Spice Energy Group company Cals Refineries and Bharat Petroleum Corporation (BPCL), a Navaratna PSU, have signed a memorandum of understanding (MoU) for off-take of petroleum products from Cals.
In its first phase, BPCL will off-take petroleum products from Cals, which is a 100,000 barrels per stream day (BPSD) crude oil refinery after accounting for products already committed to British Petroleum (BP) and the entire petro products from Cals in the second phase. The product off-take from BPCL will include outputs such as liquefied petroleum gas (LPG), propylene, fuel Oil, sulphur, naphtha, gasoil among others.
M Guha Roy, chief executive officer, Cals said: 'Joining hands with BPCL will help Cals to catalyse the progress of West Bengal by effectively delivering on its role as a co-anchor in the Petroleum, Chemicals and Petrochemical Investment Region in Nayachar.'
BPCL Executive Director D M Reddy, felt that procuring petro products from Cals Refineries will offer an opportunity to leverage an integrated supply position in West Bengal and across Easternweb India.
Cals has plans to set up a 4.8 mmtpa refinery involving the relocation of an existing refinery from Germany to Haldia.