Mittal to get Rs 7,793 cr for Bhatinda refinery
A consortium of 26 institutes, led by SBI, will lend Rs 7,793 crore to India-born billionaire Lakhsmi N Mittal's refinery venture at Bhatinda in partnership with state-run HPCL.
By PTI |
MUMBAI: A consortium of 26 institutes, led by SBI, will lend Rs 7,793 crore to India-born billionaire Lakhsmi N Mittal's refinery venture at Bhatinda in partnership with state-run HPCL.
India's largest FDI under public-private partnership was advised and arranged by SBI Capital Markets, a joint release by HPCL and SBI Capital Markets said on Friday.
"It is a privilege to be a part of country's largest FDI under public-partnership project," SBI Capital Markets' CEO and MD, R Sridharan said.
The 9-million-ton refinery at Bhatinda in Punjab is being built at a cost of Rs 18,919 crore. Mittal Energy Investment and HPCL hold 49 per cent stake each in Guru Gobind Singh Refinery Ltd, the company implementing the project.
"The entire debt is designated in Indian Rupees. Flexibility has been provided to change the financing mix during the construction period to suit the project requirements," the release said.
"It is estimated the demand for retail petroleum products will grow at around 5-6 per cent in next 10-15 years," HPCL's Director Finance C Ramulu said, adding that "we have to build capacities and Bhatinda Refinery aims to meet this growing demand."
The refinery will commence production from January 2011, and will produce petroleum products compliant with Euro IV emission norms.
"As the refinery will have a Nelson Complexity Index of 9.6, it will be in a position to process a variety of crudes and also produce petrochemical products," the release said.
India's largest FDI under public-private partnership was advised and arranged by SBI Capital Markets, a joint release by HPCL and SBI Capital Markets said on Friday.
"It is a privilege to be a part of country's largest FDI under public-partnership project," SBI Capital Markets' CEO and MD, R Sridharan said.
The 9-million-ton refinery at Bhatinda in Punjab is being built at a cost of Rs 18,919 crore. Mittal Energy Investment and HPCL hold 49 per cent stake each in Guru Gobind Singh Refinery Ltd, the company implementing the project.
"The entire debt is designated in Indian Rupees. Flexibility has been provided to change the financing mix during the construction period to suit the project requirements," the release said.
"It is estimated the demand for retail petroleum products will grow at around 5-6 per cent in next 10-15 years," HPCL's Director Finance C Ramulu said, adding that "we have to build capacities and Bhatinda Refinery aims to meet this growing demand."
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The refinery will commence production from January 2011, and will produce petroleum products compliant with Euro IV emission norms.
"As the refinery will have a Nelson Complexity Index of 9.6, it will be in a position to process a variety of crudes and also produce petrochemical products," the release said.
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