Bharat Petroleum Announces Rs. 5,044 Crore Investment in Polypropylene Plant at Kochi Refinery

Bharat Petroleum Corporation Ltd (BPCL), a state-owned entity, revealed on Wednesday its intention to invest Rs. 5,044 crore in establishing a polypropylene production unit at the Kochi refinery in Kerala. This strategic move aims to meet the growing petrochemical demand in the country.

According to the company's official statement, the polypropylene unit, with a production capacity of 400,000 tonnes per annum, is slated for completion in approximately 46 months from the date of investment approval. Polypropylene finds extensive applications in downstream industries, including packaging films, sheets, boxes, containers, bags, home ware, home care, personal care, and various day-to-day articles.

G Krishnakumar, Chairman and Managing Director of BPCL, emphasized the significance of this Rs. 5,044 crore investment in the polypropylene unit at the Kochi Refinery as part of the company's strategic commitment to a sustainable future. He highlighted that this project is poised to reshape the industry by meeting the burgeoning demand for packaging films, containers, and more.

This initiative builds upon BPCL's existing capabilities, with the operation of a Propylene Derivative Petrochemical Plant (PDPP) at the Kochi refinery. The project's funding will follow a 65:35 debt-equity ratio, as outlined in a separate stock exchange filing by BPCL. The company's board of directors, during a meeting on December 19, granted approval for the establishment of the polypropylene unit.

BS