Latest News

Indian Oil upgrades Panipat Diesel refinery to green jet fuel production

Arvind Kumar said that Indian Oil Corp will shut down its 300,000 barrels per day diesel desulphuriser at its Panipat refinery next year for an upgrade to produce sustainable aviation fuel.

Kumar said at an industry event held in New Delhi that the overhaul of diesel unit was scheduled to take place late this year or very early next year.

India targets a 1% share of sustainable aviation fuel in aviation fuel in 2027. This will double to 2% by 2028.

As the refinery has diesel hydrotreaters on the Panipat site, the diesel production would not be affected by the shutdown.

He said that the upgraded unit would process used cooking oils (UCO) and produce 30,000 tons of SAF per year.

Indian Oil, as the largest refiner in India, is also looking at upgrading some kerosene producing units at other refineries so that they can make SAF.

Indian Oil is also planning to invite bids soon for a green hydrogen plant capable of producing 70,000 tons per year and a project for sustainable aviation fuel.

Indian Oil has awarded the contract to build a green hydrogen facility capable of producing 10,000 tons per year at its Panipat refinery, to Larsen and Toubro. L&T will construct and operate the plant, and sell green hydrogen at a price of 397 Indian Rupees per kilogram to Indian Oil.

He said that India had set an ambitious target for its refiners: to meet half their hydrogen needs through green hydrogen. $1 = 85.6490 Indian Rupees (Reporting and Editing by Louise Heavens).

(source: Reuters)