The BORL has commissioned the 6 MMTPA (120 Thousand Barrels Per Day) Refinery at Bina in Madhya Pradesh, in June, 2011 at a project cost of about Rs.
Hence, there is a need for immediate infusion of funds in BORL by the shareholders.
Government has, accordingly, decided to grant approval to the proposal of BPCL to enhance its investment in BORL by an additional amount of up to Rs.
The plans to list BORL
come at a time when the refiner is trying to reinvent itself as a major exploration and production player after huge finds of oil and gas in some of the blocks it owns.
It was announced on July 28, 2008, that BORL was to have a petrochemical plant adjacent to the Bina refinery built as a JV to involve OOC as a partner.
BORL is considering a petrochemicals plant to be built in India.
In the first half of 2008, BORL had approached the Madhya Pradesh government, seeking 1,000 acres of land for the petrochemicals plant.
After meeting with BORL
, Aggreko designed a customised solution for the commissioning of the refinery start-up.
It will get the remaining 24 per cent equity through an initial public offering, the dates of which are yet to be finalised, the source said adding BORL has already arranged Rs 6,400 crore loan to achieve financial closure.
Oman Oil's additional investment of Rs 1,220 crore would take its stake in BORL to 26 per cent from present 2 per cent.