Hindustan Petroleum Corporation Ltd (HPCL) is in the process of establishing an international oil trading desk. The brand is currently finalizing its location. Alongside this initiative, HPCL is progressing with the Visakh refinery modernisation project (VRMP) aimed at enhancing capacity and modernizing operations.
Post-modernization, the refinery will produce petrol and diesel meeting BS-VI specifications. The project includes increasing refining capacity from 8.33 million metric tons per annum (mmtpa) to 15 mmtpa, setting up various process and utility units, and improving refinery distillate yields from 76% to 86%.
As reported by msn.com, the establishment of a trading desk enables companies to procure crude oil from the global market in real-time, facilitating the acquisition of the best price and quality and thereby reducing import costs. India, being the world’s third-largest consumer of crude oil, relies heavily on imports to fulfill over 85% of its requirements.
HPCL’s move to set up an international trading unit follows a similar initiative by Bharat Petroleum Corporation Limited (BPCL). BPCL is exploring options for establishing a trading facility in Singapore, Dubai, or Gift City in Gujarat.
