Oil India Limited (OIL) and its key subsidiary, Numaligarh Refinery Limited (NRL), have signed a new long-term agreement for transporting additional petroleum products through OIL’s Numaligarh-Siliguri Product Pipeline (NSPL).
The agreement will be effective for twenty-five years from the start date of the enhanced pipeline operations. Currently, OIL transports 1.72 million tons per annum (MTPA) of petroleum products through NSPL, delivering to NRL’s marketing terminal in Siliguri, West Bengal.
Aligned with the Hydrocarbon Vision 2030 for Northeast India, NRL is expanding the Numaligarh refinery to increase its capacity from three to nine MTPA. To manage the evacuation of NRL’s increased petroleum output through NSPL, OIL and NRL signed a Memorandum of Understanding (MoU) in December 2020.
As reported by Projects Today, and according to the agreement, OIL committed to investing in boosting NSPL’s capacity from 1.72 MTPA to 5.50 MTPA by installing additional booster pump stations and other necessary infrastructure at various points along the pipeline.
