HPCL Rajasthan Refinery Gets a Major Scale-Up

The government has approved a revised project cost of ₹79,459 crore for the

Rajasthan Refinery nearly doubling from the earlier ₹43,129 crore, reflecting both cost escalations and enhanced project scope. Hindustan Petroleum Corporation Limited will further invest ₹8,962 crore, taking its total equity contribution to ₹19,600 crore, while retaining a 74% stake in the joint venture (with Rajasthan government holding 26%). The refinery, designed with a capacity of 9 MMTPA and a high petrochemical intensity of over 26%, will produce key outputs including 4 MMTPA diesel, 1 MMTPA petrol, 1 MMTPA polypropylene, 0.5 MMTPA each of LLDPE and HDPE, and 0.4 MMTPA of chemicals like benzene and butadiene. Targeted for commissioning by July 1, 2026, the project is expected to generate employment for 25,000 people while enhancing domestic value addition, reducing import dependency, and driving downstream industrial growth across sectors such as packaging, chemicals, and mobility positioning it as a long-term strategic asset in India’s refining landscape. Disclaimer: This post is for informational purposes only and not a recommendation to buy or sell any securities. I, or my family, associates, or relatives, may have a financial interest in the securities mentioned.