG terminal to be fully functional only in 2014.

http://www.economic-update.in/news/2012/07/05/kochi-lng-terminal-to-be-fully-functional-only-in-2014/

Power from Petronet’s Kochi terminal to cost record Rs 15/unit (http://english.manoramaonline.com/cgi-bin/MMOnline.dll/portal/ep/contentView.do?contentId=11932482&tabId=1&programId=11565535)
Electricity generated from liquid gas (LNG) imported from Australia by Petronet LNG Ltd at its upcoming Kochi terminal in Kerala will cost a record Rs 15 per unit at consumer end.

Petronet LNG (PLL) has signed a pact to buy 1.5 million tonnes of liquefied natural gas (LNG) from Gorgon project in Australia at 14.5 per cent of prevailing international oil price.

At $ 100 per barrel oil price, the LNG will cost $ 14.5 per million British thermal unit at the time of loading in ships on the Australian ports.

After adding $ 1.25-1.5 per mmBtu in shipping or transportation cost and 5 per cent import/customs duty, the landed price of gas will be $ 16.5 per mmBtu.

The prices of the fuel to consumer after adding local transportation, taxes and other charges will cost about $ 19-20 per mmBtu or more than three times the delivered price predominant domestic gas.

Oil Secretary G C Chaturvedi, who is also the Chairman of PLL, in a recent presentation to Pulok Chatterjee, Principal Secretary to the Prime Minister, stated that the generation cost of power based on Gorgon LNG will be Rs 9 per unit, sources said.

At the consumer end, after adding other expenses such as distribution cost and transmission losses, the price would work out to Rs 15 per unit.

Meanwhile, PLL Managing Director Ashok Kumar Balyan today said the firm's 5 million tonne a year Kochi terminal will be commissioned in the current fiscal.

Initially, the terminal would operate at lesser capacity due to constraints of evacuating the gas in absence of pipeline network, he said.

The terminal would be able to operate at its full 5 million tonne capacity only by 2014 after pipelines transporting the fuel to consumers are built.

He said state-owned GAIL India would finish building pipelines from Kochi to Bangalore and Mangalore by the end of 2013, rather than March 2013 as earlier planned.

Regarding cost/per unit ... about cost/unit from solar power in gujarat.

Anyone can put up solar panels on their rooftops and sell power to the state government. He said that because of Gujarat government’s efforts, the cost of solar power came down to Rs 8.50 per unit from Rs 15 per unit and hoped it would decrease to Rs 4 per unit.

http://www.indianexpress.com/news/solar-power-puts-modi-us-on-one-platform/939247/

EIL lands BPCL consultancy deal (http://www.thehindu.com/business/companies/article3610357.ece)
Engineers India Limited (EIL) (http://www.engineersindia.com/), on Friday, announced that it had secured consultancy services contract from Bharat Petroleum Corporation Limited (BPCL) for Integrated Refinery Expansion Project (IREP), Kochi, for a Rs.720-crore fee.

The project involves enhancing crude oil refining capacity from the present 9.5 million metric tonnes per annum (mmtpa) to 15.5 mmtpa, according to an official statement.

EIL will be providing consultancy services for project management, process design/ residual process design, detailed engineering, procurement, inspection and expediting, tendering, construction management and supervision including quality assurance, assistance in start-up, pre-commissioning, commissioning and guarantee test runs for units and facilities of plant.

Besides other major projects undertaken in the hydrocarbon sector by the company, EIL has to its credit 50 petroleum refinery projects, including grassroots, revamp and expansion. EIL has provided its services for most of the refineries existing in India owned by various prestigious clients such as IOC, BPCL, HPCL, CPCL, KRL, NRL and MRPL.

Of late, the company has diversified into newer areas such as nuclear, solar and thermal power, water and solid waste management, city gas distribution and fertilizers.

GAIL pipeline network gets ready (http://www.thehindu.com/todays-paper/tp-national/tp-kerala/article3622678.ece)
Gail (India) Ltd., a central public sector undertaking, which is laying the pipeline for natural gas distribution from Vypeen to Kochi and beyond, is hopeful of commissioning the network in the Kochi region soon.

The hurdles in the way of laying the pipeline through the land at the Naval Armament Depot had been sorted out, company officials said.

The work on laying of pipelines to distribute re-gasified liquefied natural gas (RLNG) to 9 industrial units in and around Kochi was also in the final stage. More industrial units were expected to join the customer base in the coming months. The pipeline work was being completed ahead of the arrangements for transmission of gas from the Petronet LNG terminal, expected to be commissioned by the end of the year.

The city gas project, envisaging distribution of piped gas to households, would take off once the Petroleum and Natural Gas Regulatory Board (PNGRB), vested with the authority of initiating region-wise auction procedures, started the process. The project would be of immense relief to LPG customers who were not getting cooking gas in time.

Work was in progress to extend the pipeline network from Kochi to Palakkad as part of the Kochi-Bangalore network.

GAIL wants power plant away from LNG terminal (http://newindianexpress.com/cities/kochi/article562898.ece)
http://newindianexpress.com/incoming/article562897.ece/ALTERNATES/w460/10plant.jpg

Even as the LNG terminal is nearing completion, the Gas Authority of India Limited (GAIL) authorities are demanding that the power plant being set up adjacent to the terminal be relocated away from the terminal. GAIL is the distributor of LNG to the proposed power plant.

The power station is a joint venture of the state government and Petronet LNG Limited (PLL) at a cost of Rs 2,000 crore.

The government had identified 50 acres of land for the 1250-MW power station using the advantages of the proposed plant’s proximity to the LNG receiving and re-gasification facilities (LNG Terminal).

However, the GAIL authorities are of the opinion that the plant should be relocated somewhere far from the location of the LNG terminal.

According to GAIL, land in possession of FACT Cochin Division is the ideal location for the power plant.

“The land near Puthuvype near the LNG terminal is not suitable for setting up a power plant for various reasons. The main disadvantage is scarcity of water in the area. Due to its geographical feature, there is always a threat of sea erosion. Because of loose sand, a huge amount will have to be spent for foundation work. Whose interest is this to set it up in the congested Puthuvype itself?” asked a senior official of GAIL.

“Considering the availability of land, proximity of consumers, mainly the petrochemical companies and the proposed Smart City, Ambalamugal is the best option. Since the consumers are located nearby, transmission loss can also be reduced to a great extent,” said sources in GAIL.

When contacted FACT authorities said that they have not received any official communication regarding handing over its land for the power plant.

"We will look into the matter and take appropriate action, if there is offical request,"

BPCL, LG Chem ink MoU for petrochemical project (http://www.thehindubusinessline.com/companies/article3631205.ece)

After Oman company and UK based LP Chemicals, it's the turn of S.Korea's LG Chem to be in the news.
Electronics major LG's Chemical industry presence was a new information, though.
Bharat Petroleum Corporation Ltd (BPCL) and LG Chem (http://www.lgchem.com/), South Korea, today signed a MoU to establish a petrochemical plant adjacent to BPCL’s Kochi refinery complex at an estimated investment of Rs 4,000-6,000 crore.

BPCL in a release said that it would be investing nearly Rs 14,000 crore over the next five years in expanding its Kochi refinery.

As part of this project, it would be establishing a petrochemical fluid catalytic cracker to generate 500 TMTPA of propylene. This would offer BPCL a launch pad for diversification into petrochemicals.

Completion of the project would be dovetailed into the refinery expansion project.

Rs 6,000 crore catalyst for Kerala industry (http://timesofindia.indiatimes.com/city/kochi/Rs-6000-crore-catalyst-for-Kerala-industry/articleshow/14856327.cms)
Bharat Petroleum Corporation Ltd's (BPCL) proposed Rs 6,000 crore joint venture with South Korea's LG Chem (http://www.lgchem.com/) will accelerate investment possibilities in the state and stimulate industries in Kerala, especially those in petrochemical-based consumer products.

The new plant will produce four chemicals - superabsorbent polymers, acrylic acid, acrylate, and butanol - using 300,000 tonnes of propylene produced by the Petrochemical Fluid Catalytic Cracker (PFCC) unit of Kochi Refinery.

"The superabsorbent polymer is currently fully imported. It is used for manufacturing sanitary napkins. Once the new plant starts manufacturing it, the country's dependence on foreign markets will be reduced by half,'' said E Nandakumar, former executive director of Kochi Refinery. Acrylic acid is used to manufacture chemicals for water treatment and paper manufacturing. Acrylate is used in the production of paint, ink and adhesives and butanol is used for detergent and plastic manufacturing. "Production of these chemicals will start an industrial chain reaction in the state," sources said.

On Thursday BPCL signed an MoU with LG Chem in Seoul for floating the JV. The plant will be on a 50-acre land adjacent to Kochi Refinery complex. The project is expected to be complete by December 2015. Sources said the project will create 500 to 1,000 direct jobs and up to 4,000 indirect jobs. BPCL, with investment plans to the tune of Rs 14,000 crore over the next five years, is setting up a Petrochemical Fluid Catalytic Cracker unit, as part of its diversification plan into petrochemicals. LG Chem, part of LG Corp, is the biggest chemicals producer of South Korea.

BPCL, LG Chem ink MoU for petrochemical project (http://www.thehindubusinessline.com/companies/article3631205.ece)
കൊച്ചിയിൽ 6000 കോടിയുടെ പെട്രോകെമിക്കൽ കോംപ്ലക്സ് (http://www.manoramaonline.com/cgi-bin/MMOnline.dll/portal/ep/malayalamContentView.do?contentId=11993663&programId=1073753761&channelId=-1073751706&BV_ID=@@@&tabId=11)
പെട്രോകെമിക്കൽ വ്യവസായ മേഖലയിൽ വൻ കുതിപ്പിന് വഴിയൊരുക്കി, കൊച്ചി റിഫൈനറിയോടു ചേർന്ന് പെട്രോകെമിക്കൽ കോംപ്ലക്സ് സ്ഥാപിക്കുന്നതിന് ദക്ഷിണ കൊറിയയിലെ എൽജികെമ്മുമായി ബിപിസിഎൽ സംയുക്ത സംരംഭം ആരംഭിക്കുന്നു. ഇതു സംബന്ധിച്ച ധാരണാപത്രം ഇരു കമ്പനികളും കഴിഞ്ഞ ദിവസം ഒപ്പുവച്ചു.

പൊതുമേഖലാ എണ്ണ കമ്പനിയായ ഭാരത് പെട്രോളിയം അമ്പലമേട് റിഫൈനറിയിൽ നടപ്പാക്കുന്ന വികസന പദ്ധതിയോടു ചേർന്നാണ്, 6000 കോടി രൂപയോളം മുതൽമുടക്കിൽ സംയുക്ത സംരംഭം തുടങ്ങുന്നത്.

വികസന പദ്ധതിയുടെ ഭാഗമായി സ്ഥാപിക്കുന്ന പെട്രോകെമിക്കൽ ഫ്ലൂയിഡ് കാറ്റലിറ്റിക് ക്രാക്കറിന് പ്രതിവർഷം അഞ്ച് ലക്ഷം ടൺ പ്രൊപ്ലിൻ ഉൽപാദിപ്പിക്കാൻ ശേഷിയുണ്ട്. ഇത് ഉപയോഗിച്ച് സൂപ്പർ അബ്സോർബന്റ് പോളിമർ, അക്രിലിറ്റ് ആസിഡ്, അക്രിലേറ്റ്, ബുട്ടനോൾ എന്നിവ ഉൽപാദിപ്പിക്കാം. വിവിധ വ്യവസായ സംരംഭങ്ങൾക്ക് സാധ്യതകളും തൊഴിലവസരങ്ങളും ഒരുക്കുന്നതാണ് ഈ ഉൽപന്നങ്ങൾ. ഇറക്കുമതി ഒഴിവാക്കി, വൻതോതിൽ വിദേശ നാണ്യവും നേടാം.

ബിപിസിഎൽ കൊച്ചി റിഫൈനറീസിന്റെ 14225 കോടി രൂപ മുതൽമുടക്കുള്ള ഇന്റഗ്രേറ്റഡ് റിഫൈനറി എക്സ്പാൻഷൻ പ്രോജക്ട് (ഐആർഇപി) കേന്ദ്ര പരിസ്ഥിതി മന്ത്രാലയത്തിന്റെ അനുമതി കാത്തിരിക്കുന്നു.

Playing down the controversies regarding the laying of pipelines by the Gail (India) Ltd in connection with the LNG terminal, Power and Transport Minister Aryadan Mohammed said on Friday that people with vested interest are behind such moves.

“If the LNG terminal does not become fully operational, the state will encounter a huge power crisis,” the minister said. He was speaking at a press conference in connection with a function organised by the Indian Chamber of Commerce and Industry (ICCI) at Mattanchery to discuss the issues related to power and transport faced by the residents of West Kochi.

“The state government is paying `10.45 for a unit of power from the National Thermal Power Corporation (NTPC) plant at Kayamkulam. When the LNG terminal becomes fully operational, it will be reduced to `5 or lesser,” the minister said. He said that the total power requirement of the state now is 3400 Mega Watt. The total cost for purchasing power was `5500 crore last year.

“The total power requirement of the state will be 6000 MegaWatt by 2021. The proposed 1050 MegaWatt power from the LNG terminal and the additional power production of 1950 MegaWatt using the LNG from the Puthuvype terminal at the National Thermal Power Corporation (NTPC) at Kayamkulam is crucial to meet this huge requirement,” he said.

Speaking on the woes of the West Kochi residents, Aryadan said that `15 crore will be allotted to West Kochi region under R-APDRP scheme of the Central Government to reduce power disruption in the area.

He also said that a notice of at least two days in advance will be given to the people at West Kochi in case of power outage.

“Long distance buses will be allotted to the West Kochi region upon availability.

Two buses - one to the northern part of the state and the other to the southern part- will be given top priority,” the minister assured.

He also added that on the second phase of the Kochi Metro Rail project the inclusion of the West Kochi will be considered. Dominic Presentation MLA, Mayor Tony Chammany, Indian Chamber of Commerce and Industry president P L Prakash James were present at the function.

from newindiaexpress: http://newindianexpress.com/cities/kochi/article566546.ece

http://img341.imageshack.us/img341/5734/lngmm.jpg

petronet lng and port trust sent letter to the chief minister against the 'unwanted strike' at the site.

from manorama

Think of the agonies that you as an LPG consumer have had undergone because the LPG cylinder was taking its last breath and the replacement had not arrived. The usual question that comes to mind at such trying times is if there is an alternative. Many people have chosen cooking gadgets working on electricity. But again, power supply is something that no one can rely on.

It is under such a situation that the proposed ‘city gas’ supply assumes much relevance. Kochi is set to have a piped natural gas supply that could reach the kitchen straight.

The project is to take off once the Petronet LNG project, now in the final stage of execution, becomes operational. A pipeline network to distribute the regasified liquefied natural gas to nine industries in Kochi is being laid by GAIL India Limited. The gas could reach homes if the pipelines are extended to residential areas.

Successfully established

The piped natural gas supply network has successfully been established in cities such as New Delhi. The Petroleum and Natural Gas Regulatory Board (PNGRB), the sanctioning authority for establishing domestic distribution network, will have to invite tenders for the work. Though the process had been initiated months ago, procedural delays had come in the way of execution. The process will be set in motion once again, paving way for the city gas project, according to sources in the petroleum industry sector. Providing natural gas to kitchens will also ease the problem of mounting subsidies incurred by the government on the supply of LPG. It could be a win-win situation for the households as well as the government, a top official of GAIL said.

The coming months would witness intense activity on RLNG distribution to industrial units and piped natural gas to household consumers. In a subsequent phase, vehicles could also be run on compressed natural gas (CNG). Slight modifications would be required in the engines of vehicles using petrol and diesel as fuel now, in order to make use of natural gas. With New Delhi having pioneered the process, it would not be a difficult task to replicate the model in Kochi and other cities.

from thehindu: http://www.thehindu.com/todays-paper/tp-national/tp-kerala/article3664760.ece

Petronet-GoK JV to setup 1,200 MW gas-fired power plant at Kochi (http://business-standard.com/india/news/petronet-in-talks-for-rs-3000-cr-power-plant-at-kochi/180596/on)
Petronet LNG Ltd, the nation's largest natural gas importer, is in talks to set up a Rs 3,500-crore power plant adjacent to its upcoming LNG import facility at Kochi in Kerala.

Petronet has proposed to set up a 1,200 MW gas-fired power plant a 50:50 joint venture with the Kerala government, sources privy to the development said.

Kerala, which faces power shortages, is willing to partner Petronet and the land it will give for setting up of the power plant would be considered as part of its equity contribution in the project.

Also, the state government has shown inclination towards accepting Petronet's condition of buying at least 75% of the power generated at the power plant under a long-term power purchase agreement or PPA.

Sources said the power generated at the plant, which would use liquefied natural gas (LNG) imported from Australia as fuel, would be priced at less than Rs 7 per unit, much cheaper than Rs 11 per unit the state government is currently buying power from some private generators.

Three units of 350 MW each would be set up in 48 months but operationally it will generate 1,200 MW of electricity.

A MoU for the project is likely to be signed between Petronet and the state government shortly, they said, adding a detailed feasibility report would be prepared subsequently.
http://i48.tinypic.com/saw0w8.jpg
cc: Manorama

Protests may delay LNG terminal commissioning


KOCHI: Petronet LNG and the Cochin Port Trust (CPT) officials have written to the state government that agitations led by CPM leader S Sarma MLA, demanding employment for the local people at the upcoming LNG terminal at Puthuvype, would delay its commissioning.

The commissioning of the terminal has been scheduled for December. But agitations held over several days have denied staff access to the project site, which may lead to delay in commissioning.

The issue could turn more serious if the government fails to intervene and resolve it, they said.

Petronet officials said being a national company, it would be difficult for them to reserve jobs on regional considerations. The recruitments are done based on national level eligibility criteria through a transparent process.

But the Petronet has recruited 66 Keralites to fill 112 technical posts in the project.

There are 45 security personnel and 12 fire and safety staff deployed by contractors at the site and all of them hail from Kerala. According to Petronet officials, nearly 90% of the non-technical staff is from Kerala.

Chief minister Oommen Chandy had convened a meeting last week to discuss the issue which was cancelled.

CPT officials pointed out that the project did not displace anyone and only a few families had to be relocated for the construction of the access road.

Sarma, however, told TOI here that there was an understanding to give jobs to one member each from 18 families who had to be evicted for the construction of the access road.

"We are only demanding that locals should be given preference for unskilled jobs, if they possess the required qualifications. Petronet has been denying even the job of sweepers to locals,'' he said

http://timesofindia.indiatimes.com/city/kochi/Protests-may-delay-LNG-terminal-commissioning/articleshow/15333391.cms

http://img444.imageshack.us/img444/7977/lngmb.jpg

from mathrubhoomi

Work on phase I of LNG pipeline nearing completion


KOCHI: Gas Authority of India Limited (GAIL) has completed the laying of LNG pipeline through the SmartCity area and is set to complete the work through the Naval Armament Depot (NAD) compound by month end.
GAIL had to suspend this project for over six months following objections from the officials of the SmartCity and NAD on safety grounds.

