CALCULATE YOUR SIP RETURNS

HPCL Approves Modernisation Project in Mumbai Refinery

Updated on: Dec 17, 2024, 3:33 PM IST
The board of Hindustan Petroleum Corporation Ltd has given its approval for the Lube Modernisation and Bottoms Upgradation Project at the Mumbai Refinery.
HPCL Approves Modernisation Project in Mumbai Refinery
ShareShare on 1Share on 2Share on 3Share on 4Share on 5

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.

HPCL Board Investment of ₹4,679 Crore

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.

Objective of The Project

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.

HPCL Financials

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.

HPCL Share Price Performance 

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

We're Live on WhatsApp! Join our channel for market insights & updates

Open Free Demat Account!

Join our 2.5 Cr+ happy customers

+91
Enjoy Zero Brokerage on Equity Delivery
4.4 Cr+DOWNLOADS
Enjoy ₹0 Account Opening Charges

Get the link to download the App

Get it on Google PlayDownload on the App Store
Open Free Demat Account!
Join our 2.5 Cr+ happy customers