Bharat Petroleum Corporation Limited (BPCL) has given a formal confirmation by way of Letter of Acceptance to Praj for its proprietary technology, basic engineering and design package for a value of Rs 16.75 Cr. This is a major milestone towards commencement of work on the 2nd Generation ethanol biorefinery with a production capacity of 100 kiloliters per day to be set up by BPCL at Bargarh, Odisha. The biomass feedstock will be sourced from the local farming community.
Praj had signed MoU with BPCL in Dec 2016. Praj also has MoU in place with Indian Oil Corporation Limited (IOCL) signed in Sept 2016. The Letter of Acceptance was awarded to Praj after the performance evaluation of its 2nd generation integrated biorefinery demonstration plant located in Maharashtra. It is an indication of recognition of biofuels for their contribution to improved air quality in high-density urban centres. They also provide an impetus to reduced dependence on crude imports for the country.