While the objections raised by the SmartCity were resolved through talks mediated by the state government couple of weeks back, the defence ministry gave the formal clearance for laying the pipeline through the NAD only a couple of days back.

"We started the work at NAD three days back and would complete it by month end. The service buildings for these pipelines would be ready by mid-September,'' GAIL deputy general manager K P Ramesh told TOI. With this the first phase of the GAIL pipeline project to carry gas from the Petronet LNG terminal coming up at Puthuvype would be ready for launch, he said.

The total length of the pipeline in this phase would be about 40 km. LNG will be carried to the industrial customers in the suburbs of Kochi like FACT, Bharat Petroleum Cochin Refineries Limited, HOC and TCC and to the 165mw BSES power station.

The delays in the completion of the pipelines had raised doubts about the date of the commissioning of the LNG terminal.

"Even though we will be ready with the infrastructure to carry gas to these customers, it might take some more time before these industries get ready to use the gas. They have to set up the equipment to shift from their current source of fuel to gas,'' said Ramesh.

Under the second phase, gas would be carried from Puthuvype to Mangalore and Bangalore. "The land acquisition process for this has already begun," he said.

http://timesofindia.indiatimes.com/city/kochi/Work-on-phase-I-of-LNG-pipeline-nearing-completion/articleshow/15485231.cms

BPCL plans petcoke power plant (http://kerala/article3772529.ecethehindu.com/news/states/)

Officials of Bharat Petroleum Corporation Ltd. (BPCL) had a discussion with Chief Minister Oommen Chandy here on Tuesday about the possibilities of setting up a power plant using the petroleum coke (petcoke) generated during the operations at their refinery in Kochi.

A government press release said the Chief Minister had requested them to prepare a detailed plan and also finish, as early as possible, the requisite environmental impact assessment. The refinery, on completion of the ongoing expansion programme there, would produce enough petroleum coke to generate 3,700 million units of electricity annually.

Kochi: The Petronet LNG Ltd. (PLL) terminal here in Kerala is likely to be commissioned within two months, a top official said Thursday.

The liquefied natural gas (LNG) regasification terminal, a greenfield project, will have a capacity of five million metric tonnes per annum.

Ninety-seven percent of work in the first two phases of the Rs.4,200 crore terminal in Puthu Vypeen near here is complete, the official said.

PLL's promoters are Gas Authority of India Ltd., Oil and Natural Gas Corporation, Indian Oil Corporation and Bharat Petroleum Corporation Ltd.

PLL managing director A.K. Balyan said that by next year, companies here would be using LNG from the terminal, supplied either through pipelines or trucks.

LNG would be made available to factories within 50 sq km of Kochi.

In the next phase, LNG would reach Bangalore and Mangalore through pipelines.


http://twocircles.net/2012aug23/petronets_kochi_lng_terminal_start_two_months.html

Petronet LNG plans to enlarge natural gas network in state

Petronet LNG Ltd’s (PLL) terminal worth Rs 4,200 crore which can produce 5 million tonnes of liquified natural gas (LNG) a year in the Puthuvype island off Kochi is expected to be commissioned by December.

Initiating the steps to enlarge the natural gas network in the state, Petronet LNG terminal officials have submitted a proposal to the KSRTC to convert buses to the compressed natural gas (CNG) format.

PLL is also holding talks with companies such as Hindustan Latex and Carborundum for the supply of LNG in 15-tonne tankers to these companies. Also talks with more companies in the state, which require small quantities of LNG, is on. “We have already submitted a proposal to the KSRTC to convert the buses to the CNG mode. To implement this, LNG hubs (small storage units of LNG) should be constructed. If all goes as planned, the KSRTC buses in the state can be converted to CNG mode resulting in less pollution as is practised in New Delhi,” said Pushp Khetarpal, senior vice-president, Petronet LNG-Kochi.

LNG will emit 20 per cent less carbon dioxide compared to oil and 50 per cent less carbon dioxide than coal. Petronet LNG is also in talks with vehicle manufacturers to develop vehicles that could support gas as fuel.

In a major step that could boost the gas consumption in the state, the PLL has also kept provisions for supplying LNG directly to those customers who are not connected with the gas pipeline.

The company has decided to synchronise commissioning of both the phases of the project and will be in a position to do it by December, the company officials said.

It is estimated that the demand for gas will increase by 35 per cent all over the world whereas 6 per cent increase in the country is expected in the next few years. India has a reserve of 51 trillion cubic feet of gas.

“We are exploring opportunities to give gas to the small consumers in the state. Industries such as fertilizer, chemical refineries and refractors will benefit from this,” Khetarpal added.


http://newindianexpress.com/states/kerala/article595010.ece

Pipe-laying for first phase of LNG terminal completed

http://www.thehindu.com/multimedia/dynamic/01195/31KILNG_1195158f.jpg

Pipe-laying through Njarakkal for gas supply to FACT had come up against resistance from people in the areas through which the pipeline was to pass

Gas Authority of India Limited (GAIL) has completed laying gas pipelines for the first phase of natural gas supply from Petronet LNG’s (PLL) Kochi terminal, due for commissioning later this year.

Sources told The Hindu that GAIL, entrusted with the task of laying the pipeline to meet the natural gas demand in the industrial areas around Kochi, came up against stiff challenges in completing the work, estimated to have cost more than Rs.100 crore.

Pipe-laying through Njarakkal for gas supply to FACT had come up against resistance from people in the areas through which the pipeline was to pass. The route was then shifted using a new alignment via the Container Road, which links the International Container Transshipment Terminal with National Highway 47.

Sources said that the change in alignment had a positive result because the total length of the pipeline was reduced by more than half. The length of the pipeline was 93 km as per the initial plan. It was reduced to 43 km, slashing 50 km of the mix of 30-inch and 18-inch pipeline.

Fuel for seven units

PLL’s Kochi terminal will initially be commissioned with a capacity to supply 2.5 million tonnes of liquefied gas. The fuel will go to seven industrial units — Bharat Petroleum Corporation Limited’s Kochi refinery; Fertilizers and Chemicals Travancore’s Cochin and Udyogamandal divisions; Hindustan Organic Chemicals; BSES power generation facility at Pathalam; Travancore Cochin Chemicals and Nitta Gelatin India Limited.

Another private sector company, which had initially hesitated on getting the supply, is learnt to be in queue for the gas supply.

It is also learnt that the State government has initiated steps to get natural gas for the Brahmapuram power generation facility.

PSUs readying

Meanwhile, public sector undertakings like HOCL, FACT and BPCL-Kochi refinery are getting ready to switch fuel.

According to sources in the industry, BPCL, FACT and BSES power generation facility represent bulk of the demand, with the public sector fertilizer company accounting for about one-fifth of the demand of gas from the first phase of the LNG terminal in Kochi.

Sources indicated that the three public sector companies would be ready to switch fuel by May-June 2013, in tandem with the availability of gas in the city.

FACT’s two productions divisions has raised a demand for between one and 1.2 million metric standard cubic metres of gas per day; BSES’ projected demand is 0.9 mmscmd and BPCL’s projected demand 0.6 mmscmd.

http://www.thehindu.com/news/cities/Kochi/article3843637.ece

Link: http://www.mathrubhumi.com/story.php?id=299224

State Government is planning to construct huge petrochemical park near Cochin Refinary.

Investment Rs. 17,000 crore

On 3100 acre Site near Cochin Refinary and Hindustan Organic Chemicals

State will get viability gap funding and fund for master plan from Central Governament

It will be 4th Petrolium, Chemicals and Petrochemical Investment Park in India

:cheers::banana::cheers::banana::cheers::banana:

Link: http://www.mathrubhumi.com/story.php?id=299224

State Government is planning to construct huge petrochemical park near Cochin Refinary.

Investment Rs. 17,000 crore

On 3100 acre Site near Cochin Refinary and Hindustan Organic Chemicals

State will get viability gap funding and fund for master plan from Central Governament

It will be 4th Petrolium, Chemicals and Petrochemical Investment Park in India
:

Wawww , Great that Govt is giving Kochi its due importance....

:banana::banana::banana::banana:
we have to make up for the lost 5 years...

The government has eariler announced this project, as part of Budget 2012, a mega Petrochemical Zone in Kochi. I guess, this is more refined and concrete proposal from the GOK, to be presented before investors, in its proper form.

Surely Kochi rocks with such mega proposals. Adding to 20,000 Crore development plans of BPCL, both make Kochi a big name in Petrochemicals sector.

The government has eariler announced this project, as part of Budget 2012, a mega Petrochemical Zone in Kochi. I guess, this is more refined and concrete proposal from the GOK, to be presented before investors, in its proper form.

Surely Kochi rocks with such mega proposals. Adding to 20,000 Crore development plans of BPCL, both make Kochi a big name in Petrochemicals sector.

This is one project which is going to be a game changer.I am looking fwd for this more than any other project.90% of the product are made of Hydro carbon and the world revolves around it.It will spurt further investments.sort of chain reaction.

Somebody pls educate me as to how beneficial this project is.
I was under the impression that all these thousands of crores goes into the machinery.....does it actually bring in employment?

All the major industries that came in and around Kochi is because of the presence of Kochi Refinary. As pointed out previously by MI hydrocarbons are the major raw materials for most of the industries and FACT is a classical example. Hence the new project will result in spurt of allied industries.

Somebody pls educate me as to how beneficial this project is.
I was under the impression that all these thousands of crores goes into the machinery.....does it actually bring in employment?

No. All the machines will be fully automatic and run by robots!!

Of course, if you built ITvty buildings with the same money, you can employ more people, but ITVty is not the only business around.

KRL as it is employs more than 2000 people of various levels. Similar numbers could be expected for the expansion also. Another thing you should consider is, the potential of indirect employment, and more importantly, ancillary units is more for production industry.

പുതുവൈപ്പിനില്* സംയുക്ത വൈദ്യുതി നിലയത്തിന് പെട്രോനെറ്റുമായി ചര്*ച്ച

തിരുവനന്തപുരം: സംസ്ഥാനത്തെ വൈദ്യുതിക്ഷാമം പരിഹരിക്കുന്നതിന്റെ ഭാഗമായി കൊച്ചിയിലെ ബ്രഹ്മപുരത്ത് പ്രകൃതി വാതകം കൊണ്ട് പ്രവര്*ത്തിക്കുന്ന വൈദ്യുതിനിലയം സ്ഥാപിക്കാന്* വൈദ്യുതിബോര്*ഡ് തത്വത്തില്* തീരുമാനിച്ചു. ഇതിനുള്ള വിശദമായ പദ്ധതി റിപ്പോര്*ട്ട് തയ്യാറാക്കാന്* കണ്*സള്*ട്ടന്*സിക്കായി ടെന്*ഡര്* വിളിക്കാനും തീരുമാനിച്ചു. ബ്രഹ്മപുരത്ത് നിലവിലുള്ള താപനിലയത്തിന് സമീപം 60 ഏക്കറില്* 300 മെഗാവാട്ട് സ്ഥാപിതശേഷിയുള്ള നിലയമാണ് ഉദ്ദേശിക്കുന്നത്.

വൈദ്യുതി ബോര്*ഡും പെട്രോനെറ്റും സംയുക്തമായി എല്*.എന്*.ജി ഉപയോഗിച്ച് മറ്റൊരുനിലയം സ്ഥാപിക്കുന്നതു സംബന്ധിച്ച ചര്*ച്ചകള്* തുടരാനും തീരുമാനിച്ചു. സംയുക്ത സംരംഭത്തിന്റെ നിബന്ധനകളെക്കുറിച്ചുള്ള തര്*ക്കം പരിഹരിക്കാനാണ് ചര്*ച്ച.

ഇതിനുശേഷം നിലയം സ്ഥാപിക്കുന്നതുസംബന്ധിച്ച് അന്തിമ തീരുമാനമുണ്ടാവും. ഗെയ്*ലിന്റെ വാതകക്കുഴല്* ഇതിനടുത്തുകൂടി കടന്നുപോവുന്നതിനാല്* ഇവിടെ വൈദ്യുതി നിലയം സ്ഥാപിക്കുന്നത് അനുയോജ്യമാവും.

കൊച്ചിയില്* സ്മാര്*ട്ട് സിറ്റിക്ക് അനുവദിച്ച സ്ഥലത്ത് വൈദ്യുതിബോര്*ഡിന്റെ ഭൂമിയില്* ആയിരം മെഗാവാട്ട് ശേഷിയുള്ള നിലയം സ്ഥാപിക്കാന്* നേരത്തേ ബോര്*ഡിന് ഭരണാനുമതി ലഭിച്ചിരുന്നു. എന്നാല്* സ്മാര്*ട്ട് സിറ്റിയെ സംബന്ധിച്ച അനിശ്ചിതത്വം നീങ്ങിയതോടെ ബോര്*ഡിന് 100 ഏക്കര്* സ്ഥലം വിട്ടുകൊടുക്കേണ്ടിവന്നു. ഇതോടെ ഇവിടെ നിലയം സ്ഥാപിക്കാനുള്ള തീരുമാനം മാറ്റി. ഇതിനെത്തുടര്*ന്നാണ് ബ്രഹ്മപുരത്ത് പുതിയ നിലയം സ്ഥാപിക്കാനുള്ള ആലോചന തുടങ്ങിയത്.

ബ്രഹ്മപുരത്ത് ഇപ്പോള്* ബോര്*ഡിന് നാഫ്ത ഇന്ധനമായി പ്രവര്*ത്തിക്കുന്ന നിലയമുണ്ട്. നാഫ്തയ്ക്ക് വില കൂടിയതിനാല്* ഇതിന്റെ പ്രവര്*ത്തനം നാമമാത്രമാണ്. ഈ നിലയത്തോട് ചേര്*ന്നുള്ള 60 ഏക്കറില്* ആദ്യഘട്ടം തുടങ്ങും. ഘട്ടംഘട്ടമായി ഈ നിലയം നിര്*ത്തലാക്കി പുതിയ നിലയത്തിന്റെ ശേഷി വര്*ദ്ധിപ്പിക്കും. നേരത്തേ എഫ്.എ.സി.ടി യുടെ സ്ഥലവും ഇതിനായി പരിഗണിച്ചെങ്കിലും ജനവാസ കേന്ദ്രമായതിനാല്* ഉപേക്ഷിച്ചു.

സംസ്ഥാനത്തെ ഇപ്പോഴത്തെ വൈദ്യുതി നിലയും ബോര്*ഡ് യോഗം വിലയിരുത്തി. അണക്കെട്ടുകളില്* ഇപ്പോള്* 37 ശതമാനം വെള്ളമുണ്ട്. ദിവസങ്ങളോളം മഴയുണ്ടായെങ്കിലും വൃഷ്ടിപ്രദേശത്ത് കാര്യമായ മഴ ലഭിച്ചില്ലെന്നാണ് വിലയിരുത്തല്*. മഴ ആവശ്യത്തിന് ലഭിച്ചില്ലെങ്കില്* നിയന്ത്രണം വേണമെന്ന നേരത്തേയുള്ള നിലപാട് തന്നെയാണ് ബോര്*ഡിന് ഇപ്പോഴും.

http://www.mathrubhumi.com/online/malayalam/news/story/1806810/2012-09-05/kerala

Psantosh for Gods sake please provide translation,as such this font is so difficult to read.And also for non malayalis and malayalis who can't read malayalam it will be helpful.

No. All the machines will be fully automatic and run by robots!!

Of course, if you built ITvty buildings with the same money, you can employ more people, but ITVty is not the only business around.

KRL as it is employs more than 2000 people of various levels. Similar numbers could be expected for the expansion also. Another thing you should consider is, the potential of indirect employment, and more importantly, ancillary units is more for production industry.

Well said Mr Dileep.It is good that IT is coming,but focus should be on overall development.It is easy for an IT company to wind up and do lock,stock and barrel and move to greener pastures unlike other industries which has to set up heavy infrastructure and boosts allied industries.

LNG Distribution Network- Phase One to be dedicated to nation on Sept 10 (http://economictimes.indiatimes.com/news/news-by-industry/energy/oil-gas/kochi-getting-ready-for-natural-gas-distribution/articleshow/16311220.cms)

The first phase of the Regasified Liquified Natural Gas (RLNG) distribution network, the dream project of Kochi, will be dedicated to the Nation on September 10.

The 43-km pipeline network, built by GAIL India Ltd, stretches from Petronet RLNG's five million metric tonne LNG Terminal to the main industrial centres in the city, a press release here said.

Companies like FACT, BSES, TCC, Nitta Gelattin, HOCL and BPCL can now receive RLNG through pipelines and use it to reduce costs, becoming environment friendly, the release said.

In the next phase, the gas distribution project can cover city households ensuring year long cooking gas supply without disruption. The government would also be able to save a major part of the subsidy they give out on LPG cooking gas and utilize it for other productive purposes, it said.

Laying of the pipeline from Puthuvypin to Udyogamandal and from Udyogamandal to Ambalamugal has been completed.

GAIL successfully acquired land from the public to lay the pipeline for about six km in the first phase, it said.

The remaining land in the 43 km stretch was made available by different institutions or companies like Cochin Port Trust, International Container Transhipment Terminal, Indian Navy, Kerala State Electricity Board, Co-Operative Medical College Kalamassery, HMT, FACT, CCK-ROU, Kalamassery Municipality, Kinfra, Cochin Corporation and Smart City.

Work on the 505 km pipeline from Kochi to Mangalore will start soon and when completed, would benefit seven districts from Ernakulam to Kasargod. GAIL would start 26 SV stations (in 50 cent each) and five IP stations (in 1.25 acre each). This trunk Pipeline will facilitate city gas distribution in Kochi, Thrissur, Malappuram, Kozhikode, Kannur, the release said.

RLNG would be made available to NTPC project at Kayamkulam through pipelines along the seabed. The agreement with KSEB on this will be signed soon. Brahmapuram, Cheemeni projects can also look forward to using RLNG as fuel.

The project will lead to major economic growth of the state by creating new jobs and generating Rs 1,000 crore revenue to the state exchequer, the release said.

http://www.manoramanews.com/cgi-bin/MMOnline.dll/portal/ep/mmtvContentView.do?contentId=12377598&programId=0&tabId=14&contentType=EDITORIAL&BV_ID=@@@

90% of works of LNG Terminal completed

http://epaper.manoramaonline.com/MMDaily/Kochi/2012/09/09/F/MMDaily_Kochi_2012_09_09_F_GN_004/32_80_1944_640.jpg

Petronet MD Baliyan informed the visiting Center Civil Supplies Minister K.V Thomas that majority of works for Petronet have been completed and remaining shall be completed in a period of one month's time

http://www.thehindu.com/news/cities/Kochi/article3896311.ece

Kerala, Petronet may go for 50:50 joint venture

The Kerala government and Petronet LNG Limited have discussed several options for the proposed 1,200 MW gas-based power generation facility on Puthuvype Island. The options include a 50:50 joint venture and the possibility of the State government buying at least 70 per cent of the power generated at the facility.

