MRPL forays into fuel retail, to enter ATF marketing
The subsidiary of Oil and Natural Gas Corporation opened its first outlet in the country at Maddur in the neighbouring Mandya district on the Bangalore-Mysore highway.
By PTI |
BANGALORE: Mangalore Refinery and Petrochemicals Ltd has forayed into the fuel retailing business and said it would enter the aviation turbine fuel (ATF) segment shortly.
The subsidiary of Oil and Natural Gas Corporation opened its first outlet in the country at Maddur in the neighbouring Mandya district on the Bangalore-Mysore highway on Saturday evening.
MRPL officials said plans are on to have 10-12 such outlets in Karnataka, Andhra Pradesh and Tamil Nadu over the next six months.
MRPL, which clocked a turnover of Rs 32,376.80 crore in 2006-07, has government approval to open 500 retail outlets.
"Now there is an under-recovery. We don't want to go very aggressively", Managing Director of MRPL, R Rajamani said.
"Once we start these model outlets...prototypes, then we will approach the government for bonds. And if the consumer prices are raised, then the marketing margins improve. After that we may go very fast. Ultimately, we want to establish our presence here (in India)".
Rajamani said MRPL would foray into the ATF marketing space.
"We are presently talking to two airlines. Hopefully, in one or two months, well will conclude the agreement.
Draft agreements are being exchanged", he said. "We are going to supply (ATF) in BIAL (Bangalore International Airport Limited) and Hyderabad airport".
Rajamani also said MRPL has submitted bids to supply ATF at some of the 8-9 airports for which Air India-Indian had floated a tender.
Speaking on MRPL's business plans in general, Rajamani said MRPL would focus more on the domestic market.
"Exports give you less revenue. We will try to push more into domestic market; whatever is surplus, we will export. Export has come down to 43.45 per cent (of the total revenues)", he said.
Company officials said MRPL is expanding its capacity to 15 million tonnes per annum by 2010-11 from the present 12 million tonnes, to produce "many value added products".
The subsidiary of Oil and Natural Gas Corporation opened its first outlet in the country at Maddur in the neighbouring Mandya district on the Bangalore-Mysore highway on Saturday evening.
MRPL officials said plans are on to have 10-12 such outlets in Karnataka, Andhra Pradesh and Tamil Nadu over the next six months.
MRPL, which clocked a turnover of Rs 32,376.80 crore in 2006-07, has government approval to open 500 retail outlets.
"Now there is an under-recovery. We don't want to go very aggressively", Managing Director of MRPL, R Rajamani said.
"Once we start these model outlets...prototypes, then we will approach the government for bonds. And if the consumer prices are raised, then the marketing margins improve. After that we may go very fast. Ultimately, we want to establish our presence here (in India)".
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Rajamani said MRPL would foray into the ATF marketing space.
"We are presently talking to two airlines. Hopefully, in one or two months, well will conclude the agreement.
Draft agreements are being exchanged", he said. "We are going to supply (ATF) in BIAL (Bangalore International Airport Limited) and Hyderabad airport".
Rajamani also said MRPL has submitted bids to supply ATF at some of the 8-9 airports for which Air India-Indian had floated a tender.
ADVERTISEMENT
Speaking on MRPL's business plans in general, Rajamani said MRPL would focus more on the domestic market.
"Exports give you less revenue. We will try to push more into domestic market; whatever is surplus, we will export. Export has come down to 43.45 per cent (of the total revenues)", he said.
ADVERTISEMENT
Company officials said MRPL is expanding its capacity to 15 million tonnes per annum by 2010-11 from the present 12 million tonnes, to produce "many value added products".
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