REC extends ₹4,785 crore loan for HPCL Rajasthan Refinery’s greenfield Petrochemical Complex

 REC Limited has approved a loan of ₹4,785 crore for the development of a greenfield refinery cum petrochemical complex in Barmer district, Rajasthan. The loan is part of a consortium arrangement amounting to ₹48,625 crore, with REC Limited’s contribution set at ₹4,785 crores.

The proposed project aims to establish a state-of-the-art refinery cum complex with a capacity of 9 Million Metric Tonnes per Annum (MMTA), requiring a total investment of ₹72,937 crores.   A 74% equity stake in HRRL has been held by HPCL. The 26% of the stake belongs to the Government of Rajasthan. It’s an energy-efficient and environment friendly friendly refinery cum petrochemical complex.

The mponents include pipelines for the transportation of both Rajasthan Crude and imported crude, a dedicated pipeline for water supply, a captive power plant to meet the energy requirements of the refinery, as well as storage facilities for crude and finished products.

Additionally, the project includes the development of a township along with essential amenities and utilities. The primary objective of the project is to produce clean fuels, specifically BS-VI grade Motor Spirit (Petrol) and BS-VI grade High-Speed Diesel (Diesel), along with a range of essential petrochemical products such as Polypropylene, Butadiene, LLDPE, HDPE, Benzene, and Toluene.

The successful completion of this initiative will significantly contribute to meeting the growing demand for petroleum and petrochemical products in Western, Northern, and Central India. REC Limited, a Maharatna CPSU under the Ministry of Power, has been a prominent non-banking financial institution in the power sector since its establishment in 1969.

 Spanning over five decades, REC Limited has played a pivotal role in illuminating every fourth bulb in India by funding projects across the entire power sector value chain, including generation, transmission, distribution, and renewable energy.