Managing director and chief executive officer of Petronet LNG Limited A. K. Balyan told reporters here on Thursday that discussions were on between the government and Petronet on exploiting the opportunity for having a power generation facility integrated with the LNG receiving and regassification facility, which is nearing completion on Puthuvype Island.

According to him, the integrated plant offered the best chance of reducing the cost of power as there would be no transport cost on the gas being used to fuel the power plant.

There will be no VAT on the gas as there will be no sale. Besides, there will be other fiscal benefits like customs duty waiver.

The integrated power plant also offered about eight to nine per cent higher efficiency by using the cold energy. These factors make power from the proposed plant more viable even at higher gas cost, Mr. Balyan said.

He is bullish on the future availability of natural gas the world over. With the U.S. emerging as a potential exporter and demand stabilising in Europe, more gas would be available across the globe. Increased production in Australia, Russia, in African countries like Ghana, Nigeria, Angola and Mozambique and in Qatar augured well for the markets in Asia, he said.

Petronet LNG, a joint venture among oil companies in the country, will have a total capacity of 25 million tonnes of natural gas by 2018.

Mr. Balyan said that the LNG terminal in Kochi is nearing completion and it would be ready early 2013 in tandem with the companies taking the first supplies of natural gas completing their conversion works. The first supplies will go to seven companies around Kochi, including major public sector units like Bharat Petroleum Corporation and Fertilizers and Chemicals Travancore.

BPCL signs pacts with tech firms for refinery expansion (http://www.thehindubusinessline.com/companies/article3897632.ece?homepage=true&ref=wl_home)
Bharat Petroleum Corporation Ltd has entered into licence agreements with four technology providers for its Integrated Refinery Expansion Project (IREP) in Kochi, involving an investment of Rs 14,225 crore.

The company has also tied up with a technology provider for its petrochemicals complex.

Chairman and Managing Director R.K.Singh said here on Friday that the company had roped in LG Chem (http://www.lgchem.com/), South Korea, for a joint petrochemicals venture, involving an investment of approximately Rs 6,000 crore.

The petrochemicals complex will use propylene from the expanded refinery to produce acrylates, phenol and super absorbent polymer that are predominantly imported into the country.

Besides, licence agreements have been signed with Stone & Webster (http://www.shawgrp.com/) of the US for the refinery’s fluidised catalytic unit, US-based Lummus Corporation (http://www.lummus.com/index2.html) for the delayed coker unit, Halder Topsoe (http://www.topsoe.com/) of Denmark for diesel hydro-treater unit, and Shell (http://www.shell.com/) of Holland for the vacuum gasoil hydro treater unit, he said.

The expansion plan is awaiting final clearance from the Union Environment Ministry, he added. The project envisages increasing the refining capacity of the Kochi facility from 9.5 million tonnes a year to 15.5 million tonnes. Once commissioned, BPCL’s Kochi facility will be the largest public sector refinery in the country.

The Kerala Government and BPCL also signed a memorandum of understanding on Friday by which the State government agreed to provide incentives such as deferment of Kerala Goods and Services Tax, VAT, and CST as well as provide exemption from Works Contract Tax.

The agreement was signed on the sidelines of Emerging Kerala 2012 Investor Meet.

“If everything goes well, the expanded refinery can be commissioned by 2015-16”, Singh said. The refinery would directly employ another 1,000 people. Around 25,000 labourers will be needed during the construction phase, he added.

Through the IREP project, about 1.3 million tonnes a year of pet-coke will also be produced besides conventional petroleum products. This along with propylene and other petroleum products will provide a fillip to the industrial scene of Kerala.

BPCL-KR and Kerala Government are also jointly setting up a pet-coke-based, 500-MW power plant at Ambalamugal. The power generation cost is comparable to that of coal-based power and cheaper compared with power generated from other thermal sources such as naptha.

http://www.deccanchronicle.com/channels/cities/kochi/kothari-plans-petrochemical-project-620


Kothari plans petrochemical project in Kochi

Emerging Kerala over, investors have started evincing interest, and prominent among them is Kothari Petrochem-icals which proposes to set up a plant near Kochi Refineries.

Another player, Binani Zinc, already has its presence near Kochi, and is expected to send its team with a view to setting up a unit in the park.A team of senior officials from Kotharis visited the site on Monday and held discussions with officials of the Kerala State Industrial Development Corporation as also of Kochi Refineries.

The company would submit its proposal to KSIDC soon, KSIDC officials said. Kothari group, that has two units in Tamil Nadu, is the largest producer of premium quality polybutene in the country.

KSIDC has earmarked 3,100 acres for setting up a petrochemical park. This is in view of Kochi Refineries launching its expansion while downstream companies are expected to make use of by-products like propylene.

According to KSIDC officials, Kotharis which has a petrochemical complex in Tamil Nadu, is looking for around 20 acres to set up the plant. While details of the project have not been revealed, officials said the discussions were fruitful.

BPCL willing to give 51% stake in propylene project to Korean partner (http://www.thehindubusinessline.com/companies/article3929141.ece)
State-run oil marketer Bharat Petroleum Corporation (BPCL), which is setting up its first propylene unit in Kochi, said it is ready to offer 51 per cent stake in the Rs 6,000-crore project to its Korean joint venture partner LG Chemicals.

“We have already inked an MoU with LG Chemicals for this project. They are looking at 51 per cent stake in the joint venture and we are open to that. The JV company will be in place by December or January and the plant will be commissioned by the end of FY17,” BPCL Finance Director S. Varadarajan told PTI here over the weekend.

He said the propylene plant is part of the company’s proposed petrochemicals complex planned at Ambalamugal near Kochi, where it also has a 9.5 million tonne oil refinery.

On September 14, BPCL Chairman and Managing Director R. K. Singh had inked an MoU with Kerala Chief Minister Oommen Chandy at the Emerging Kerala investor summit in Kochi that attracted Rs 2.5 trillion worth proposals, for Rs 20,000-crore investment in the State.

Varadarajan said this is the single largest investment by the company so far and involves expansion of the Kochi Refinery capacity to 15.5 million tonnes per annum by FY17 from 9.5 million tonne currently. The remaining Rs 6,000 crore will go into the greenfield petrochemicals complex.

When asked about the details of tax benefits that Kerala has offered, Varadarajan said, “BPCL will be cumulatively getting Rs 7,500 crore in tax deferments over 15 years since commissioning of the both plants. This works out to around Rs 500 crore annually. But from the 16th year onwards, we will have start paying back this to the State. So this practically is a loan from the State.”

Petronet LNG expects to sell power from Kochi plant at Rs 6.5 a unit (http://www.thehindubusinessline.com/companies/article3977537.ece?ref=wl_opinion)
Petronet LNG expects to sell power from its upcoming Kochi plant at a tariff between Rs 6 and Rs 6.5 a unit.

This was disclosed by the management to analysts from Edelweiss, an analyst report of Edelweiss Securities has said. Petronet LNG has not responded to a query by Business Line seeking confirmation.

Petronet LNG’s Kochi LNG terminal is almost ready for commissioning. It is likely to go on stream by December 2012 or January 2013. “The terminal is ready and awaiting the start of phase-1 of GAIL’s Kochi-Bengaluru-Mangalore pipeline,” says the Edelweiss report.

While the LNG imported via the Kochi terminal will feed several user industries such as HOCL and FACT, Petronet LNG itself is putting up three power projects of 350 MW each to provide the demand for gas. The project is being put up under a joint venture in which Petronet LNG and the Kerala Government will have equal stakes.

Petronet LNG will need to invest between Rs 600 crore and Rs 700 crore for its equity, over the next three-four years. “The management expects to sign the PPA at Rs 6-6.5 a unit by the end of 2012-13,” the report says.

For the quarter ended June 2012, Petronet LNG achieved a turnover of Rs 7,030 crore and net profit of Rs 270 crore. Each share earned Rs 3.61.

On the NSE today, the Petronet LNG share opened at Rs 164.25.

Kochi LNG terminal delayed again, likely by next year (http://www.business-standard.com/india/news/kochi-lng-terminal-delayed-again-likely-by-next-year/489173/)
The commissioning of the LNG terminal at Puthuvype, near here, is likely happen only by next year. This is because of the slow pace in the marketing arrangement of LNG in the southern states and in the construction of the pipeline network.

Earlier it was decided to commission the project in this year itself.

“The pre-commissioning of the project is likely to be done this month. From our side there is no delay, but we are not bringing in LNG right now. The formal commissioning can be done only after the marketing arrangements are set in. Otherwise gas cannot be pumped. This is being done by GAIL,” said a senior official of Petronet LNG, which is constructing the terminal.
However, the official said construction would be completed by the end of this month. Though there is no specific decision over the timing of the commissioning, it might happen in January-February.

The terminal’s capacity utilisation largely depends on the pipeline connectivity, construction of which has slowed down due to land-related issues. The two major pipelines — from Kochi to Mangalore and Kochi to Bangalore via Tamil Nadu -- would be ready in 2013-14.

The terminal will have a capacity of 5 mtpa, though initially, it would handle 2.5 mtpa.

The first phase of the Rs 4,600-crore project will operate at a rate of 0.50 million to 0.75 million tonne for a year and gradually volumes would be ramped up. The total handling capacity would be raised to 15 million tonnes by 2014, including 10 million tonnes at the Dahej unit, in Gujarat, the company said.

Petronet had started construction work on the project in 2007 and it was originally scheduled to be commissioned in 2009-10.

The company has also signed an agreement with Exxon Mobil Corporation for supply of 1.5 mtpa LNG from the Gorgon LNG project, Australia, on a long-term basis for the Kochi terminal. Petronet has already tied up 7.5 mtpa of LNG with Ras Laffan Liquefied Natural Gas Company Limited (RasGas), Qatar, on a long-term basis.

Meanwhile, the first phase of the gas distribution network of Kochi terminal was launched last month with a 43-km pipeline from Puthuvype to Udyogamandal and Udyogamandal to Ambalamugal. Companies like FACT, Nitta Gelattin and BPCL can now receive LNG through the pipeline.

Work on the 505-km pipeline from Kochi to Mangalore will start soon. Upon completion, seven districts from Ernakulam to Kasaragod will benefit.

LNG will be made available to the NTPC project at Kayamkulam through pipelines that would be laid along the seabed. Brahmapuram and Cheemeni power projects in Kerala can also look forward to using LNG as fuel.

Petronet LNG’s Kochi terminal to go on stream in January (http://www.thehindubusinessline.com/companies/article3988013.ece)
Petronet LNG’s Kochi terminal will go on stream in January 2013, the company’s Managing Director and CEO, Dr A K Balyan, told Business Line today. However, the terminal will operate only to less than a fifth of its capacity, because the off-take infrastructure is not yet ready.

What will soon be ready is a 50 km pipeline that will deliver gas to industrial customers in the neighbourhood of Kochi—such as Kochi Refineries and FACT, the fertiliser manufacturer.

The major pipelines (being laid by GAIL)—one connecting the Kochi terminal to Bangalore and the other to Mangalore - are likely to be ready only by December 2013. At that stage, the Kochi terminal will be able to achieve over 80 per cent utilisation, Dr Balyan said.

^^^^^^^^

Once piped gas system comes into force in Kochi, how likely will be the system? Will it be subsidized to equivalent of weight of total 6 cyclinders or will it be completely market oriented price? Anyone have any idea about it?

^^

I don't expect to get subsidized rates from Petronet, when other public sector firms are doing away with subsidies. And i think the Petronet will have nothing to do with public LPG distribution. At least for now, LNG will be supplied only for industrial use. Will have to wait to get details regarding domestic LNG lines.

^^

I don't expect to get subsidized rates from Petronet, when other public sector firms are doing away with subsidies. And i think the Petronet will have nothing to do with public LPG distribution. At least for now, LNG will be supplied only for industrial use. Will have to wait to get details regarding domestic LNG lines.

There was a proposal of city piped gas network distributing LNG directly to home. Hope it will lower than LPG.


http://www.thehindu.com/multimedia/dynamic/01229/04kirrp01-PP-fu_06_1229552e.jpg

The search for an environment-friendly, cost-effective fuel for commercial and domestic uses is taking planners and infrastructure developers to natural gas. An emerging option in the global energy scene, natural gas is slowly but steadily finding its way into Indian industry and home.

Kerala is getting ready to adopt it with the commissioning of the Petronet LNG terminal in Kochi for storing and distributing gas across Kerala and beyond by the year-end or the dawn of the New Year.

The arrival of liquefied natural gas (LNG) to the shores of Kerala is taking place at a time when the subsidy regime on petroleum fuels is on a retreat. Petroleum products are being deprived of subsidy in phases. The government has made it clear that there will be no going back, and the day may not be far off when the cushion of subsidy is pulled out.

The situation augurs well for natural gas to spread its wings. But it needs careful planning to reduce dependence on crude oil and switch over to natural gas. The LNG terminal at Puthuvype holds immense promise in this context.

Underground pipes

LNG will be transported through underground pipes from the terminal. Pipes have been laid by Gail (India) Ltd. in Kochi for supply of gas to various industrial units. The pipeline network will be extended to Palakkad, from there to Bangalore and Mangalore separately and Thiruvananthapuram, via Kayamkulam, where gas will be supplied to run a thermal power plant of the National Thermal Power Corporation (NTPC). Kochi, on its part, will play a pivotal role in the changes in store for the State and beyond.

As can be expected, there is an element of hesitancy among the partners in the new ventures which will depend on LNG. It is only a passing phase, industry experts say. Once the subsidy regime subsides, comparisons with petroleum and its derivatives will become insignificant, a senior official of a public-sector oil company says.

One of the biggest beneficiary segments will be cooking-gas consumers. With the subsidy on gas cylinders reduced, the oil-marketing companies have stepped up regulations to minimise consumption. The resultant frustration among the consumers is giving way to public demonstrations.

A cooling effect can be the thought of introducing LNG in the new avatar of City Gas, the piped gas supply. It is going to be a reality sooner than later, provided infrastructure gets its due.

Again, one of the prime requirements for LNG-based operations is end-to-end tie-up.

Natural gas is transported in liquefied form from various countries by means of specialised vessels, stored in locations with modern storage facilities and re-gasified, all of which require massive investment. Unless there are major consumers, the operational economy will get weak, industry sources say.

The NTPC, the Kerala State Electricity Board and several companies are hoping for the best deal so as to be at an advantageous position in an energy- starved state, the oil-company official says. For several companies, utilising subsidised naphtha is a preferred option rather than natural gas. There is less focus on transmission loss in the prevailing scene.

“They will like to continue with the subsidy, and claim that they are giving power at cheaper rates. All these complications are because people are getting cheaper products and services in a subsidised regime. In fact, subsidy is killing productivity,” the official says.

Will the government be able to get rid of the subsidy regime? It is not possible instantly, but it can be done in small doses, he says. There has to be a balanced approach and the government is following such a path now. It will mean that the subsidies will have a slow death.

The expert opinion is that the outcome will be a win-win situation for the government and the people. There is a silver lining for the consumers facing cooking-gas shortage. Piped gas can reach every nook and corner of the State. In areas having no pipeline network, the gas can be transported in bullet carriers. LNG is much less dangerous than LPG, experts say.

The bottomline is that the consumer, government and the economy will benefit if only there is bulk consumption of natural gas. Paving the way for such a regime is a sure shot to success, experts say.

The Hindu (http://www.thehindu.com/todays-paper/tp-national/tp-kerala/kochi-ready-to-pipe-gas-to-home-and-industry/article3971025.ece)

Piped LNG will be cheaper than subsidized LPG, according to a report today.

എങ്ങുമെത്താതെ സിറ്റി ഗ്യാസ് പദ്ധതി (http://www.manoramaonline.com/cgi-bin/MMOnline.dll/portal/localContentView.do?tabId=16&contentId=12601035&district=Cochin&programId=1079897613&BV_ID=@@@)

കൊച്ചി . വിലകുറഞ്ഞ ഗ്യാസ് എത്തിയിട്ടും സർക്കാരിന്റെ അലംഭാവം മൂലം ജനങ്ങൾക്കു ലഭിക്കുന്നില്ല. പുതുവൈപ്പിലെ എൽഎൻജി ടെർമിനലിൽ നിന്നു പാചകത്തിനു ദ്രവീകൃത പ്രകൃതിവാതകം പൈപ്പുകളിലൂടെ വീടുകളിലെത്തിക്കുന്ന സിറ്റി ഗ്യാസ് പദ്ധതിയാണ് അധികൃതരുടെ അനാസ്ഥ മൂലം നടക്കാതെ പോയത്. രാജ്യത്ത് 27 നഗരങ്ങളിൽ ഇതിനകം പദ്ധതി നടപ്പായി.

ജനുവരിയിൽ എൽഎൻജി ടെർമിനൽ പ്രവർത്തനം തുടങ്ങും. പുതുവൈപ്പിൽ നിന്നു കളമശേരി വരെയും അമ്പലമുഗൾ വരെയും നഗരത്തിന്റെ രണ്ടു ദിശകളിലേക്കു വാതക വിതരണത്തിനുള്ള പൈപ്പുകളും പൂർത്തിയായി. സിറ്റി ഗ്യാസ് വിതരണത്തിനുള്ള നടപടികൾ ഇതിനൊപ്പം പൂർത്തിയായിരുന്നെങ്കിൽ എൽഎൻജി ടെർമിനൽ ഉദ്ഘാടനത്തിനൊപ്പം വീടുകളിൽ പൈപ്പിലൂടെ പാചകവാതകവും ലഭിക്കുമായിരുന്നു.

എണ്ണക്കമ്പനികൾ വിതരണം ചെയ്യുന്ന സബ്സിഡിയുള്ള പാചകവാതക സിലിണ്ടറിനു 440 രൂപയും സബ്സിഡിയില്ലാത്ത സിലിണ്ടറിനു 930 രൂപയും ഇപ്പോൾ നൽകണം. എന്നാൽ അത്രയും പാചകവാതകം പൈപ്പിലൂടെ 330 രൂപയ്ക്കു ലഭിക്കുമായിരുന്നു. ഹോട്ടലുകൾക്കും ഇതേ വില നൽകിയാൽ മതിയായിരുന്നു.
എറണാകുളം ജില്ലയിലെ ഗ്യാസ് സിലിണ്ടർ ബുക്കിങ് മാത്രം 75,000 കടക്കുന്ന നിലയിലേക്കു പാചകവാതക ക്ഷാമം രൂക്ഷമാണ്. സിറ്റി ഗ്യാസ് പദ്ധതിക്കു വേണ്ടി ഉണർന്നു പ്രവർത്തിക്കാതെ എണ്ണക്കമ്പനികൾക്കു പാചകവാതകം എങ്ങനെ എത്തിക്കാമെന്ന ഗവേഷണത്തിലാണു സർക്കാർ.

