By Rishi Ranjan Kala
Copyright thehindubusinessline
Andhra Pradesh Chief Minister N Chandrababu Naidu said on Tuesday that Bharat Petroleum Corporation (BPCL) will “very soon” start the work on setting up the 9 million tonnes per annum (mtpa) crude oil refinery and petrochemicals complex at Ramayapatnam (Nellore).
“They are going to invest Rs 1 lakh crore in Ramayapatnam port. They have purchased land. Procedures are going on. Very soon, they are going to start,” Naidu told businessline on the sidelines of the Curtain Raiser event for CII’s Partnership Summit.
On the participation of Saudi Arabia in the refinery and petrochemicals complex, Naidu said “They are working on it, As soon as there is progress, I will tell.”
Recently, during the BPCL’s recent annual general meeting (AGM), its CMD Sanjay Khanna said that the OMC is evaluating setting up a greenfield refinery-cum-petrochemical complex near Ramayapatnam Port in Andhra Pradesh.
“Pre-project activities are underway. This strategic investment will further expand BPCL’s petrochemical portfolio, provide a natural hedge against petroleum products in the long run, and align with India’s vision of becoming a global refining and petrochemical hub,” he added.
In January 2025, BPCL management in a results call with analysts said that it is looking for 6,000 acres land for the complex, which has been identified. BY December 2025, the OMC is hopeful to firm up the final investment numbers.
The OMC Board has already approved Rs 6,100 crore for pre-project activities, which is mainly for land acquisition. The entire project cost is expected to be around Rs 95,000-1,00,000 crore.
BPCL is looking at a 9 mt refining capacity. It is exploring a configuration of about 3-3.5 mt of petroleum products and around 4 mt petrochemicals. The refinery is likely to be commissioned in 48 months from the final investment decision (FID).
Speaking at the event, the Chief Minister emphasised that the state government will leverage Andhra Pradesh’s around 1,000 km coastline with plans to build porta at every 50 km. India’s first green hydrogen hub is also coming up at Pudimadaka, near Visakhapatnam.
“On our 1,000 km east coast, we aim to build a port every 50 km. We’re expanding airports and developing world-class logistics. Andhra Pradesh has consistently ranked No. 1 in ease of doing business, and now, we’re accelerating the speed of doing business,” he added.
Naidu highlighted the “Swarna Andhra @ 2047” vision, supported by 21 sector-specific policy documents spanning IT, food processing, clean energy, electronics manufacturing, and more. The vision is anchored in 10 guiding principles, including zero poverty, deep tech integration, water security, global logistics, and Agri-Tech empowerment.
Published on September 30, 2025
