Hindustan Petroleum Corporation Limited (HPCL) is a prominent public sector enterprise in the petroleum and natural gas industry, headquartered in Mumbai, Maharashtra. Over the years, HPCL has established itself as a key player in the refining and marketing of petroleum products, providing a diverse array of services that include crude oil refining, transportation, and the manufacturing of various fuels and lubricants.
On December 16, Hindustan Petroleum Corporation Limited announced that its board of directors has sanctioned a modernisation initiative at its refinery in Mumbai. The lube modernisation and bottoms upgradation project is set to enhance both the production capacity and the quality of the refinery’s output, involving a total investment of ₹4,679 crore.
The objective of the project is to augment the production of lube oil base stocks (LOBS) from the existing 475 kilotonnes per annum (KTPA) to 764 KTPA. According to HPCL, the revamped facility will manufacture high-grade Group II+ and Group III LOBS.
Furthermore, the project is expected to increase bitumen production by roughly 487 KTPA, making use of fuel oil for the upgrade. The mechanical completion is projected to take 36 months, followed by an additional three months for commissioning after the board’s approval.
In its financial update for Q2 FY25, Hindustan Petroleum Corporation Ltd disclosed operational revenue of ₹99,977 crore, representing a 4.4% rise from ₹95,752 crore in Q2 FY24.
However, net profit experienced a substantial decline, plummeting to ₹143 crore from ₹5,827 crore in the same timeframe, largely due to a decrease in other income, coupled with increased expenses and depreciation.
At 2:55 PM today, the share price of Hindustan Petroleum Corporation Limited (HPCL) was trading at ₹406.10. The share price has slightly decreased from its peak of ₹409.80.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.
Published on: Dec 17, 2024, 3:33 PM IST
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