സബ്സിഡി സിലിണ്ടറുകൾ എത്ര നൽകണമെന്നതിനെക്കുറിച്ചും
സർക്കാർ ആലോചിക്കുന്നു. ഫ്ലാറ്റുകൾക്കു സബ്സിഡിയുള്ള ആറു സിലിണ്ടറേ നൽകൂ എന്ന കാര്യത്തിലും സർക്കാർ ഇടപെട്ടിട്ടുണ്ട്. എന്നാൽ സബ്സിഡി സിലിണ്ടറിനെക്കാൾ കുറഞ്ഞ നിരക്കിൽ ജനങ്ങൾക്കു പാചകവാതകം നൽകുന്ന സംവിധാനത്തെക്കുറിച്ച് ആലോചിക്കുന്നതേയില്ല. വീടുകളിൽ പൈപ്പിലൂടെ പാചകവാതകം എത്തിക്കാനുള്ള സിറ്റി ഗ്യാസ് പദ്ധതിക്കു തുടക്കമിട്ടതാണ്. ഇതിനായി ടെൻഡർ ക്ഷണിച്ചു. 15 കമ്പനികൾ പങ്കെടുത്തു. എന്നാൽ സാങ്കേതിക കാരണങ്ങളാൽ ആ ടെൻഡർ റദ്ദാക്കി. പിന്നീട് ഇന്നേവരെ പദ്ധതിക്കു വേണ്ടി ശ്രമം നടന്നിട്ടില്ല.

പദ്ധതി നടപ്പാക്കാൻ ഗ്യാസ് അതോറിറ്റി ഇന്ത്യാ ലിമിറ്റഡും കെഎസ്ഐഡിസിയും 50% വീതം ഒാഹരി പങ്കാളിത്തമുള്ള സംയുക്ത കമ്പനിക്കു (കെജിജിഎൽ) രൂപം നൽകി. ഡൽഹിയിലെ ഇന്ദ്രപ്രസ്ഥ ഗ്യാസ് മാതൃകയിൽ ടെൻഡറില്ലാതെ തന്നെ കെജിജിഎല്ലിന് അനുമതി നൽകണമെന്നായിരുന്നു സംസ്ഥാനത്തിന്റെ ആവശ്യം. കൊച്ചി നഗരത്തിനു പകരം എറണാകുളം ജില്ല അടിസ്ഥാനത്തിൽ പൈപ്പിലൂടെ ഗ്യാസ് വിതരണം നടത്താനായിരുന്നു പദ്ധതി.

എൽപിജി അല്ല എൽഎൻജി
കൊച്ചി . പെട്രോളിയം (എൽപിജി) വാതകവും പ്രകൃതിവാതകവും (എൽഎൻജി) കത്തുന്നതാണെങ്കിലും രണ്ടിലെയും ഘടകങ്ങൾ രണ്ടാണ്. അന്തരീക്ഷ വായുവിനെക്കാൾ സാന്ദ്രത കുറഞ്ഞതാണു പ്രകൃതിവാതകം. എൽപിജിക്കു സാന്ദ്രത കൂടും.

ചോർന്നാൽ എൽപിജി തറയിൽ വ്യാപിക്കും. പ്രകൃതിവാതകം മുകളിലേക്കുയരും. എൽഎൻജിയിലെ പ്രധാന ഘടകമായ മീഥേൻ എൽപിജിയിൽ ഇല്ല. എൽപിജിയിലെ പ്രധാന ഘടകങ്ങളായ പ്രൊപ്പേനും ബ്യൂട്ടേനും എൽഎൻജിയിൽ പേരിനു മാത്രമേയുള്ളൂ.

പ്രകൃതിവാതകത്തിന്റെ ഘടന: മീഥേൻ 70%, ഇൌഥേൻ പ്രൊപ്ളേൻ, ബ്ളൂട്ടേൻ 12%, കാർബൺ ഡൈ ഒാക്സൈഡ് 8%, നൈട്രജൻ 5%, ഹൈഡ്രജൻ സൾഫൈഡ് 5%. എൽപിജിയുടെ ഘടന: പ്രൊപ്പേൻ 57.3% , ബ്യൂട്ടേൻ 41.1%, പെന്റേൻ 1.4%, ഇൌഥേൻ 0.2%

പൈപ്പിലൂടെ ഗ്യാസ് എത്താൻ ചെയ്യേണ്ടത്
കൊച്ചി . കൊച്ചിയിൽ ഗ്യാസ് വിതരണം ചെയ്യേണ്ട കമ്പനി ഏതെന്നു നിശ്ചയിക്കുകയാണ് ഇതിനായി ആദ്യം ചെയ്യേണ്ടത്. പെട്രോളിയം ആൻഡ് നാച്വറൽ ഗ്യാസ് റഗുലേറ്ററി ബോർഡ് ആണ് ഇതു ചെയ്യേണ്ടത്. കമ്പനി ഏതെന്നു നിശ്ചയിച്ചുകഴിഞ്ഞാൽ ഗ്യാസ് അതോറിറ്റി ലിമിറ്റഡുമായി കരാറൊപ്പിടണം. സ്വാഭാവികമായും ഗെയിലിന്റെ സംയുക്ത സംരംഭമായ കമ്പനിക്കായിരിക്കും കരാറിനു സാധ്യത. അങ്ങനെയെങ്കിൽ ഗെയിൽ- കെഎസ്ഐഡിസി സംരംഭമായ കെജിജിഎല്ലിനു കരാർ ലഭിക്കാം.

ഗ്യാസ് വിതരണത്തിനുള്ള പൈപ്പിടലാണു പ്രധാന കടമ്പ. വ്യാസം കുറഞ്ഞ പൈപ്പ് ആയതിനാൽ റോഡിൽ വലിയ കുഴികൾ വേണ്ടിവരില്ല. ആദ്യ വർഷം ഏഴു ലക്ഷം വീടുകൾക്കു പൈപ്പിലൂടെ ഗ്യാസ് നൽകാം. ഒാരോ വർഷവും അത്രതന്നെ വീടുകളിൽ ഗ്യാസ് എത്തിക്കാം. ഒരു കമ്പനിയുടെ അധികാര പരിധിയിൽ മറ്റൊരു കമ്പനിക്കു പ്രവർത്തിക്കാൻ പാടില്ല.

പുതുവൈപ്പിലെ എൽഎൻജി ടെർമിനലിൽ നിന്നു വല്ലാർപാടം, ബോൾഗാട്ടി, കണ്ടെയ്നർ റോഡ്, ഏലൂർ, ഫാക്ട്, കളമശേരി, സീപോർട്ട് എയർപോർട്ട് റോഡ് വഴി അമ്പലമുഗൾ ഫാക്ട് വരെ വാതക പൈപ്പ്ലൈൻ സ്ഥാപിച്ചിട്ടുണ്ട്. ഇൌ പൈപ്പ്ലൈനിൽ ഏതെങ്കിലും കേന്ദ്രത്തിൽ നിന്നു പാചകവാതക വിതരണ കമ്പനിക്കു വാതകം നൽകാൻ കഴിയും.

വീടുകളിലേക്ക് ഇടുന്ന വിതരണ ലൈനിലൂടെ അടുക്കളയിൽ പാചകവാതകം എത്തിക്കാം. 18 മുതൽ നാല് ഇഞ്ചുവരെ വ്യാസമുള്ള പൈപ്പുകളിലൂടെയാണു വിതരണം. പ്രധാന പൈപ്പിൽ നിന്നു സിറ്റി ഗ്യാസ് കമ്പനിക്കു വാതകം നൽകുന്നത് 20 കിലോ മർദത്തിലാണെങ്കിലും ഇതു വീടുകളിലെത്തുമ്പോൾ 21 മില്ലി ബാർ മർദമേ ഉണ്ടാവൂ. ഒരു മീറ്റർ ആഴത്തിലായിരിക്കും ഗ്യാസ് വിതരണ പൈപ്പുകൾ.

ഗാൽവനൈസ്ഡ് അയേൺ പൈപ്പുകളാണു മണ്ണിനടിയിൽ ഉപയോഗിക്കുക. നാല് ഇഞ്ചിൽ കുറഞ്ഞ പൈപ്പുകൾക്കു മീഡിയം ഡെൻസിറ്റി പോളി എത്തിലിൻ (എംഡിപിഇ) പൈപ്പുകൾ ഉപയോഗിക്കാം. വീടിനുള്ളിലേക്കു ചെമ്പു പൈപ്പുകളിലൂടെയാണു ഗ്യാസ് എത്തുക. അടുക്കളയിൽ ഇതിനു മീറ്റർ ഘടിപ്പിക്കും. ഒാരോ മാസവും ഉപയോഗിക്കുന്ന ഗ്യാസിനു മീറ്റർ റീഡിങ് എടുത്ത് വൈദ്യുതിബിൽ പോലെ ബിൽ ലഭിക്കും. ഇതാണു സിറ്റി ഗ്യാസ് പദ്ധതി.

^^^^^^^^^^

Govt not actively pressing for Piped City Gas project, despite of forming KGAIL and already city have two major artery pipelines. The cost of same level of LNG of current Subsidized LPG, would be just Rs 330, for all consumers, sans domestic or commercial, which makes more attractive.

http://epaper.manoramaonline.com/MMDaily/Kochi/2012/10/12/F/MMDaily_Kochi_2012_10_12_F_MT_021/26_1118_1476_2200.jpg

How City Piped Gas Network works

http://epaper.manoramaonline.com/MMDaily/Kochi/2012/10/12/F/MMDaily_Kochi_2012_10_12_F_MT_021/1480_1126_1960_2050.jpg

Kochi ready to pipe gas to home and industry (http://www.thehindu.com/todays-paper/tp-features/tp-propertyplus/kochi-ready-to-pipe-gas-to-home-and-industry/article3993074.ece)
The search for an environment-friendly, cost-effective fuel for commercial and domestic uses is taking planners and infrastructure developers to natural gas. An emerging option in the global energy scene, natural gas is slowly but steadily finding its way into Indian industry and home.

Kerala is getting ready to adopt it with the commissioning of the Petronet LNG terminal in Kochi for storing and distributing gas across Kerala and beyond by the year-end or the dawn of the New Year.

The arrival of liquefied natural gas (LNG) to the shores of Kerala is taking place at a time when the subsidy regime on petroleum fuels is on a retreat. Petroleum products are being deprived of subsidy in phases. The government has made it clear that there will be no going back, and the day may not be far off when the cushion of subsidy is pulled out.

The situation augurs well for natural gas to spread its wings. But it needs careful planning to reduce dependence on crude oil and switch over to natural gas. The LNG terminal at Puthuvype holds immense promise in this context.

LNG will be transported through underground pipes from the terminal. Pipes have been laid by Gail (India) Ltd. in Kochi for supply of gas to various industrial units. The pipeline network will be extended to Palakkad, from there to Bangalore and Mangalore separately and Thiruvananthapuram, via Kayamkulam, where gas will be supplied to run a thermal power plant of the National Thermal Power Corporation (NTPC). Kochi, on its part, will play a pivotal role in the changes in store for the State and beyond.

As can be expected, there is an element of hesitancy among the partners in the new ventures which will depend on LNG. It is only a passing phase, industry experts say. Once the subsidy regime subsides, comparisons with petroleum and its derivatives will become insignificant, a senior official of a public-sector oil company says.

One of the biggest beneficiary segments will be cooking-gas consumers. With the subsidy on gas cylinders reduced, the oil-marketing companies have stepped up regulations to minimise consumption. The resultant frustration among the consumers is giving way to public demonstrations.

A cooling effect can be the thought of introducing LNG in the new avatar of City Gas, the piped gas supply. It is going to be a reality sooner than later, provided infrastructure gets its due.

Again, one of the prime requirements for LNG-based operations is end-to-end tie-up. Natural gas is transported in liquefied form from various countries by means of specialised vessels, stored in locations with modern storage facilities and re-gasified, all of which require massive investment. Unless there are major consumers, the operational economy will get weak, industry sources say.

The NTPC, the Kerala State Electricity Board and several companies are hoping for the best deal so as to be at an advantageous position in an energy- starved state, the oil-company official says. For several companies, utilising subsidised naphtha is a preferred option rather than natural gas. There is less focus on transmission loss in the prevailing scene.

“They will like to continue with the subsidy, and claim that they are giving power at cheaper rates. All these complications are because people are getting cheaper products and services in a subsidised regime. In fact, subsidy is killing productivity,” the official says.

Will the government be able to get rid of the subsidy regime? It is not possible instantly, but it can be done in small doses, he says.

ONGC, GAIL keen on stake in BPCL's Rs 5,000-crore Kochi project (http://economictimes.indiatimes.com/news/news-by-industry/indl-goods/svs/petrochem/ongc-gail-keen-on-stake-in-bpcls-rs-5000-crore-kochi-project/articleshow/16838473.cms) :cheers:
http://economictimes.indiatimes.com/thumb/msid-16838507,width-310,resizemode-4/ongc-gail-keen-on-stake-in-bpcls-rs-5000-crore-kochi-project.jpg
ONGC & GAIL India have evinced interest in picking up
stake in the Rs 5K-cr Kochi petrochemical project that BPCL
is building in JV with LG Chemicals

NEW DELHI: State-owned Oil and Natural Gas Corp (ONGC) and gas utility GAIL India Ltd have evinced interest in picking up stake in the Rs 5,000-crore Kochi petrochemical project that Bharat Petroleum Corp Ltd (BPCL) is building in joint venture with Korea's LG Chemicals.

"We have got written proposal from several companies to join the project," BPCL Chairman and Managing Director R K Singh said on the sidelines of the Petrotech Conference here.

Explorer ONGC and GAIL shown interest in taking equity stake, he said.

The petrochemical complex is being built with LG Chemicals as the lead partner. "They (LG) will take 51 per cent stake," he said.

For the moment, BPCL has the remaining 49 per cent. "We haven't decided yet on taking more partners," Singh said.

"The equity structure of the petrochemical joint venture has not yet been finalised. But it has been more or less agreed that LG will be the lead partner," he added.

The project will be build along with the Rs 14,500 crore expansion of the Kochi refinery from 9.5 million tons now to 15.5 million tons by 2015-16.

As part of this project, it would be establishing a petrochemical fluid catalytic cracker to generate 500 TMTPA of propylene. This would offer BPCL a launch pad for diversification into petrochemicals.

Completion of the project would be dovetailed into the refinery expansion project.

Singh said the petrochemical project will be completed by December 2015 and commissioned by March 16. It will produce high-value products like acrylic acid (which is currently not produced in India) and super absorbent polymers that are used in manufacture of diapers. Also, it would manufacture oxoalcohol that is a feed stock in manufacture of paints and certain cosmetics.

Kochi refinery's new units would include a 10.5 million tons crude distillation unit, a 2.2 million tons fluid catalytic cracker (FCC) unit, a 4.3 million tons diesel hydrotreater, a 3 million tons vacuum gasoil hydrotreater and a 3.84 million tons delayed coker.

The FCC will produce about 2.15 million tons of propylene annually.

BPCL also owns refineries at Mumbai, Bina and Assam.

^^

Kochi petrochem project: ONGC, GAIL keen on stake buy

The protest that was under way in Elamkunnapuzha village against Petronet LNG has been resolved at a meeting chaired by Excise Minister K. Babu here on Wednesday.

The people of the village panchayat had been on the warpath against the project raising a slew of demands. A meeting called recently at the instance of the Chief Minister to resolve the issue had proved inconclusive and a further meeting was slated for Tuesday.

As part of the settlement agreement, about Rs. 12 crore will be spent on the development of the panchayat during the next four years, including in this financial year. As per the settlement, the Petronet LNG will also assist in the renovation of a school and hospital in the panchayat. A cemetery will be built if the panchayat makes available land.

Apart from issuing identity cards to fishing workers in the area, a special rehabilitation package will be implemented jointly by the Cochin Port Trust and Petronet for mussel and fishing workers. Mr. Babu said that the fisheries department will be entrusted with this responsibility.

Local residents will be given preference in contract work in the project site and unskilled jobs in the project. The Minister said that any issues that may crop up in the future should be resolved by bringing them to the notice of the Collector.

The protest was under way in the panchayat based on six sets of demands – Petronet should give equivalent to three per cent of the funds allocated by the Kochi Refineries as part of its corporate responsibility initiatives for the development of the panchayat, assistance to school, hospital, and cemetery in the panchayat, rehabilitation project for fishing and mussel collecting workers, jobs to local residents in Petronet, assistance for the development of roads, and safety measures to prevent pollution.

Mr. Babu said that while corporate responsibility initiatives are meant for profit-making companies, Petronet LNG is fulfilling this responsibility even before starting operations here. He said that the meeting helped to increase the allocation under corporate responsibility.

He said that the company’s demand for the inclusion of MP and MLA funds along with its allocation of Rs. 12 crore for the development of the panchayat has been accepted.

A committee of the District Collector, village panchayat secretary, and representatives of Petronet and PWD will monitor the execution of the project.

District collector P.I. Sheikh Pareed, Petronet senior vice-president P. Khetrapal, and village panchayat president Biatris Joseph signed the settlement agreement in the presence of the minister.

Dominic Presentation, MLA, panchayat vice-president Benny, Petronet general manager T.N. Neelakantan, district panchayat member K.J. Tomy, and members of protest committee attended the meeting.

http://www.thehindu.com/todays-paper/tp-national/tp-kerala/agitation-against-petronet-lng-resolved/article4008131.ece

The days of protests are not over for the residents in Elamkunnapuzha grama panchayat. Their agitation against the Petronet LNG terminal concluded amicably on Wednesday. Now the residents are planning to intensify their protest against the Indian Oil Corporation’s (IOC) proposed LPG receiving and storage facility at Puthuvype island.

The residents under the banner of Puthuvype LPG terminal Virudha Janakeeya Samara Samithi are seeking support from various political parties for their agitation.

They say that poor infrastructure facilities in the region are creating threats to the life and property of the residents. There are complaints that the distance from the terminal to the residential area is only 30 metres, which is not sufficient.

The proposal for setting up an LPG terminal came up in 2009 and Cochin Port Trust allocated 37 acres on a long-term lease in Puthuvype to the oil company. The total project cost is likely to be in the range of Rs 600 crore.

“When the plant is fully operational, as many as 500 bullet tankers will be going through the region from the port on a day-to-day basis. Considering the poor infrastructure in the area this will cause more threat to residents. We have been staging agitations since the proposal came three years ago. The agitation will be intensified in the future,” said T J Xavier, convener, LPG terminal Virudha Janakeeya Samara Samithi.

The boundary wall for the plant is yet to be finished. No construction activity has been taking place at the site. Only two security personnel were deployed in the area, he said.

M B Jayaghosh, chairman, LPG Terminal Virudha Janakeeya Samara Samithi, said the drainage facilities in the panchayat was disrupted owing to the LPG terminal project. More seriously it is a threat to the lives of the over 60,000 residents in the region.

He charged that the project was proposed in the region saying that there are no residents in that area.

