Will invest Rs 1 trn in petchem, oil&gas in Odisha: Oil Min

An investment of about Rs 1 lakh crore will be made in Odisha in the next five years in petrochemicals and oil and gas sectors including strategic oil reserves, Petroleum Minister Dharmendra Pradhan said today.Odisha, proposed to be the gateway for energy in eastern India, would be one of the few states to have gas from three sources - imported LNG, domestic natural gas and Coal Bed Methane (CBM), said Pradhan, who discussed about the planned projects with Chief Minister Naveen Patnaik."About Rs 1 lakh crore worth of investment will be made in Odisha during coming five years in petrochemicals, oil and gas, pipelines, LNG, LPG terminals and strategic oil reserve," Pradhan told reporters here.He said the 15 million tonne capacity oil refinery being set up by Indian Oil Corporation Ltd (IOCL) at Paradip at an investment of Rs 34,000 crore is nearing completion and is expected to be commissioned early next year.Describing the refinery as the largest of its kind in the country, the Minister said it would refine all kinds of crude and produce petrol, diesel, LPG, propylene and ATF. In order to maintain adequate stock of oil for emergency situations, Chandikhole area in the state has been identified for establishment of a strategic petroleum reserve, Pradhan said an amount of Rs 3,800 crore would be spent for the facility with 3.7 million metric tonne capacity, he said.The underground project, to be taken up in 400 acre area, would be the largest reserve in the country which has three such facilities in Andhra and Karnataka, Pradhan said.On the petrochemical complex and Petroleum, Chemicals and Petrochemical Investment Region (PCPIR) proposed at Paradip, he said it would take off very soon and stimulate a host of ancillary and downstream activities in the area.IOCL would invest about Rs 3,150 crore for setting up a polypropylene unit in the region work for which is likely to start soon and completed in 2017. The feedstock would be used in a number of activities including furniture, packaging materials, container and medical disposables, he said.Stating that Odisha would be the first state in eastern region to have an LNG terminal at Paradip, Pradhan said GAIL and Paradip Port Trust are discussing the project for which Rs 5,000 crore would be invested.Similarly, Paradip area would also have a LPG terminal at a cost of Rs 2,500 crore, he said adding LPG connections in the state which stood at 28 per cent now would be raised up to the national average of 60 per cent soon.A number of pipelines would also be laid through the state which include Paradip-Ranchi, Paradip-Haldia-Durgapur and Paradip-Visakhapatnam-Hyderabad.