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Financial Daily from THE HINDU group of publications Wednesday, November 08, 2000 |
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Logistics
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IOC plans additional product pipeline to link Barauni, Patna
Santanu Sanyal
CALCUTTA, Nov. 7
INDIAN Oil Corporation (IOC) proposes to lay an additional product pipeline network between Barauni and Patna as part of its plan to push up the throughput of its existing Barauni-Patna-Mughalsarai-Allahabad-Kanpur product pipeline network.
The survey for the Barauni-Patna network is over and material procurement is in progress. The 115-km-long pipeline network is estimated to cost around Rs 100 crore.
The capacity of the existing 668-km-long Barauni-Patna-Mughalsarai-Allahabad-Kanpur product pipeline network has already been stepped up from the original 1.8 million tonnes (mt) to 2.3 mt, mainly by increasing the pump capacity at several places on the
route.
The current plan is to step it up further to 3.5 mt and, since the Barauni-Patna section is considered the most vital section on the entire stretch, the need, therefore, has been felt for laying a new pipeline network of higher capacity (20" diametre aga
inst the original 12" diametre) as part of the augmentation.
Three is no need to lay additional pipelines, at least immediately, between Patna and Mughalsarai and beyond, it is felt. This is because the pumps at Mughalsarai will be able to take the additional load. At Allahabad, however, two new higher capacity pu
mps are being installed.
Also, as part of the same capacity augmentation plan, a new branch line between Kanpur and Lucknow is being laid. The 70-km long branch pipeline will cost Rs 72 crores, it is learnt.
However, the work on the branch line project, it is learnt, has been delayed by non-availability of suitable pipes.
SAIL was shortlisted as the supplier of the pipes. However, the pipes earlier supplied by the public sector steel giant for IOC's three other branch line projects namely Kurukshetra-Saharanpur, Sonepat-Meerut and Mathura-Tundla having failed in hydrostat
ic pressure testing, SAIL itself has advised IOC to wait for some time.
The capacity of the Haldia-Barauni crude pipeline too is being stepped up from the present 4.2 mt to 7.5 mt. The additional looping, covering about 473 km against the original distance of 498 km, will cost Rs 432 crores. The work, now in progress,is expe
cted to be over in the middle of 2001.
The augmentation of the Haldia-Barauni crude pipeline has become necessary in view of the proposed expansion of the Barauni refinery, from the present three mt to 4.2 mt in the first stage and then to six mt. Also Bongaingaon Refinery & Petrochemicals Li
mited will import about 1.5 mt of crude through Haldia for its own use.
But the expanded capacity of the Barauni refinery might spell doom for the existing Haldia-Rajbandh-Barauni product pipeline network (capacity 1.25 mt). Right now, petroleum products are moved through this pipeline network from Haldia to Barauni via Rajb
andh as the Barauni refinery's present production is unable to meet the entire demand in that region. Such movement will not be necessary once capacity expansion of Barauni refinery is through.
To keep the Haldia-Rajbandh-Barauni pipeline network going, there is a plan to step up the offtake at Rajbandh and also to create a new offtake point at Jasidih (Bihar) falling on the same route.
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