The LPG terminal, upon implementation, will pave the way for clearing the Kerala roads of the LPG tanker lorries, which continuously pose a safety threat.

http://newindianexpress.com/cities/kochi/article1305757.ece

http://www.thehindu.com/business/petronet-lng-import-terminal-at-kochi-to-be-ready-by-q1-of-2013/article4013270.ece

Kochi likely to get PCICR soon (http://www.business-standard.com/india/news/kerala-may-getpetrochemical-zone/490506/)

With West Bengal shelving its commitment to building a petrochemical zone at Haldia, the Department of Chemicals and Petrochemicals has found a new project partner in Kerala.

The Kerala government has submitted a formal proposal to the Ministry of Chemicals & Fertilizers to set up a petrochemical zone or a Petroleum, Chemicals and Petrochemicals Investment Region (PCPIR) in Kochi. The proposed PCPIR will have Bharat Petroleum Corporation Ltd (BPCL) as the anchor tenant or the main refiner, from which the feedstock for other products will be manufactured. The PCPIR will be in close proximity to BPCL’s refinery at Kochi, which is expanding its refining capacity from 9.5 million tonnes per annum (mtpa) to 15.5 mtpa.

According to official sources, project will cost about Rs 9,000 crore, which includes cost of land, internal and external infrastructure, road and rail linkages, and setting up water supply systems. With the increased crude capacity of 15.5 mtpa, the refinery will produce 5,00,000 tonnes of propylene a year, in addition to various fuels, such as liquefied petroleum gas (LPG), high speed diesel (HSD), kerosene, aviation turbine fuel (ATF), petroleum coke, bitumen, etc. Sources said that by utilising the propylene, BPCL plans to establish joint venture companies for production of various base materials.
The Ministry of Chemicals & Fertilizers has asked all states to give feedback on refurbishing the PCPIR.

Gujarat has merged the PCPIRs with the special economic zones (SEZ) and received investments from private refineries and ship building companies.

Orissa and Andhra Pradesh governments have expedited the infrastructure and environmental clearances; however, refineries or anchor tenants are yet to sign up commitments. Indian Oil Corporation (IOC) is the anchor tenant for the Paradip PCPIR in Orissa, while Hindustan Petroleum Corporation Ltd (HPCL) and Oil and Natural Gas Corporation (ONGC) are the tenants in Andhra Pradesh.

Andhra Pradesh has also merged its textile and pharmaceuticals SEZs into the PCPIR zone for optimum utilisation of the infrastructure already developed, said sources.

The Tamil Nadu PCPIR, on the other hand, has got a commitment from private partner Nagarjuna Fertilizers and Chemicals for a six-million tonne per year capacity petroleum refinery project.

The company has already formed a joint venture company, Nagarjuna Oil Corporation, in partnership with the Tamil Nadu Industrial Development Corporation (Tidco) for the project, which will have captive marine facility (Thiruchopuram Port), tank terminals and a captive power plant. The total investment for the project is estimated at Rs 11,000 crore, and it is slated to be commissioned in the first quarter of 2014.

The project is designated as the anchor unit of the PCPIR to be established in Cuddalore and Nagapattinam districts.

However, Tamil Nadu is yet to sign the Memorandum of Understanding with the central government, said state government sources.

‘Refinery expansion can transform Kochi into petrochemical hub’ (http://www.thehindubusinessline.com/companies/refinery-expansion-can-transform-kochi-into-petrochemical-hub/article4028199.ece?ref=wl_opinion)
BPCL is undertaking a major expansion of its Kochi Refinery at a cost of over Rs 14,000 crore. Along with this, the corporation is also setting up a Rs 4,500-crore petrochemical complex jointly with the LG Chem of South Korea.

According to John Minu Mathew, Executive Director, Kochi Refinery, these projects could pave the way for development of a host of downstream units in and around Kochi and other parts of Kerala.

In a conversation with Business Line, Mathew said the expansion is also aimed at improving the quality of the fuels produced by the refinery as auto fuels in Kerala is expected to be Euro IV-compliant by 2015.

ON REFINERY EXPANSION

The expansion consists of three different sets of projects. I would like to call them three envelopes with each envelope consisting of different units.

The first one in envelope A is a new crude unit: We are expanding the refinery capacity from 9.5 million tonnes a year to 15.5 mt.

In fact, we are setting up a 10.5-mt a year crude unit. This is because our existing 4.5 million crude unit set up in 1966 is not so fuel-efficient. We will discontinue operation of this unit and put up a modern 10.5 million unit. So the net addition would be 6 million.

Second unit in envelope A will be a fluid catalytic cracking unit (FCCU). This petrochemical unit can produce a significant quantity of propylene. Currently, we are producing about 50,000 tonnes a year and after the expansion our propylene capacity will go up to five lakh tonnes a year. This will be a major addition to our product portfolio.

The third is the delayed coker unit. This is meant for upgrading the bottom products. We would be producing about 1.5 million tonnes of petroleum coke from this unit.

Besides, auto fuels, we will also produce LPG, the production capacity of which will more than double from the present five lakh tonnes a year to 11 lt.

The first set of projects in envelope A, estimated to cost Rs 14,250 crore, is scheduled to be completed by fiscal 2015-16 and will be funded by BPCL.

ON EURO COMPLIANCE

This expansion is also aimed at improving the quality of the motor fuels we produce. By 2015, the auto fuels used in Kerala is expected to be Euro IV compliant. By then, all our auto fuels will also be meeting Euro IV and partly Euro V specifications.

ON PETROCHEMICAL JV

In the Envelope B, the main project will be a joint venture petrochemicals complex, estimated at Rs 4,500 crore. We have signed an MoU with LG Chemicals of South Korea. It will be located near our exiting refinery. Our refinery will supply propylene for the joint venture through a pipeline. B

ON DOWNSTREAM UNITS

In the envelope C, there will be units for producing down stream products.

Using our products as inputs, they can manufacture at least 25 different products.

These units are expected to come up in the petrochemical park being proposed by KSIDC.

Petroleum coke can be used by cement and power plants as fuel.

It is possible to put up a 400-MW power plant using petroleum coke from our unit as fuel and the cost of production of power will be attractive.

We will produce about 1,000 tonnes per day of sulphur. This can be used for making fertilisers.

We are in discussion with FACT for supplying this. Right now, they are importing more or less the same quantity of sulphur. We would be able to supply it through pipeline as molten sulphur.

ON STATE SUPPORT

The State Government has agreed to give fiscal concessions for our projects through deferment/waiver of VAT, CST and Works Contract Tax, which make our project financially viable.

BPCL’s major foray into petrochemicals could transform Kochi into a petrochemical hub with the setting up of various downstream/ancillary units.

Works for LPG Terminal to commence soon (http://www.thehindu.com/todays-paper/tp-national/tp-kerala/lpg-terminal-work-to-begin-soon/article4076208.ece)

The procedures for floating tenders to establish a jetty and terminal for LPG at Puthuvypeen will begin after a month. The Rs.600 crore project, being set up by Indian Oil Corporation Limited, in association with Cochin Port Trust, has been accepted in principle and an agreement was signed by the partners recently. A formal approval is expected at the IOCL Director Board to be held within a month. Speaking to The Hindu , N. Srikumar, IOCL Executive Director, said the project would be completed in a time-bound manner. It would take about 30-35 months to commission the project, he said.

The terminal would be able to handle vessels bringing in LPG which could be transported to the three bottling plants of IOCL in the State, situated at Udayamperoor in Kochi, Parippally in Kollam and Chelari in Kozhikkode. At present, LPG is transported in bullet tankers from Mangalore to the IOCL plants in Kerala. The new arrangement would greatly reduce difficulties in transportation. Accidents involving LPG tankers causing devastating fires and deaths, such as the one which occurred in Kozhikode a few months ago, could also be averted.

Mr. Srikumar said the company was keen to distribute LPG to consumers within a reasonable time period.

Proposed power projects remain non-starters

At a time when Minister for Power Aryadan Muhammed emphasises that load-shedding is here to stay, proposed remedies for the acute power crisis in the state remain non-starters. The Kerala State Electricity Board (KSEB) is yet to sign an MoU with the Petronet LNG Ltd (PLL) for the 1,200 megawatt(MW) LNG power plant at Puthuvype.

Moreover, no steps have been taken to start the 500-MW power project using petcoke produced by the BPCL Kochi Refinery after the completion of the proposed integrated refinery expansion project. These two projects with a capacity of 1,700 MW with estimated cost of ` 9,000 crore will take at least three years to realise.

Though Aryadan told ‘Express’ that the MoU with the Petronet LNG will be signed this year and steps will be taken to implement the petcoke-based power project soon, experts feel that there will be more delay for the commencement of these projects.

Petcoke is a residue left after the refining of crude and has a high calorific value and is also high in sulphur. One kilogram petcoke produces 6,000 kilos of calorie, 150 per cent more calorie than the same quantity of coal produces. “Power from the petcoke-based plant will be available at a rate of `5 per unit. The feasibility study of the project has already been done. Next step is to conduct a detailed feasibility study. And land has to be acquired for the implementation of the project. A political decision is the need of the hour. It will take one year to get environmental clearance for the project,” said E Nandakumar, former executive director, BPCL Kochi Refinery.

It is estimated that 150 acres of land is needed for the project. The total cost for it will be `5000 crore. No decision has been taken so far regarding the equity split up of the project as well. After getting all the approvals at least it will take at least three years to complete the project. On the proposed LNG power plant, Pushp Khetarpal, senior vice-president, Petronet LNG-Kochi, said that he has no idea when the MoU will be signed with the KSEB. Fifty acres of land adjacent to the LNG terminal on Puthyvype island has been earmarked for the LNG project.

http://newindianexpress.com/states/kerala/article1339949.ece

BPCL Kochi Refinery expansion project gets environmental clearance

KOCHI: The Rs 14,225 crore integrated refinery expansion project (IREP) of Bharat Petroleum Corporation Ltd. to be implemented at Kochi Refinery has got environment clearance from the Ministry of Environment & Forests.The IREP project proposes, to increase the refining capacity of Kochi Refinery to 15.5 million tonnes from the present 9.5 million tonnes, modernization of refinery to produce auto fuels complying with Euro IV/Euro V specifications, upgradation of low value refinery residue stream to value added products and production of propylene.

BPCLBSE -0.69 % intends to utilize the propylene to make petrochemical products like acrylates, super absorbent polymer etc which are predominantly imported into the country now. BPCL has signed an MoU with petrochemical major LG Chem, South Korea as a joint venture partner for the petrochemical complex. The estimated investment for the project is estimated to be in the range of Rs 5000-6000 crore.
The IREP project is scheduled to be completed by December 2015 and the petrochemical complex is expected to go on stream in tandem with the expansion project. Besides generating employment, about 1.3 million tonnes of petcoke will also be produced from projects, which along with propylene is expected to provide a fillip to the industry in Kerala.

http://economictimes.indiatimes.com/news/news-by-industry/energy/oil-gas/bpcl-kochi-refinery-expansion-project-gets-environmental-clearance/articleshow/17325475.cms

http://s06.flagcounter.com/mini/fqNn/bg_FFFFFF/txt_FFFFF7/border_FFFFFF/flags_0http://s04.flagcounter.com/mini/mHX/bg_FFFFFF/txt_FFFFF7/border_FFFFFF/flags_0http://s04.flagcounter.com/mini/90Q/bg_FFFFFF/txt_FFFFF7/border_FFFFFF/flags_0http://s04.flagcounter.com/mini/U9Id/bg_FFFFFF/txt_FFFFF7/border_FFFFFF/flags_0

http://www.business-standard.com/india/news/bpcl-kochi-refinery-project-gets-environmental-clearance/493462/

The Ministry of Environment & Forests has granted clearance to the integrated refinery expansion project (IREP) of Bharat Petroleum Corporation Limited at Kochi refinery.

The project envisages increasing the capacity of the refinery by 6 million tonnes (mt) per annum to 15.5 mt from the present 9.5 mt. The estimated cost is Rs 14,225 crore and it is scheduled to be completed by December 201
The company also plans to modernise the refinery to produce auto-fuels complying with Euro-IV and V specifications, upgrade low value refinery residue stream to value-added products and produce propylene, a major petrochemical feedstock.

BPCL plans to utilise propylene to make petrochemical products like acrylates and super absorbent polymer that are predominantly imported into the country. For this, it is setting up a petro-chemical complex at the refinery in a joint venture with

LG Chem of South Korea, where the latter will bring its technology and marketing expertise.

The complex is expected to be commissioned along with the IPE project and involve an investment of Rs 5,000-6,000 crore.

The state government, which signed a memorandum of understanding with BPCL during the Emerging Kerala Investors Meet in September for this, had agreed to extend various incentives like deferment of Kerala General Sales Tax/VAT and Central Sales Tax and exemption of works contract tax for the project.

The plant would also produce about 1.3 mt per annum petcoke. This also envisages the possibility of setting up a petcoke-based power plant, according to a release.

State public sector undertakings like Kerala Minerals and Metals Limited and Travancore Cements could use the petcoke produced from this project.

The investment totalling about Rs 20,000 crore for both the projects is the single largest investment in Kerala.

Farmers oppose laying of Kochi-Bangalore gas pipeline through lands in Sankagiri in Salem District


Special Correspondent

Farmers in Salem district strongly opposed the laying of gas pipeline by Gas Authority of India Limited (GAIL) through their lands in Sankagiri taluk.

They expressed their resentment over the Cochin-Bangalore project that traverses the districts of Coimbatore, Salem, Erode, Namakkal, Dharmapuri and Krishnagiri at the consultative meeting organised by Salem Collector K. Maharabushanam on Tuesday.

The pipeline is proposed to be laid through the villages of Morur, Kasturipatti, Annathanapatti, Iveli, Avarangampalayam, Vettukadupatti, Olakasikanur, Vaikundam, Agrahara Thalaiyur, Kanendri, Pudur, Ekapuram and Edankanasalai for a distance of about 70 kilometres in 350 acres of lands, which are under cultivation.

The farmers and their representatives who took part in the meeting pointed out that the pipeline could be laid along the National Highways.

The same, they claimed, had been conveyed to the Ministry concerned. State government also had been approached in this issue.

Hence they urged the administration not to permit the laying of pipeline through farm lands in the villages.

The farmers further claimed that in case of accident, loss of life and property would be enormous.

Reacting to their views, the Collector said that development works in the interest of State and society should not be stalled. GAIL had conveyed that adequate compensation would be paid to those who would be giving their lands for laying the pipeline.

The farmers, however, struck to their views urging the district administration to convey their resentment over the project to the authorities concerned.

Government’s views

Collector Maharabushanam said that he had conveyed the government’s views and would inform the farmers’ stand on the issue to the State.

Sankagiri tasildhar R. Rajendiran and other senior revenue officials were present at the meeting.

http://www.thehindu.com/todays-paper/tp-national/tp-tamilnadu/farmers-oppose-laying-of-gas-pipeline-through-lands-in-sankagiri/article4169640.ece

This thread is to discuss news, informations and pics about these projects.http://www.pxeb.info/24.jpghttp://www.pxeb.info/8.jpghttp://www.pxeb.info/25.jpghttp://www.pxeb.info/26.jpg

This thread is to discuss news, informations and pics about these projects.http://www.pxeb.info/24.jpghttp://www.pxeb.info/8.jpghttp://www.pxeb.info/25.jpghttp://www.pxeb.info/26.jpg

Which are the "these" projects?

Detailed project report soon for 500 MW petcoke power plant

KOCHI: An agency will soon be appointed to prepare the detailed project report (DPR) for the 500 MW petcoke-based power plant, planned jointly by the Kerala State Electricity Board (KSEB) and BPCL Kochi Refinery Ltd, in the city.

The decision to prepare the DPR was taken following a preliminary study conducted by a committee comprising representatives of both KSEB and Kochi refinery.

The committee had submitted its report to the state government last month. According to sources, the study endorsed setting up a petcoke-based project in the city as it would enable low-cost production of electricity.

KSEB sources said the cost of power would be low. "We can produce electricity from the plant at a cost of Rs 5 to 6 per unit. The project can be implemented if the Kochi refinery supplies petroleum coke at a fixed rate for three to four years. The running cost is also low," said a KSEB official. Various types of technologies, including gas turbines, are available for producing power using petcoke. It is also free of pollution. The plant would require 300 acres of land.

Land is not expected to be a problem as officials have already identified some areas for the project. "The production facility can be set up near the Kochi refinery and the distribution facility at Brahmapuram," said the official. The Kochi refinery will be able to produce 13-15 tonnes of petcoke after the expansion of the refinery by 2015.

KSEB officials said the project can be beneficial for the city, especially when the Kochi Metro rail project becomes a reality.

"Ernakulam district accounts for one-eighth of the state's total power consumption. This is expected to go up further in the future with more number of companies coming up in Kochi," said another official.

http://timesofindia.indiatimes.com/city/kochi/Detailed-project-report-soon-for-500-MW-petcoke-power-plant/articleshow/17686147.cms

BPCL Kochi Refinery: Rs 20,000 crore worth projects to take off soon

IREP: Rs 14,225 crore project to raise production capacity from 9.5 Million MT to 15.5 Million MT, upgrade fuel to Euro 4,5 standards
Rs 7000 crore worth projects comprising Petrochemical Park JV with LG Chem, South Korea, KSEB-BPCL JV for 500 mW petcoke-based power plant, Plant to produce O2, H2 & N2, Kochi-Coimbatore gas pipeline etc.

ബിപിസിഎൽ കൊച്ചി റിഫൈനറി: വൻകുതിപ്പിന് നിലമൊരുങ്ങി (http://www.manoramaonline.com/cgi-bin/MMOnline.dll/portal/ep/malayalamContentView.do?contentId=13092035&programId=1073753761&channelId=-1073751706&BV_ID=@@@&tabId=11)

കൊച്ചി: ബിപിസിഎൽ കൊച്ചി റിഫൈനറിയിൽ 20,000 കോടി രൂപയുടെ വൻ വികസന വൈവിധ്യവൽക്കരണ പദ്ധതിയുടെ പ്രാഥമിക പ്രവർത്തനങ്ങൾ പൂർത്തിയാകുന്നു. ഉൽപാദന ശേഷി 70 ശതമാനത്തോളം വർധിപ്പിക്കുന്നതിനും പെട്രോളിയം ഉൽപന്നങ്ങളുടെ ഗുണമേന്മ ലോക നിലവാരത്തിലെത്തിക്കുന്നതിനും പുറമേ, കോയമ്പത്തൂർ വരെ പാചക വാതക പൈപ്പ് ലൈൻ, 500 മെഗാവാട്ടിന്റെ വൈദ്യുതി നിലയം, ഓക്സിജൻ, ഹൈഡ്രജൻ, നൈട്രജൻ എന്നിവ ഉൽപാദിപ്പിക്കാൻ പ്ലാന്റ് തുടങ്ങിയ വൻ നേട്ടങ്ങൾക്കും വഴിയൊരുക്കുന്നു.

