New Delhi : Bharat Petroleum Corporation Limited (BPCL) has achieved the financial closure for its Bina Refinery Expansion cum Petrochemical Project by signing a loan agreement of ₹31,802 crore with a consortium of six lenders led by the State Bank of India.
The project, estimated to cost ₹48,926 crore, aims to set up a petrochemical complex comprising a 1.2 million metric tonnes per annum (MMTPA) ethylene cracker unit and increase the refinery’s capacity from 7.8 MMTPA to 11 MMTPA. This expansion will enable BPCL to produce downstream petrochemical products such as Linear Low-Density Polyethylene (LLDPE), High Density Polyethylene (HDPE), Polypropylene (PP) and other aromatics, thereby reducing India’s dependence on imports.
The project, which had its foundation stone laid by Hon’ble Prime Minister Shri Narendra Modi on September 15, 2023, is poised to create a significant impact on employment in the region. During its construction phase, the project is expected to generate over 15,000 employment opportunities, while post-commissioning, it will create more than 1 lakh direct and indirect employments. This will not only boost the local economy but also provide sustainable livelihood opportunities for the people in the region.
The project aligns with India’s broader strategy to boost industrial growth, infrastructure development, and increased industrial activity. Upon completion, it will mark a significant milestone towards attaining self-sufficiency in polymer products and enhancing energy security of the nation.
“We are delighted to achieve financial closure for our Bina Refinery Expansion cum Petrochemical Project, which aligns with India’s broader strategy to boost industrial growth, infrastructure development, and increased industrial activity,” said Shri G. Krishnakumar, Chairman & Managing Director, BPCL. ” Upon completion, it will mark a significant milestone towards attaining Atma Nirbharata in petrochemical products and enhancing the energy security of the nation.”
“State Bank of India is proud to partner with BPCL in its endeavour to enhance India’s energy security through the setting up of a world-scale petrochemicals complex and brownfield expansion of its Refinery capacity at Bina, Madhya Pradesh,” said Shri Challa Sreenivasulu Setty, Chairman, State Bank of India. “The financial closure of this Rs 31,802 Crores credit facility, with SBI as the Lead Bank is yet another example of how our partnership continues to be mutually beneficial for both the organisations and the nation at large. I look forward to many more successful partnerships with BPCL in the future.”
