BPCL Board Approves Subsidiary for ₹1.45 Lakh Crore Andhra Pradesh Refinery and Petrochemical Project
Bharat Petroleum Corporation Ltd's board has approved setting up a wholly-owned subsidiary as a dedicated project company for its planned greenfield refinery and petrochemical complex in Andhra Pradesh.
• Location: near Ramayapatnam Port, Nellore district, on 6,000 acres allocated by the state government. • Refinery capacity: an initial target of 9–12 million tonnes a year. • Estimated overall investment: about ₹1.45 lakh crore. • The subsidiary's initial authorised share capital will be up to ₹4,900 crore.
The company will execute the project and lead downstream engineering. A separate company gives a distinct legal and financial structure for due diligence, lenders, partners and financing. The report says pre-project clearances are advancing, but gives no timeline and no petrochemical capacity.
What it means for buyers and suppliers
A new refinery-petrochemical complex on India's east coast would add domestic supply of fuels and petrochemical building blocks for southern and eastern buyers, though it is years away. In the near term it means engineering, construction and equipment demand around Nellore; chemical traders should watch which petrochemicals BPCL chooses to make there.
Source: Indian Chemical News (24 October 2026). Photo: Ramayapatnam lighthouse and fishing boats on the coast near the project site. రవిచంద్ర, CC BY-SA 3.0, via Wikimedia Commons.