ഇന്റഗ്രേറ്റഡ് റിഫൈനറി എക്സ്പാൻഷൻ പ്രോജക്ടിന് ഈയിടെയാണു കേന്ദ്ര വനം പരിസ്ഥിതി മന്ത്രാലയത്തിന്റെ അനുമതി ലഭിച്ചത്. മൊത്തം 14,225 കോടി രൂപയുടെ നിക്ഷേപം വികസന പദ്ധതിക്കു മാത്രം വേണ്ടിവരും. അനുമതികൾക്കു കാത്തിരുന്ന് സമയം കളയാതെ മുന്നൊരുക്കങ്ങൾ ചെയ്തതാണ് പദ്ധതിയുടെ പ്രാഥമിക പ്രവർത്തനങ്ങൾ വേഗം പൂർത്തിയാക്കാൻ സഹായകമായതെന്ന് എക്സിക്യൂട്ടീവ് ഡയറക്ടർ ജോൺ മിനു മാത്യു പറഞ്ഞു.

റിഫൈനറി സംയുക്ത സംരംഭങ്ങൾക്കും ലക്ഷ്യംവയ്ക്കുന്നു. പെട്രോകെമിക്കൽ പാർക്കിൽ 7000 കോടിയോളം രൂപയുടെ നിക്ഷേപം ഇത്തരത്തിലായിരിക്കും. റിഫൈനറിക്ക് ആവശ്യമായ ഓക്സിജൻ, ഹൈഡ്രജൻ, നൈട്രജൻ എന്നീ വാതകങ്ങൾ നിലവിൽ സ്വന്തം നിലയിൽ ഉൽപാദിപ്പിക്കുകയാണ്. എന്നാൽ വികസന പദ്ധതിയുടെ ഭാഗമായി വിഭാവനം ചെയ്തിരിക്കുന്നത് റിഫൈനറിയുടെ അതിർത്തിക്കുള്ളിൽ സ്വകാര്യ പങ്കാളിത്തത്തിലൂടെ ഇതിനു പ്ലാന്റ് സ്ഥാപിക്കാനാണ്. 200 കോടി രൂപയുടെ നിക്ഷേപം ഇതിന് ആവശ്യമുണ്ട്.

വൈദ്യുതോൽപാദന പ്ലാന്റ് കെഎസ്ഇബിയുമായി ചേർന്നു സ്ഥാപിക്കാൻ ഉദ്ദേശിക്കുന്നു. 500 മെഗാവാട്ടിന്റെ പദ്ധതിയുടെ വിശദാംശങ്ങൾ സംബന്ധിച്ച പഠനം ഉടനെ പൂർത്തിയാകും. ക്രൂഡ് ഓയിലിൽനിന്ന് ശുദ്ധീകരണത്തിനു ശേഷം പ്രതിവർഷം 13 ലക്ഷം ടൺ പെട്രോളിയം കോക്ക് ലഭിക്കുമെന്നു കണക്കാക്കുന്നു. ഇത് ഉപയോഗിച്ച് വൈദ്യുതി ഉൽപാദിപ്പിക്കുമ്പോൾ, നാഫ്ത ഇന്ധനമാക്കുന്നതിന്റെ 60% ചെലവേ വരികയുള്ളൂ.

വികസനം പൂർത്തിയാകുമ്പോൾ, റിഫൈനറിക്കു മാത്രം വേണ്ടിവരുന്നത് 160 മെഗാവാട്ട് വൈദ്യുതിയാണ്. ശേഷിച്ചത്, കെഎസ്ഇബിക്ക് നൽകുകയും ചെയ്യാം. ബിപിസിഎല്ലിന്റെ സ്വന്തം നിലയ്ക്കുള്ള ഭാരിച്ച നിക്ഷേപം കുറയ്ക്കുക എന്ന ലക്ഷ്യവും സംയുക്ത സംരംഭങ്ങൾക്കുണ്ട്.

ഇന്ധനങ്ങളുടെ ഗുണമേന്മ ഉയർത്തുമ്പോൾ, സൾഫറിന്റെ അംശം ഗണ്യമായികുറയും. നിലവിൽ പ്രതിദിനം 210 ടൺ സൾഫർ ലഭിക്കുന്നുണ്ട്. വികസനത്തിനു ശേഷം ഇത് 1000 ടണ്ണിലെത്തും. പൈപ്പ് ലൈൻ വഴി ദ്രവ രൂപത്തിലുള്ള സൾഫർ ഫാക്ടിന് നൽകാൻ പദ്ധതിയുണ്ട്. പാചക വാതകത്തിന്റെ ഉൽപാദനം നിലവിലെ 5 ലക്ഷം ടണ്ണിൽനിന്ന് പ്രതിവർഷം 10 ലക്ഷം ടൺ എന്ന തോതിലെത്തും.

രാജ്യത്തിന് ആവശ്യമായ പാചക വാതകത്തിന്റെ ഒരു പങ്ക് ഇറക്കുമതി ചെയ്യുകയാണ്. പ്രതിമാസം 6000 ടണ്ണാണ്, കേരളത്തിലെ ആവശ്യത്തിനായി ഇവിടെനിന്ന് നൽകുന്നത്. കൊച്ചിയിൽനിന്ന് കോയമ്പത്തൂരിലേക്ക് പൈപ്പ് ലൈൻ വഴി പാചക വാതകം എത്തിക്കാനും ഉദ്ദേശ്യമുണ്ട്. കൊച്ചി കോയമ്പത്തൂർ കരൂർ പൈപ്പ് ലൈനിന് സമാന്തരമായി, പൈപ്പിടുവാൻ സാധ്യത ആരായുന്നു.

ഭൂമി ഏറ്റെടുക്കുന്നതിന്റെ പ്രശ്നങ്ങൾ ഇതുവഴി ഒഴിവാക്കാനാകും. മാത്രമല്ല, വിവിധ കേന്ദ്രങ്ങളിൽനിന്ന് വാതകമെടുത്തു പ്രാദേശികമായി വിതരണം ചെയ്യാനും വീടുകളിലേക്ക് പൈപ്പ് ലൈൻ വഴി വാതകമെത്തിക്കാനുള്ള സിറ്റി ഗ്യാസ് പദ്ധതിയിൽ പങ്കാളിയാകാനും ഇതു സാധ്യമാക്കും.

PM to lay foundation stone of BPCL-Kochi Refinery' IREP on Jan 7

Kochi: Prime Minister Manmohan Singh will on January 7 lay the foundation stone for the Rs 14,225 crore BPCL-Kochi Refinery's Integrated Refinery Expansion project, near here, which aims to meet the country growing energy needs and make auto fuels more environment friendly.

The foundation stone will be laid at the Kochi-BPCL Refinery complex at nearby Ambalamugal.

Governor H R Bhardwaj, Chief Minister Oommen Chandy, Union ministers-- M Veerapa Moily, Vayalar Ravi, K V Thomas and Lakshmi Panabaaka will be among those present.

The project envisages increasing the refining capacity of the Kochi refinery from the present 9.5 MMTPA to 15.5 MMTPA, modernising of refinery to produce auto fuels complying with Euro IV/ Euro V specifications, upgradation of low value refinery residue stream to value added products, refinery sources said.

The refinery presently produces Euro-III/IV compliant auto-fuels and various other petroleum products. From the initial capacity of 2.5 Million Metric Tonnes Per Annum (MMTPA), it has progressively grown to its present level of 9.5 MMTPA, refinery sources said.

Kerala Government has signed an MoU with BPCL during the Emerging Kerala Investors Meet for implementation of the project, which is scheduled to be completed by December 2015.

One of the major initiatives identified by BPCL is to utilize the propylene to make petrochemical products like Acrylate and Super absorbent Polymer which are predominantly imported into the country today.

This propylene based petrochemical complex is envisaged as Joint Venture where the JV partner's technology and marketing expertise will be used.

BPCL has already signed an MoU with Petrochemical major M/s LG Chem, South Korea. The estimated investment on this Petrochemical JV is estimated to be in the range of Rs 5000-Rs 6000 crore and the complex is expected to be on stream in tandem with the above expansion project.

This investment totalling to about Rs 20,000 crore is the single largest investment in Kerala, which can generate ample employment.
http://zeenews.india.com/business/news/companies/pm-to-lay-foundation-stone-of-bpcl-kochi-refinery-irep-on-jan-7_67512.html

Manmohan to lay stone for BPCL project in Kochi (http://www.thehindu.com/news/cities/Kochi/manmohan-to-lay-stone-for-bpcl-project-in-kochi/article4282463.ece)
http://www.thehindu.com/multimedia/dynamic/01323/K_R_L_1323636f.jpg
BPCL-Kochi Refinery

The Rs. 14,000-crore integrated expansion of the refinery will make BPCL’s Kochi facility the largest public sector refinery in the country with an annual capacity of 15.5 million tonnes.

Prime Minister Manmohan Singh will lay the foundation stone for the integrated refinery expansion and modernisation projects of Bharat Petroleum Corporation here on Monday.

The stone laying ceremony will signal the beginning of work on a pair of projects that involve a total investment of more than Rs. 20,000 crore.

The Rs. 14,000-crore integrated expansion of the refinery will make BPCL’s Kochi facility the largest public sector refinery in the country with an annual capacity of 15.5 million tonnes.

First in State

It also signals the establishment of Kerala’s first petro-chemicals complex involving an investment of Rs. 6,000 crore.

Governor of Kerala H.R. Bharadwaj, Union Petroleum Minister Veeerappa Moily, Chief Minister Oommen Chandy and his senior Cabinet colleagues will be among those present at the occasion.

The environmental clearance for the integrated refinery expansion, which also involves equipping the refinery with capacity to produce Euro IV/V-compliant auto fuels, was received in November last year.

Stone & Webster of the U.S. will provide technology for the refinery’s fluidised catalytic unit. Lummus Corporation, U.S., is the technology provider for the delayed coker unit and Halder Topsoe of Denmark will be the technology provider for the diesel hydro-treater unit.

Joint venture

The public sector oil refiner has LG Chemicals (http://www.lgchem.com/) of South Korea as its joint venture partner for the petrochemicals complex, which will use propylene from the expanded facility to produce acrylates, phenol, and super absorbent polymer.

The petrochemicals complex is expected to unleash a wave of fresh industrial activity in the State industry sources expecting at least a score of downstream units that will use propylene from the refinery.

Considering the importance of the project, the State government signed an agreement with BPCL on the sidelines Emerging Kerala Summit 2012 in September for providing incentives like deferment of Kerala goods and services tax, value-added tax and CST as well as to provide exemption from works contract tax.

Leverage strengths to draw investments: Manmohan

Stone laid for Integrated Refinery Expansion project of BPCL-Kochi Refineries

Kerala’s unique strengths need to be leveraged to draw new investments to the State, Prime Minister Manmohan Singh has suggested.

Speaking at the foundation-stone laying ceremony of the Integrated Refinery Expansion project of BPCL-Kochi Refineries here on Monday, Dr. Singh said a “high level of social development, very high quality of human resources” and the commitment of Oommen Chandy’s government to “provide a clean, transparent and efficient administration” were some of the strengths of Kerala.

The Rs.14,225-crore expansion project will have many multiple effects for Kerala’s economy. The Kerala government’s plans to bring downstream ancillary industries to nearby areas would further boost the local economy and provide additional employment and income opportunities to citizens, he said.

(BPCL has already signed a memorandum of understanding with petrochemical major LG Chem, South Korea, and the estimated investment on this petrochemical joint venture is estimated to be in the range of Rs.5,000-Rs. 6,000 crore and it is expected to be on stream in tandem with the expansion project. These two projects bring in an investment of Rs.20,000 crore.)

Dr. Singh said the United Progressive Alliance government had “always strived for accelerated development and progress” of Kerala. The number of projects initiated by the Central government in Kerala will benefit the State in its quest for rapid economic and industrial growth. The Vallarpadam International Container Transshipment Terminal, the Indian Naval Academy at Ezhimala, and BrahMos Aerospace, Thiruvananthapuram, were some of the initiatives of the Central government, he said.

M. Veerappa Moily, Union Minister for Petroleum of Natural Gas, said a 31,700-km network of natural gas pipeline would be laid in the country by 2016-17. The country will become self-sufficient in oil and gas production by 2030. The Ministry plans to reduce the import of oil and gas in a phased manner, he said.

Mr. Moily sought the support of the State government for creating a network of gas pipelines spread all over Kerala. With the completion of the expansion programme of the refineries, the economic face of Kerala would be changed. It will also convert India into a major refinery hub in the world and the Kochi refinery would become an institution of world class, he said.

Chief Minister Oommen Chandy said the State government intended to establish a petrochemical park in the area. The development programme of the refinery would convert Kochi into a petrochemical hub in South India, he said.

The State government and Kochi Refineries had earlier signed a Memorandum of Understanding for waiving off value-added tax and sales tax worth Rs.4,500 crore for the project. Several other sops were offered for the project, he said.

Union Minister of Overseas Indian Affairs Vayalar Ravi; Union Minister of State for Food and Public Distribution (Independent charge) K.V. Thomas; Union Minister of State for Petroleum and Gas Panabaka Lakshmi; Governor H.R. Bharadwaj; Industries Minister P.K. Kunhalikutty; Finance Minister K.M. Mani; K.P. Dhanapalan, MP; V.P. Sajeendran, MLA; and R.K. Singh, Chairman and Managing Director, Kochi Refineries; were present.

http://www.thehindu.com/news/states/kerala/leverage-strengths-to-draw-investments-manmohan/article4283489.ece

Bangalore, Mar 6: Karnataka Chief Minister Jagadish Shettar has urged Union Petroleum and Natural Gas Minister M Veerappa Moily, who hails from the coastal Dakishina Kannada region, to direct the Gas Authority of India Ltd (GAIL) to take steps to implement the Kochi-Koottanad-Mangalore-Bangalore pipeline (KKBMPL) without delay to spur growth and development of the State.

The Chief Minister, who has written separate letters to the Union Minister, said the Kochi-Mangalore line was expected to be commissioned by the Central Public Sector Undertaking GAIL in 2013 as part of the recently commissioned 1000 km Rs 4,500 crore Dabhol-Bangalore Natural Gas Pipeline (DBPL) with a capacity of 16 MMSCND of natural gas

''It is understood that GAIL would not be able to commission the Kochi-Mangalroe line in 2013 as planned earlier due to inordinate delays in the project for reasons beyond their control," Shettar said and expressed grave concern over media reports that GAIL ''may also consider dropping this leg if similar situation persists for some more time."

Releasing copies of his letter to Moily, the former chief minister of Karnataka, Shettar said: ''It is a matter of grave concern to the Government of Karnataka that the consumers of Mangalore, some of whom have assumed availability of natural gas in their project plans, would suffer extensively due to delay in the availability of natural gas."

''This would trigger serious sustainability issues for some of these organizations raising concerns about jobs that these organizations have created or are likely to create in this area," the chief minister said pointing out that GAIL’s KKBMPL project was ''expected to bring gas transmission infrastructure to Dakshina Kannada region for the benefit of industries in and around Mangalore and parts of Bangalore Rural and Urban districts."

The State Government has been very supportive and GAIl has also been proactive in responding to the suggestions of the State Government regarding creation of gas infrastructure in Karnataka, the chief minister said describing the Dabhol-Bangalore natural gas pipeline (DBPL) as a ''game-changer in the Karnataka growth story."

''Mangalore is one of the most industrialized regions in Karnataka and the economic progress of this region is a source of pride to all of us," he said explaining that Mangalore was the largest energy consuming region in the State due to the presence of industries like MRPL, KIOCL, MCF and a cluster of small and medium scale industries.

The Rs 4,500 crore DBPL project with a capability of transmitting upto 16 MMSCMD of natural gas was planned to operate at a low load initially. The proposed mega fertilizer plant at Belgaum and the power plant at Bidadi, in the city outskirts, were planned to start utilizing natural gas within two to three years. Naturally, the DBPL project was expected to have sufficient surplus capacity to cater to Dharwad, Bhadravathi in Shimoga district and meet the requirements of Mangalore and Udupi districts..

The Chief Minister apprised Moily that the Mangalore Special Economic Zone (SEZ) was established with a view to capitalize on the port infrastructure for export-oriented activities and gain from the opportunities for setting up units downstream of the refinery.

''We have already seen major investment in the SEZ with the setting up of ONGC Mangalore Petrochemicals Ltd (OMPL). We are also hopeful that many more companies like JBF Industries Cardolite Corporation and Nagarjuna Group would start operating their proposed facilities in the SEZ soon," he said pointing out that Bhadravati in Shimoga district with its steel processing unit of SAIL was a major paper processing hub of the State, though the region, was not covered by GAIL’s pipleline infrastructure.

Shettar explained that two spur lines from DBPL – connecting Mangalore, Shimoga and Udupi and linking the twin cities of Hubli and Dharwad – of about 300 kms and 60 kms in length respectively would vastly help in meeting industrial, commercial, petroleum natural gas (PNG) and compressed natural gas (CNG) requirements of these cities besides providing cleaner environment to the residents.

The Chief Minister urged Moily to advise GAIL to take up the necessary project activities and ensure that Dabhol-Bangalore pipeline was connected to Dharwad, Bhadravati, Udupi and Mangalore at the earliest as it would ensure necessary natural gas connectivity for optimal utilization. It will also ensure critical gas supplies for use as fuel or feedstock to reach big industrial consumers such as MRPL, OMPL, MCF, KIOCL etc and also present a strategic option for high priority projects such as the Indian Strategic Petroleum Reserves Ltd (ISPRL) coming up between Mangalore and Udupi.

''Ensuring availability of natural gas at Dharwad, Hubli, Bhadravati/Shimoga, Udupi and Mangalore will be of immense help in not only reducing pollution levels but also in providing a fillip to further industrial development of all these cities," Shettar said promising to provide ''all required help to GAIL for execution of the pipeline connectivities to the region."

In another letter on the same subject, the chief minister mentioned that natural gas has emerged as a key energy resource for the economic development of any region and the availability of natural gas infrastructure is critical for the development of the state.

The DBPL initiative has brought natural gas to the people of Karnataka for the first time and gas supply has been commenced at Bangalore. The pipeline passes through Belgaum, Dharwad, Gadag, Bellary, Devanagere, Chitradurga, Tumkur, Ramanagaram, Bangalore Urban and Rural districts.

The project involves laying of 73 km of 18 inch diameter pipeline in Bangalore and with the commencement of natural gas supply, he said city’s alarming rise air pollution level could be checked by promoting the use of natural gas as transport fuel. Karnataka was keen to roll out CNG infrastructure in Bangalore on priority.

He said Karnataka State Industrial Infrastructure and Development Corporation (KSIIDC) and GAIL have signed a Joint Venture Agreement to form a Joint Venture (JV) Company for distribution of gas to various consumers in the State. The Roll out of CNG infrastructure in Bangalore can be carried out by the proposed joint venture company of KSIIDC and GAIL and urged Moily to ensure that Bangalore and most of cities in Karnataka were able to get ''clean fuel."

