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Refinery to build 100-km pipeline from India to Bangladesh for Rs 150 Crore

EjazR

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May 3, 2009
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GUWAHATI: Assam-based Numaligarh Refinery Ltd (NRL) will construct a 100-km long pipeline from India to Bangladesh for exporting high speed diesel (HSD). The pipeline will connect Siliguri in West Bengal to Parbatipur in Bangladesh and will entail an investment of Rs 150 crore. It will connect an existing pipeline in Siliguri which extends till Numaligarh. NRL is in talk with Bangladesh for exporting 10,000 million tonnes (MT) of HSD through waterways.

NRL Managing Director Dipak Chakravarty told ET: "We are in talk with Bangladesh for export of 10,000 MT of HSD. The value of this will be around Rs 35 crore." Adding he said: "A team from the company has visited Bangladesh. We are waiting for response from the Bangladesh side." Sources added, "A proposal has already been made to the Bangladesh government. As India-Bangladesh relationship has witnessed significant improvement under the new regime of prime minister Sheikh Hasina we are hopeful that this project will see light of the day."

NRL produces around 1.6 MT of HSD annually out of which 20% is consumed in Northeast and rest sent to other parts of the country. In 2007, NRL has exported 4,800 MT of diesel to neighbouring country using the waterways. The consignment was sent from Silghat port in Naogaon District of Assam to Baghabari in Northern Bangladesh. The value of the export was around Rs 15 crore. Bangladesh has shortfall of 1.5 MT of petroleum product.

Sources in NRL added, "Last year, we did not pursue for the exports as many refineries in the country were on up gradation mode for Euro-IV HSD. However now we can comfortably export." Bharat Petroleum Corporation holds a 61.65% stake in the NRL, while Oil India Limited (OIL) has a 26%stake. The Government of Assam has 12.35% stake in the refinery. NRL has marketing terminal at Siliguri. NRL which was set up as a result of historic Assam Accord is looking to augment its capacity from 3 MMTPA to 4 MMTPA. Chakravarty added, "Feasibility study for the capacity augmentation is already done, it will require an investment of Rs 2,000 crore. At present, we have zero debt. Our product includes LPG, Naphtha, Motor Spirit (MS), Aviation Turbine Fuel (ATF) Superior Kerosene Oil (SKO), HSD, Raw Petroleum Coke ( RPC )) Calcined Petroleum Coke and Sulphur."
 
GUWAHATI: Assam-based Numaligarh Refinery Ltd (NRL) will construct a 100-km long pipeline from India to Bangladesh for exporting high speed diesel (HSD). The pipeline will connect Siliguri in West Bengal to Parbatipur in Bangladesh and will entail an investment of Rs 150 crore. It will connect an existing pipeline in Siliguri which extends till Numaligarh. NRL is in talk with Bangladesh for exporting 10,000 million tonnes (MT) of HSD through waterways.

NRL Managing Director Dipak Chakravarty told ET: "We are in talk with Bangladesh for export of 10,000 MT of HSD. The value of this will be around Rs 35 crore." Adding he said: "A team from the company has visited Bangladesh. We are waiting for response from the Bangladesh side." Sources added, "A proposal has already been made to the Bangladesh government. As India-Bangladesh relationship has witnessed significant improvement under the new regime of prime minister Sheikh Hasina we are hopeful that this project will see light of the day."

NRL produces around 1.6 MT of HSD annually out of which 20% is consumed in Northeast and rest sent to other parts of the country. In 2007, NRL has exported 4,800 MT of diesel to neighbouring country using the waterways. The consignment was sent from Silghat port in Naogaon District of Assam to Baghabari in Northern Bangladesh. The value of the export was around Rs 15 crore. Bangladesh has shortfall of 1.5 MT of petroleum product.

Sources in NRL added, "Last year, we did not pursue for the exports as many refineries in the country were on up gradation mode for Euro-IV HSD. However now we can comfortably export." Bharat Petroleum Corporation holds a 61.65% stake in the NRL, while Oil India Limited (OIL) has a 26%stake. The Government of Assam has 12.35% stake in the refinery. NRL has marketing terminal at Siliguri. NRL which was set up as a result of historic Assam Accord is looking to augment its capacity from 3 MMTPA to 4 MMTPA. Chakravarty added, "Feasibility study for the capacity augmentation is already done, it will require an investment of Rs 2,000 crore. At present, we have zero debt. Our product includes LPG, Naphtha, Motor Spirit (MS), Aviation Turbine Fuel (ATF) Superior Kerosene Oil (SKO), HSD, Raw Petroleum Coke ( RPC )) Calcined Petroleum Coke and Sulphur."

I have read the HSD is more expensive than other source of energy to produce an unit KWh of electricity.
 
I have read the HSD is more expensive than other source of energy to produce an unit KWh of electricity.