Deleted

RK Garg, director - Finance, Petronet LNG expects the Kochi terminal to be commissioned by end of May or early June. In an interview to CNBC-TV18 he says, "Kochi is connected with a small pipeline within Kerala and that too around 44 kilometers. There is not much demand and for that we will be buying spot LNG or short-term LNG from the market."

Also Read: ONGC to sign pact for Mangalore LNG terminal on Mar 18

Below is the verbatim transcript of RK Garg's interview on CNBC-TV18

Q: During January and February, the international LNG prices have been pretty tight, did you see a fall in volumes because of the demanding prices?

A: In January and February because of the high demand in the market, especially in Japan due to high winter, the prices of spot cargoes and spot LNG has moved up. The price prevailing even for India was around USD 17 per mmbtu. The market has now softened and prices are coming down and it is currently hovering around mid-15 and therefore we are seeing the demand of LNG now.

Q: What were your utilisation levels in January and February, were they around Q3 numbers, significant lower, any number that you can give us?

A: In January and February because the prices were quite high, there has been a slow demand because the consumers in those sectors cannot afford the prices. Overall January-February even in March, is okay. As far as we are concerned, that terminal has a limitation that we cannot do beyond a nameplate capacity. We are already operating around 10 million tonne.

Q: With regards to fertilisers, have you seen a slackening of demand because that is usually a weak period, was the off-take much lower?

A: Fertiliser yes, off-take is now there and they are also looking for more gas and in terms of LNG. One thing is important for the fertiliser sector because a new fertiliser policy that had been announced few months back, now there is a lot of interest in the fertiliser industry for putting up more fertiliser facility and expansion and looking for more and more LNG in future.

കൊച്ചി . അമ്പലമേട്ടില്* ബിപിസിഎല്* കൊച്ചി റിഫൈനറിയില്* നിന്നുളള പെറ്റ്കോക്ക് ഉപയോഗിച്ച് 500 മെഗാവാട്ട് വൈദ്യുതി നിലയം സ്ഥാപിക്കാന്* ധനമന്ത്രി കെ. എം. മാണി പച്ചക്കൊടി കാണിച്ചത് സംസ്ഥാനത്തിന്റെ ഉൌര്*ജപ്രതിസന്ധിക്ക് വലിയൊരളവോളം പരിഹാരമാകും.

മൊത്തം അയ്യായിരം കോടി രൂപയോളം മുതല്* മുടക്കുളള പദ്ധതി പ്രവര്*ത്തനക്ഷമമാക്കാന്* അനുമതികളെല്ലാം കിട്ടി 30 മാസം കാത്തിരുന്നാല്* മതി. മാത്രമല്ല, യൂണിറ്റിന് അഞ്ചര രൂപയ്ക്കു വൈദ്യുതി ലഭ്യമാകുമെന്ന നേട്ടവുമുണ്ട്. കൊച്ചി റിഫൈനറിയുടെ ശേഷി പ്രതിവര്*ഷം 95 ലക്ഷം ടണ്ണില്* നിന്നു 155 ലക്ഷം ടണ്ണാക്കി ഉയര്*ത്തുന്നതിനുളള സമഗ്രവികസന പദ്ധതി 2015 ഡിസംബറില്* പൂര്*ത്തിയാകും. ഇതോടെ പ്രതിവര്*ഷം ലഭ്യമാകുന്നത് 14 ലക്ഷം ടണ്* പെറ്റ്കോക്കാണ്. ക്രൂഡോയില്* സംസ്ക്കരണത്തിന് ശേഷം ലഭിക്കുന്ന ഖര പദാര്*ഥമായ പെറ്റ്കോക്ക്, ലോകമെമ്പാടും വൈദ്യുതോല്*പ്പാദനത്തിന് ഉപയോഗപ്പെടുത്തുന്നുമുണ്ട്. പരിസര മലിനീകരണം താരതമ്യേന കുറവാണെന്നതാണ് ഇതിന്റെ സവിശേഷത.

വൈദ്യുതി നിലയം സ്ഥാപിക്കുന്നതിന്, കേരള സര്*ക്കാരിന്റെ നിര്*ദേശമനുസരിച്ച് വൈദ്യുതി ബോര്*ഡും ബിപിസിഎല്* ഉദ്യോഗസ്ഥരും അടങ്ങുന്ന സമിതി സാധ്യതാപഠനം നടത്തിയിരുന്നു. മൂലധനച്ചെലവ് സാങ്കേതികവിദ്യ, വൈദ്യുതിയുടെ യൂണിറ്റ് ചെലവ്, ഭൂമിയുടെ ആവശ്യം, പരിസ്ഥിതി പ്രശ്നം തുടങ്ങിയവയെല്ലാം സംബന്ധിച്ച് റിപ്പോര്*ട്ടും തയാറാക്കി. പെറ്റ്കോക്കിന്റെ ലഭ്യത കണക്കിലെടുത്ത് കൊച്ചി റിഫൈനറിയോട് ചേര്*ന്ന് വൈദ്യുതി നിലയം സ്ഥാപിക്കുന്നതാണ് അഭികാമ്യമെന്ന് പഠനം വിലയിരുത്തി. ഇതിന് 120 ഏക്കര്* വേണം. റിഫൈനറിക്ക് തൊട്ടടുത്തുളള ഫാക്ടിന്റെ ഭൂമി ഇതിനു യോജ്യമാണ്. കണ്*വെയര്* സംവിധാനം ഉപയോഗിച്ച് പെറ്റ്കോക്ക് താപനിലയത്തിലെത്തിക്കുക അനായാസവുമാണ്. ഫാക്ടിന്റെ അധികഭൂമിയാകുമ്പോള്* സ്ഥലമേറ്റെടുക്കലിന്റേയും മറ്റും പ്രശ്നങ്ങളുണ്ടാകുകയില്ല.വൈദ്യുതി കെഎസ്ഇബി ലൈനുകളിലേക്ക് നല്*കാനും സൌകര്യമുണ്ട്. ചിത്രപ്പുഴയില്* നിന്ന് ആവശ്യമായ ജലം ലഭിക്കുകയും ചെയ്യും.

പെറ്റ് കോക്കിന്റെ വില ടണ്ണിന് 6000 രൂപയോളമാകും. മറ്റ് പെട്രോളിയം ഇന്ധനങ്ങളെ അപേക്ഷിച്ച് ഇത് കുറഞ്ഞ വിലയാണ്. രാജ്യാന്തര വിപണിയില്* വിലയില്* കാര്യമായ വ്യതിയാനവുമില്ല. ഇൌ ഘടകങ്ങളെല്ലാം താപനിലയം ഏറ്റവും വേഗം യാഥാര്*ഥ്യമാക്കുന്നതിന് സഹായകമാണ്.

പക്ഷേ, സര്*ക്കാരിന്റെ ഭാഗത്തു നിന്ന് ഉറച്ച തീരുമാനമുണ്ടായെങ്കില്* മാത്രമെ ഇത് സാധിക്കുകയുള്ളൂ എന്നാണു വിദഗ്ധര്* ചൂണ്ടിക്കാട്ടുന്നത്. വിശദമായ സാധ്യതാപഠനം, പരിസ്ഥിതി പ്രത്യാഘാതം തുടങ്ങിയവ സംബന്ധിച്ച് റിപ്പോര്*ട്ട് ഉടനെ തയാറാക്കേണ്ടതുണ്ട്. ഇതിന്റെ കണ്*സല്*ട്ടന്*സി സേവനങ്ങള്*ക്കും മറ്റുമായി രണ്ടുകോടി രൂപയോളം ഉടനെ ചെലവഴിക്കുകയും വേണം.

Manorama (http://www.manoramaonline.com/cgi-bin/MMOnline.dll/portal/ep/malayalamContentView.do?programId=1073753761&contentId=13651140&tabId=11)

^^^^^^^^^^

Mani sir is more better than Magician Muthukad.... He announced several projects without allocating money.... What a magic:cheers:

Detailed feasibility report for LNG-based power plant in Kochi in April

KOCHI: The detailed feasibility report (DFR) for an LNG-based 1200 mw plant to be set up near the upcoming LNG terminal at Puthuvype near Kochi, would be ready by April end. The project to be set up jointly by Petronet LNG and KSEB could cost around Rs 4800 crore. The cost of power generated from this plant would could hover around Rs 6.5 per unit, according to Petronet officials.


"We have estimated this price based on the contracted price of gas we are proposing to import. We have not factored in the possibilities of sliding down of the gas prices when technologies are developed to economically tap the shale gas discovered in the US," A K Balyan, MD and CEO, of Petronet LNG, told TOI here.

KSEB officials said they would take a call on the project proposal after the cost estimates were finalised.

Dr Balyan also disclosed that the Rs 4200 crore LNG terminal at Puthuvype would not be commissioned in this financial year, as was planned earlier. "Now we will be able to commission it in June or July instead of March as our customers are not ready to receive the gas," he said.

FACT which will be one of large consumers of LNG from Puthuvype would take some more time to convert their fuel base from naphtha to LNG. BPCL Kochi Refinery which is another large consumer is already prepared to receive LNG. However, Petronet would be able to ensure a minimum off-take from the LNG terminal only if FACT was also ready. The gas off-take from the terminal which would have a capacity of five million tonnes a year, would be less than 20 per cent initially, even when these two major customers are ready.

Times (http://timesofindia.indiatimes.com/city/kochi/Detailed-feasibility-report-for-LNG-based-power-plant-in-Kochi-in-April/articleshow/19086151.cms)

KSEB to go ahead with 500 MW Petcoke Power Plant project (http://newindianexpress.com/cities/kochi/article1511432.ece)

The 500-MW power project using petcoke to be produced by the BPCL Kochi Refinery, after the completion of the integrated refinery expansion project, has gathered momentum as the power project has found a place in the latest Kerala budget.

Though no fund was allotted to the project, the Kerala State Electricity Board (KSEB) has decided to go ahead with the project. A decision about the machinery and technology to be used for the project will be taken in two months after which a report about the cost and price will be prepared.

KSEB chairman M Sivasankaran told Express that the FACT land at Ambalamugal and HMT land at Kalamasserry are the probable sites for the project.

After getting the approvals, it will take at least three years to complete the project.

Earlier, there was a controversy about who will implement the project as the Industries department and INKEL Limited have raised claims for the project. But, later Power Minister Aryadan Muhammed made it clear that it is the project of KSEB. T Balakrishnan, managing director, INKEL Limited said INKEL will support KSEB for fund mobilisation and technological assistance if required. He added that if KSEB forms a consortium for the project, INKEL is ready to join.

Petcoke is the residue left after the refining of crude has a high calorific value and is also high on sulphur. A kg petcoke produces 6,000 kilos of calorie, 150 per cent more than the same quantity of coal produces.

It is estimated that power from the petcoke-based plant will be available at a rate of `5 per unit. A preliminary feasibility study of the project has already been done. About 150 acres of land is needed for the project and the expected cost will be `5,000 crore.

“Only 300 Petcoke-based plants are operational in the world. About 3-4 machinery variants are available to produce power from petcoke. KSEB has to make a decision about machinery and technology for the project. The pricing of petcoke is another factor which has to be discussed in detail,” said M Sivasankaran.

According to a BPCL Kochi Refinery official, the integrated refinery expansion project will be completed in December 2015. “The company will be able to provide 1.4 million metric tonnes of petcoke a year after the completion of the expansion project,” he said.

I read in Manorama that LNG terminal is in uncertainty after TN Chief Minister Jayalalita said that pipelines cannot be laid through farmlands. If it cannot reach Bangalore the project may be shelved

Now latest news. This seems to be more on our side.

http://www.manoramaonline.com/cgi-bin/MMOnline.dll/portal/ep/malayalamContentView.do?contentId=13734101&programId=1073753761&tabId=0&BV_ID=@@@

I read in Manorama that LNG terminal is in uncertainty after TN Chief Minister Jayalalita said that pipelines cannot be laid through farmlands. If it cannot reach Bangalore the project may be shelved

How can you shelve a project, once its completed....... If TN donot allow, other feasible routes will be explored.... Even TN will have issues, as TN eariler announced 2 major LNG Power plants to solve the worst Electricity crisis.... Now Jaya is announcing so many things, thinking only ELECTIONS.... She is leaving no space for Tatha to garner a public demand, rather taking up all by her....

You are right. I hope you saw my latest news too which was updated today. Now the tide seems to be in our favor. It is just that I heard in the newspaper that the commissioning is postponed indefinitely because of this pipeline issue. Kochi and Kayamkulam uses only a meagre percentage of full capacity of the terminal

How can you shelve a project, once its completed....... If TN donot allow, other feasible routes will be explored.... Even TN will have issues, as TN eariler announced 2 major LNG Power plants to solve the worst Electricity crisis.... Now Jaya is announcing so many things, thinking only ELECTIONS.... She is leaving no space for Tatha to garner a public demand, rather taking up all by her....

Commissioning of Puthuvype LNG terminal delayed by three months

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The commissioning of the Petronet LNG terminal at Puthuvype here will be delayed by two to three months, according to present estimates. The liquefied natural gas terminal is expected to be commissioned by June-July.

The facility for receiving LNG and regasifying it for onward transport has been completed at the terminal.

The terminal has got all the mandatory clearances for operation, company officials said. The delay is being attributed to lack of preparedness of the end-users to receive gas.

FACT, one of the major LNG consumers, has begun conversion of machinery required for operation of the plants using regasified LNG as fuel, replacing naptha. NTPC, Kayamkulam, another prospective bulk consumer, has not entered into a contract with Petronet LNG Limited.

Several other bulk consumers are yet to finalise their arrangement with Petronet and launch measures to switch over to LNG as fuel. In most of such cases, the plants would have to be shut down for a brief period before being able to switch over to the new fuel.

The Kerala State Road Transport Corporation, a prospective customer of compressed natural gas (CNG), is interested in making use of gas for its fuel needs, but the decision to operate CNG fuelled buses will hinge on a variety of factors.

Petronet LNG has already submitted a proposal to the corporation. Setting up of CNG fuelling stations as well as purchase of CNG-fuelled buses are among important financial concerns for the corporation.

CNG fuelling stations could be established at Aluva and Thevara in the property owned by the KSRTC and initial talks were held in this connection, according to top officials.

Cost advantage

The cost advantage of CNG will be a key issue for the KSRTC which has been struggling to make ends meet. While the corporation would like to have a relief from the rising diesel costs, it is doubtful of a gain from CNG buses on the operational front.

The prices of CNG are dependent on international market conditions and the present international rates are not lucrative. As CNG is considered more environment-friendly, the government ought to share the expenses on conversion of buses to facilitate operation on CNG.

The corporation would also like to undertake experimental trips to ascertain cost-effectiveness, but it would be possible only after the fuel is available at its stations.

http://www.thehindu.com/news/cities/Kochi/commissioning-of-puthuvype-lng-terminal-delayed-by-three-months/article4559168.ece

Security of BPCL-Kochi’s single point mooring under scanner
(http://www.thehindu.com/news/cities/Kochi/security-of-bpclkochis-single-point-mooring-under-scanner/article4588907.ece)

Just when the State administration gets rapped by the Comptroller and Auditor General of India for dragging its feet on empowering the coastal police to secure the littoral waters and vital installations along Kerala’s coastline, security of BPCL-Kochi’s high-value oil terminals has come under the scanner all over again.

While the Central Industrial Security Force (CISF) deployed under the Cochin Port Trust safeguards the Cochin oil terminal besides the south and north tanker berths against seaborne threats, securing the single point mooring (SPM) located some 10 nautical miles (19 km) from the shore has been a sore issue for the state-owned oil firm.

The SPM, a buoy that acts as a mooring point and interconnect for very large crude carriers to load/offload oil or gas, doesn’t enjoy the security cover it should, left as it is to the wits of two unarmed security guards sporting binoculars, night vision devices and cell phones keeping watch over it from a maintenance-cum-support vessel operated by the oil company. While all coastal security stakeholders are on the same page about beefing up security to the vital buoy, nobody wants to take the lead in belling the cat.

Discussions have come to such a pass that BPCL-Kochi is set to reiterate its plea for enhanced security measures to the buoy at a high-level meeting of oil firm representatives to be convened by the Union Home Ministry at New Delhi
on Monday.

Despite the ban on fishing within a nautical mile from the buoy, fishing boats were often found to violate the ban, said a Coast Guard official. The threat was all the more heightened given the SPM’s proximity to the international maritime boundary line. A fishing boat with masked registration signboard could be commandeered by someone to ram it, said a BPCL official. After the issue cropped up at the coastal security meetings held by the Coast Guard and the Navy, it was generally agreed that the security of the SPM is “practical only by a force with seagoing capability, seaworthy vessel and authority.”

At the moment, the coastal police have none of the capabilities.

The embattled BPCL-Kochi held discussions with the CISF, which following a security evaluation, demanded the oil company to cough up Rs.30 crore (for purchase of seaworthy boats and other infrastructure facilities) to take on the job.

“That was a prohibitively expensive proposal and given the additional operating expenses, this would have strangled our business,” said Captain Haridas Mathilakath, chief security officer of BPCL-Kochi.

“Further, CISF is at a loss to check underwater threats, which makes it mandatory for one of the seagoing security forces, the Navy or the Coast Guard, to offer help.”

The SPM operated by the Indian Oil Corporation at Vadinar in Gujarat is guarded by the Coast Guard, with the IOC footing the security bill.

At the New Delhi meeting on Monday, the BPCL-Kochi Refinery will most likely suggest the Centre launch a similar mechanism for all oil and natural gas facilities close to the coast, with the companies joining hands to meet the security expenditure.

Public protest may delay LPG plant work (http://http://newindianexpress.com/cities/kochi/article1535193.ece)

At a time when Liquefied Petroleum Gas (LPG)-receiving jetty for the Indian Oil Corporation’s (IOC) proposed LPG terminal at Puthuvype island is getting ready, tension mounts around the project as the residents are against the storage facility.

The project is envisaged to culminate the road movement of LPG in the state. According to IOC officials, the project will take atleast 24 months to complete if going by this pace. But, the residents say that they will resist the storage facility at Puthuvype as it is a threat to the lives of the over 60,000 residents in the region.

The proposal for setting up an LPG terminal came up in 2009 and the Cochin Port Trust (CPT) allocated 37 acres on a long-term lease at Puthuvype to the oil company.

Cochin Port Trust is constructing the LPG-receiving jetty, which will incur a cost of `170 crore. The total project cost is likely to be in the range of `600 crore with the storage facility and pipeline to Udayamperoor bottling facility being the different parts of the project.

A Memorandum of Understanding (MoU) was signed between IOC and Cochin Port Trust for the project in last December.

A Pandian, General Manager, Indian Oil Corporation-Kerala said that the construction of the jetty is initial part of the project and it is underway now. “The proceedings to start construction of the project is on. It will take atleast 24 months to complete the project,” he added.

M B Jayaghosh, chairman, LPG Terminal Virudha Janakeeya Samara Samithi said the samithi is planning to intensify the protest against the storage facility.

“The people in the region are against the storage facility being set up at Puthuvype. Though the jetty construction had started, it is learnt that environment impact study was not done for the project,” he said.

Kerala requires approximately 25,000 tonnes of LPG per month and the entire quantity is transported via road using more than 1,500 tanker trips.

Experts say that frequent strikes by tanker lorries are affecting the movement of LPG and the terminal may pave way for a better arrangement. Under the present MoU, Indian Oil Corporation will use the facility 180 days a year and the Port Trust can use the terminal for the remaining days.

TN politicising Kochi LNG project
(http://www.deccanherald.com/content/324768/tn-politicising-kochi-lng-project.html)N S Venkataraman, April 9, 2013
Kochi LNG terminal, costing around Rs 4,300 crore, is being built by Petronet LNG Ltd.(consortium of Gas Authority of India Limited (GAIL) and Bharat Petroleum Corporation Limited (BPCL), both of which are public sector enterprises.

The terminal at Kochi is expected to meet the enormous demand of natural gas for power, fertilisers, petrochemicals and various other industries in the southern states of Kerala, Tamil Nadu and Karnataka.

Construction of LNG receiving, storage and regasification terminal at Kochi has been going on for more than four years now. The terminal was initially planned for a throughput of 2.5 million metric tonnes (mmt) per annum.

However, within the course of the project construction, it was decided to raise its capacity to 5 mmt, in view of projected high demand potential of LNG in south Indian markets, thereby extending the project completion date from its earlier planned 2011. Several schedules announced in the past for the completion of the facility have not been adhered to. The latest schedule is July, 2013.

Even if the mechanical completion of the terminal would be completed in the next few months and the procedures for receiving natural gas from foreign countries have been completed, the Kochi LNG terminal facility is now facing huge uncertainty both for administrative and political reasons.

Not ready yet

Similar to the act of putting the cart before the horse, user industries in Kerala are not yet ready to receive LNG. Several industries including FACT and the Kochi refinery in Kerala, which have signed agreements with Petronet LNG Limited for gas purchase are yet to begin the conversion process at their product manufacturing units.

It will be meaningless to commission the project without the end-users being able to receive the gas. FACT, one of the main bulk users of LNG, has received permission from the Union government to convert its fertiliser production facility at Udyogamandal to utilise natural gas.

The Union budget proposal for exempting natural gas and liquefied natural gas from basic customs duty has come as a boost to plans to set up a 1,200-MW LNG-based power plant, integrated with the LNG receiving and re-gasification facility being set up at Kochi.

Petronet LNG Limited, which is building the LNG terminal had confirmed that the government had agreed in principle to a proposal for setting up a power plant at the Kochi terminal. The power project is estimated to cost between Rs 3,000 and Rs4,000 crore. However, it would take atleast four years to build the power plant from the date of taking a firm decision in the matter.

However, the gas pipeline project has encountered serious problem in Tamil Nadu with politicians whipping up undue fears among the local farmers. The Gail India is laying the pipelines connecting the Kochi terminal in two phases. It is now in the process of laying LNG pipeline between Kochi terminal and Bangalore, that will run through Tamil Nadu traversing Coimbatore, Salem, Erode, Tiruppur, Namakkal, Dharmapuri and Krishnagiri Districts.

However, members of various farmers’ associations in Coimbatore region and some political parties in Tamil Nadu have joined hands to protest against the GAIL’s project going through farm land in Tamil Nadu. Tamil Nadu chief minister J Jayalalitha has asked GAIL to stop the pipeline project in Tamil Nadu through the farm land and and instead take an alternate route along the highways.

GAIL has said that it would not be possible to run the pipeline adjacent to highways as the law does not allow it and traffic movement will be disrupted. Future expansions would be also be a problem. It is necessary to keep in mind that Kochi LNG project will promote economic and industrial growth in substantial way in Kerala, Tamil Nadu and Karnataka, by facilitating investment in several natural gas based projects, using natural gas both as feedstock for downstream industries and as fuel for much needed power projects.

The overall benefits have the potential to change the economic and social face of the region for the better. The region is losing precious time and opportunities in utilising the LNG for its benefits and delay in the LNG pipeline project should be a matter of great concern.

As the pipeline laying project is centred in Tamil Nadu, its chief minister Jayalalitha shoud intervene in the matter urgently and facilitate an acceptable and pragmatic solution, to ensure that Kochi LNG terminal would serve its purpose.

Petronet LNG, a private company promoted by state-run oil firms for importing liquid gas in ships, will take 26% stake in a shipping venture planned to haul gas to its new terminal at Kochi in Kerala. Petronet is seeking a 216,000 cubic metre capacity cryogenic ship that could cost up to $220 M.

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Work on IOC’s crude storage facility completed

The FACT Engineering and Design Organisation (FEDO), the engineering consultancy division of FACT, has completed work on the Rs 2,700-crore mega crude and product storage facility of the Indian Oil Corporation’s refinery project at Paradip, Odisha.

Apart from consultancy services, FACT Engineering and Design Organisation carried out the review of detailed engineering, procurement services and construction management and supervision for setting up the crude and product storage facility for the project.

The storage facility includes eleven crude oil floating roof tanks of diameter of 79 metre each and 13.6 metre height, with capacity of 59,555m3.

There are also 25 product tanks with capacity upto 38,284m3 and 15 pressurised LPG/ propylene bullets, each with a capacity of 1,300 metric tonnes.

The crude and product storage facility has been set up in 3,344 acres of land.

http://newindianexpress.com/cities/kochi/Work-on-IOC%E2%80%99s-crude-storage-facility-completed/2013/04/23/article1557199.ece

BPCL gets VAT relief, tax exemption

THIRUVANANTHAPURAM: The government would exempt Bharat Petroleum Corporation Ltd (BPCL) from the work contract tax, as the BPCl has promised a development plan of Rs 2,000 rore. The tax exemption will be of Rs 750 crore, said chief minister Oommen Chandy.

The government has reached an agreement with the BPCL for development plans and would give a relief in VAT to the tune of Rs 3,000 crore. The state cabinet gave a relief for this based on which BPCL will have to repay the VAT only after 15 years.

Chandy said t the cabinet also reviewed the drought situation and are constantly monitoring the situation in each district.

he government has decided to convene a special cabinet meeting on April 30 to decide on some long-term measures to help the regions severely affected by drought.

The state cabinet decided not to sanction any more pre-primary schools in the state. Based on the Supreme Court verdict, the government had increased the salaries of the pre-primary teachers to Rs 5,000 and of ayahs to Rs 3,500. This had benefited 995 pre-primary teachers and 1,552 ayahs.

However, 1,701 pre-primary teachers and 190 ayahs could not benefit as they lacked necessary qualifications. They will be provided the same scale of salaries without any retrospective effect.

The cabinet also decided to provide UGC package for lecturers of 11 Arabic aided colleges.

Chandy said the land adjacent to Bolgatty Palace was handed over to Lulu by the coastal department and the state government had no role in it. The land was handed over before the UDF came to power. All the clearances were given by the Centre and not by the state government, he added.Ends/

http://timesofindia.indiatimes.com/city/thiruvananthapuram/BPCL-gets-VAT-relief-tax-exemption/articleshow/19717670.cms

Petronet to kick start Kochi terminal at 15% capacity (http://www.thehindubusinessline.com/companies/petronet-to-kick-start-kochi-terminal-at-15-capacity/article4670462.ece)
Petronet LNG Limited on Tuesday said it would start commercial operations of 5 million tonnes per annum terminal in Kochi by July. However, the terminal would operate at just 15 per cent capacity because the pipeline network to evacuate gas is yet to be laid.

“Kochi terminal has a problem of pipeline connectivity. The phase-II of connectivity that was suppose to come in October last year is delayed because of problems in Kerala and Tamil Nadu. The 44 km stretch is complete,” A K Balyan, Managing Director and CEO of the company told media persons.

Balyan explained that once the Kochi-Mangalore and Kochi-Bangalore pipelines come up, the capacity addition would go up remarkably, to the order of 75 per cent. “Terminals would need better pipeline connectivity. If gas business has to grow emphasis has to be on pipeline connectivity.”

Petronet targets to import four-five spot cargoes to its Kochi terminal in 2013-14. The terminal would start getting gas from Gorgon project in Western Australia on long-term agreement starting 2015.

Speaking on imported gas prices, R K Garg Director (Finance) said that it went up to $18-19/mBtu during January-March. This was because of higher demand during winter and countries such as Brazil and Argentina, among others consuming more gas.

“Now, spot prices are hovering around $14/mBtu,” Garg said.

Trial run of aviation fuel pipeline to airport begins (http://thehindu.com/news/national/kerala/trial-run-of-aviation-fuel-pipeline-to-airport-begins/article4679855.ece)

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Bharat Petroleum Corporation Limited (BPCL) has begun a trial run on its 33-km aviation turbine fuel (ATF) pipeline linking the company’s refinery here to the Cochin International Airport, Nedumbassery, and has finalised plans to lay a 229-km pipeline linking Kochi and Coimbatore for cooking gas supply.

The LPG pipeline from BPCL’s refinery here to Coimbatore will be established at a cost of over Rs. 500 crore. The pipeline will eliminate the need for transporting by road cooking gas to bottling plants between Kochi and Coimbatore.

The LPG pipeline project is linked to the refinery’s integrated expansion and modernisation, which will result in the BPCL refinery producing 1.26 million tonnes of LPG. Kerala’s monthly LPG requirement is around 65,000 tonnes.

Executive director of the refinery Prasad K. Panikker told The Hindu on Thursday that the ATF pipeline, which cost Rs. 40 crore, was doing well and yielding expected results.

It was built to address the twin problems of pollution caused by transport of ATF by road and frequent disruption in supplies.

Commercial supplies through the pipeline are expected to begin in two to three weeks. The pipeline, built to pump 100 kilo litres an hour, will meet the expanding requirement for aviation fuel at the Nedumbassery airport, which is expanding business and building an entirely new international terminal.

The airport’s fuel requirement currently stands at approximately 15,000 kl a month and the new pipeline means that it has taken nearly 40 lorries off National Highway No. 47 on one of its busiest stretches in Kerala. Mr. Panikker said that BPCL was awaiting clearance from the Petroleum and Natural Gas Regulatory Board for the LPG pipeline project.

Vital cog in State's industrial wheel (http://thehindu.com/news/cities/Kochi/vital-cog-in-states-industrial-wheel/article4693231.ece)

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When the integrated expansion project at Bharat Petroleum Corporation’s Kochi Refinery is completed in 2015, it will become one of the most important landmarks in Kerala’s industrial growth story. The project will be a milestone as significant as the commissioning of the refinery in September 1966, when Kochi became the first oil refining centre in South India. The then standalone refinery was among the four public sector facilities set up in the country under a massive national programme.

However, the commissioning of the expanded 15.5-million-tonnes-a-year facility will make the Kochi facility more than a refinery. It will ring in a new era of industrialisation in the State, whose relationship with the brick and mortar industry appears to have soured long ago.

Pet coke from the expanded refinery will change the power generation scenario in the State. LPG from the plant will be more than what Kerala requires and propylene from the refinery will set the ball rolling for a new industrial revival in the State. Kerala will finally have its own petrochemical complex, thanks to the BPCL initiative to set it up in collaboration with LG Chem.

The refinery’s executive director Prasad K. Panicker said the combined Rs.20,000 crore, which would go into the expansion project and petrochemical complex, would be the single largest investment in the State’s history. Among the ongoing projects, only the Kochi metro rail project with an envisaged investment of approximately Rs.5,000 crore comes anywhere close to the two projects in terms of the volume and potential for job generation.

The refinery’s commissioning in 1966 required 5,000 hands at the peak of the works. The present works require between 15,000 and 20,000 people a day over the next two-and-a-half years. It may not be easy to find so many workers, concedes Mr. Panicker.

The short-term job opportunities apart, the petrochemical complex holds the key to the future. More than any other product, it will be propylene that will make Kochi Refinery’s venture a futuristic one. Out of a total of five lakh tonnes of propylene from the expanded refinery, three lakh tonnes will be used up by the joint venture company for derivatives. The rest will be available to any entity interested in using it.

A score of downstream units are expected to create at least 10,000 jobs in the State. The Kerala State Industrial Development Corporation is already in the thick of action. It is on the look out for entities interested in exploiting the new opportunity. However, with land prices rising in and around the vicinity of the refinery, the corporation is finding it a bit difficult to acquire sufficient land. According to industry insiders, the downstream units will require approximately 100 acres. For the downstream units to be viable, it would be best that the government agency identify and acquire land.

Looking beyond the hurdles, the petrochemical complex will ensure more business for the Port of Kochi, create new opportunities for Fertilizers and Chemicals Travancore and augment business for the State-owned Travancore Cochin Chemicals.

The quantum of propylene from the expanded refinery will result in production of nine lakh tonnes of petrochemical derivatives that include acrylates, super absorbent polymer and phenol. The end products form these derivatives include textiles, adhesives, diapers, paints and inks, caprolactam and agro-chemicals. Downstream units producing these products will require an investment of Rs.6,000 crore.

Transporting the petrochemical derivatives from Kochi via the sea route would help generate more business for the port here. The demand for sulphuric acid from the downstream units will generate new customers for the Fertilizers and Chemicals Travancore Limited (FACT). Travancore Cochin Chemicals will see increased demand for caustic soda, one of its key products.

The sophistication of the expanded refinery will enable the oil company refine even sulphur-heavy crude as well derive an entirely new product — petroleum coke, which is now imported into the country. The new product can go into cement production as well as generation of electricity.

In view of this, the Kerala State Electricity Board and BPCL have entered into an agreement to set up a power generation facility with a capacity of around 350 MW. Power produced from the plant is expected to be considerably cheaper that what is now being bought by the Board from outside.

The completion of the refinery expansion also means that the State will have surplus LPG available in Kochi itself. Kerala requires between 60 and 65,000 tonnes of LPG a month while the expanded refinery will produce more than a million tonnes a year from the current level of five lakh tonnes.

BPCL has also finalised plans and is awaiting clearance for a 220-km pipeline to supply LPG from Kochi to bottling plants up to Coimbatore.

BPCL plots new refining, marketing roadmap

Mumbai, May 20:
Bharat Petroleum Corporation is scripting an expansion and modernisation plan for its four refineries across the country. The investments for the next 3-4 years, along with petrochemicals, will be upwards of Rs 25,000 crore.

As part of its downstream focus, BPCL has earmarked Rs 7,000 crore for new pipelines which will ensure cost-effective transport of products. An additional Rs 6,000 crore will go towards creation of infrastructure for gas distribution.

“We have had huge gas finds in Mozambique and hope to become a significant player in its marketing as well. The idea is to make gas available for use in India and our contribution is going to be very significant,” R.K. Singh, Chairman and Managing Director, told Business Line.

For the moment, BPCL’s top priority is its refinery expansions which will help satiate the growing demand for products in the country. This will include its Mumbai facility, the oldest in its kitty, which began operations way back in 1955. “We are trying to improve efficiency of this refinery by replacing the age-old plants with new ones. This low-cost upgradation will boost production and make the facility more energy-efficient,” Singh said.

Other facilities

As a result, the 12-million-tonne refinery will see an overall utilisation of up to 120 per cent (translating into an output of 14 mt). More importantly, it will continue to be relevant in the years to come.

Another expansion proposal involves Numaligarh Refinery in Assam, which BPCL acquired from IBP in the mid-1990s. At three mt, it is the biggest facility in the North-East. BPCL is now looking at increasing its capacity to nine mt but the big issues here involve crude availability and product evacuation.

Paradip in Orissa (where IndianOil is readying its refinery) is the nearest port, and Singh said BPCL could examine the option of importing crude from here and transporting it via pipeline to Numaligarh. Similarly, another pipeline can be put in place to carry products from the refinery to eastern Uttar Pradesh.

The recently commissioned Bina refinery in Madhya Pradesh will see a low-cost expansion and all that needs to be done is upgrading the size of the equipment without any new unit.

“We can easily increase capacity from six to nine mt at an investment of Rs 2,000 crore,” Singh said.

Biggest expansion

Oman Oil, BPCL’s equity partner in the Bina refinery, is bullish on this expansion which will cater to the needs of north and central India. However, any further capacity increase hinges on water availability in the region.

Kochi Refinery, which BPCL acquired from the Government a decade ago, will see the biggest capacity expansion from 9.5 to 15.5 mt over the next three years. This will be accompanied by addition of a coker facility to improve efficiency.

It will involve an expenditure of Rs 15,000 crore which will see Kochi emerge the largest refinery in the BPCL stable along with a petrochemicals complex.

Singh said the company is adopting a new concept of outsourcing in Kochi to keep costs in check.

“I am confident Mumbai and Kochi will see better profitability once these projects are completed and good refinery margins are assured in the future,” he said.
http://www.thehindubusinessline.com/todays-paper/tp-corporate/bpcl-plots-new-refining-marketing-roadmap/article4733856.ece

Report on LNG plant to be filed in 2 days (http://http://newindianexpress.com/cities/kochi/Report-on-LNG-plant-to-be-filed-in-2-days/2013/05/25/article1605081.ece)

The detailed feasibility report of the proposed LNG power plant at Puthuvype will be presented to Kerala State Electricity Board (KSEB) on May 27 in Thiruvanthapuram.

The study began in February this year, with the total cost of `1.5 crore being shared equally by Petronet LNG Ltd and KSEB. The report is being prepared by Steag Energy Services (India) Pvt Ltd, a wholly owned subsidiary of Steag Energy Services, Germany.

According to the proposed project plan, three units of 350 MW each will be set up within 36 months at Puthuvype, adjacent to the LNG terminal, which will generate 1,200 MW of electricity. Around 50 acres of land adjacent to the LNG terminal at Puthuvype island has been earmarked for the `4,000 crore project.KSEB chairman M Sivasankaran said that detailed feasibility study would cover factors such as the total cost for power generation, technology adopted for the project, time span for implementing the project, etc.

“Based on the details presented by the consultancy, KSEB will decide whether to modify the project or not. The feasibility study is important as the project involves a large chunk of investment. “Lots more has to be finalised before the project gets its final shape”, he added.

In August last year, Petronet LNG had submitted a draft report to the KSEB regarding the LNG power plant project. A power plant of about 1,000 MW needs around 1.1 million metric tonne per annum (MMTPA) of LNG. The Kochi LNG terminal is designed to handle 5 MMTPA of LNG upon completion. Apart from the LNG power plant in Puthuvype (1,200MW), the other LNG power plants proposed by KSEB in the state are Brahmapuram(1,050MW), Kayamkulam power plant expansion (1,050MW), Cheemeni (1,200MW), conversion of Kayamkulam plant stage 1 (350 MW) and conversion of BSES plant in Kochi (165 MW). These are all in the early stages of implementation now.

The total LNG requirement for all the projects would be around 6.25 MMTPA.