Bangladesh Gov should make right decision in approving this proposal. OR else unnecessarily India will be dragged in to the conflict..
 
I have read the HSD is more expensive than other source of energy to produce an unit KWh of electricity.

HSD will be used in transportation, not for commercial power generation in my opinion. Are there many commercial power gensets selling power to the grid? or just personal ones?
 
If they construct it utilizing their own money and export it over here, then congrats for a good initiative. HSD will probably be used for power generation.
 
GUWAHATI: Assam-based Numaligarh Refinery Ltd (NRL) will construct a 100-km long pipeline from India to Bangladesh for exporting high speed diesel (HSD). The pipeline will connect Siliguri in West Bengal to Parbatipur in Bangladesh and will entail an investment of Rs 150 crore. It will connect an existing pipeline in Siliguri which extends till Numaligarh. NRL is in talk with Bangladesh for exporting 10,000 million tonnes (MT) of HSD through waterways.

NRL Managing Director Dipak Chakravarty told ET: "We are in talk with Bangladesh for export of 10,000 MT of HSD. The value of this will be around Rs 35 crore." Adding he said: "A team from the company has visited Bangladesh. We are waiting for response from the Bangladesh side." Sources added, "A proposal has already been made to the Bangladesh government. As India-Bangladesh relationship has witnessed significant improvement under the new regime of prime minister Sheikh Hasina we are hopeful that this project will see light of the day."

NRL produces around 1.6 MT of HSD annually out of which 20% is consumed in Northeast and rest sent to other parts of the country. In 2007, NRL has exported 4,800 MT of diesel to neighbouring country using the waterways. The consignment was sent from Silghat port in Naogaon District of Assam to Baghabari in Northern Bangladesh. The value of the export was around Rs 15 crore. Bangladesh has shortfall of 1.5 MT of petroleum product.

Sources in NRL added, "Last year, we did not pursue for the exports as many refineries in the country were on up gradation mode for Euro-IV HSD. However now we can comfortably export." Bharat Petroleum Corporation holds a 61.65% stake in the NRL, while Oil India Limited (OIL) has a 26%stake. The Government of Assam has 12.35% stake in the refinery. NRL has marketing terminal at Siliguri. NRL which was set up as a result of historic Assam Accord is looking to augment its capacity from 3 MMTPA to 4 MMTPA. Chakravarty added, "Feasibility study for the capacity augmentation is already done, it will require an investment of Rs 2,000 crore. At present, we have zero debt. Our product includes LPG, Naphtha, Motor Spirit (MS), Aviation Turbine Fuel (ATF) Superior Kerosene Oil (SKO), HSD, Raw Petroleum Coke ( RPC )) Calcined Petroleum Coke and Sulphur."

Is this a good news or bad new :undecided:

Its related to India so i am confused

because their is a Dalal governmental and we are devils :devil:

Please some one clarify that :lol::lol:
 
If they construct it utilizing their own money and export it over here, then congrats for a good initiative.

They are trying to get some long term commitment for HSD purchase if we will invest 100% in the pipeline. Details will probably be released after the BD govt gets back on the proposal.
 
Bangladesh needs Qatari gas. But, can we ask Qatar to build an unloading platform near Cox's Bazaar? Similarly, BD needs the fuel. It is BD's responsibility to build its own pipeline inside its own territory. However, BD can request a soft loan either to ADB, WB or India.

However, i wonder why it is necessary to bring the HSD to Parbatipur? Instead, the pipeline can stop at the nearest railway station, where it can be unloaded in the underground tanks. Then, it can be loaded into rly tanker and transported. I also do not understand why only Rs.150 will be enough to build a 100km long pipeline? It should not be less than a hundred million dollar.
 
^^100 Million dollars for a 100 Km oil pipeline?

This report has some botched up figures though,

NRL is in talk with Bangladesh for exporting 10,000 million tonnes (MT) of HSD through waterways.

NRL Managing Director Dipak Chakravarty told ET: "We are in talk with Bangladesh for export of 10,000 MT of HSD. The value of this will be around Rs 35 crore." Adding he said: "A team from the company has visited Bangladesh. We are waiting for response from the Bangladesh side." Sources added, "A proposal has already been made to the Bangladesh government. As India-Bangladesh relationship has witnessed significant improvement under the new regime of prime minister Sheikh Hasina we are hopeful that this project will see light of the day."

NRL produces around 1.6 MT of HSD annually out of which 20% is consumed in Northeast and rest sent to other parts of the country. In 2007, NRL has exported 4,800 MT of diesel to neighbouring country using the waterways. The consignment was sent from Silghat port in Naogaon District of Assam to Baghabari in Northern Bangladesh. The value of the export was around Rs 15 crore. Bangladesh has shortfall of 1.5 MT of petroleum product.
 

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