Oil India expects Paradip-Numaligarh pipeline by Oct-Nov, expanded Numaligarh refinery by early 2027
New Delhi, July 2
The 1,635-1,640-km Paradip-Numaligarh crude oil pipeline is likely to be commissioned by October-November this year, while the expanded Numaligarh Refinery, whose capacity is being increased from 3 million tonnes per annum to 9 MTPA, is expected to be commissioned in early 2027, Ranjit Rath, Chairman and Managing Director, Oil India Ltd, told.
"The pre-commissioning activity is already underway. We took crude into the system on December 31, 2025, and we foresee that the entire refinery will be commissioned early 2027. The 1,635-1,640-km Paradip-Numaligarh pipeline is likely to be commissioned by October-November this year," Rath said on the sidelines of a CII event on compressed biogas (CBG).
The refinery expansion will increase Numaligarh Refinery's capacity from 3 MTPA to 9 MTPA, said Rath, who is also the Chairman, CII National Hydrocarbon Committee. He said the pipeline will transport imported crude oil from Indian Oil Corporation Ltd's (IOCL) offshore oil terminal at Paradip to the expanded refinery.
"About 5.5 million to 6 million metric tonnes of crude oil will be imported through IOCL's offshore oil terminal at Paradip and pumped through this pipeline," he said.
On Oil India's upstream operations, Rath said the company is continuing to expand exploration and production activities to enhance domestic hydrocarbon output.
"We have three offshore drilling activities going on, including in Andaman and Nicobar, the Kerala-Konkan basin and the KG Basin. This year, we plan to undertake about 100 exploratory, appraisal and development wells," he said.
Responding to a question on declining global crude oil prices, Rath said Oil India, as an upstream producer, remains focused on increasing production and accelerating exploration.
Speaking separately to ANI, Rath said compressed biogas (CBG) can strengthen India's energy security and support the country's gas-based economy.
"We strongly believe compressed biogas is one of the renewable sources that can supplement the gas-based economy. We intend to undertake CBG plants across the country," he said.
Rath said India has a target of producing 15 million metric tonnes of compressed biogas, supported by policy engagement between the Centre and states.
"India has multiple feedstocks because of its geographic diversity. Municipal solid waste and agricultural residue can support the growth of the CBG ecosystem, and states are expected to develop their own CBG policies," he said.
Asked about the biggest challenge in implementing the CBG ecosystem, Rath replied, "Actually, we need to do it. It's execution."
— ANI
Reader Comments
Good to see Oil India is not just focusing on traditional oil but also on compressed biogas (CBG). Municipal waste to energy is exactly what India needs - we generate so much waste in cities, converting it to CBG can solve two problems at once. The 'execution' challenge Rath mentioned is real though - many such projects get stuck in red tape.
Great news for Assam and the Northeast! The pipeline will connect Paradip port to Numaligarh, meaning cheaper crude import logistics. But I hope they also focus on environmental safeguards during construction - the biodiversity in that region is incredible. 100 exploration wells planned this year is quite ambitious too!
Interesting timeline - pipeline by Oct-Nov this year, refinery by early 2027. That's a solid two-year gap where crude can flow through but refining capacity won't be ready? Seems like a logistics challenge. But overall, domestic refining expansion is crucial for energy security. The CBG target of 15 million tonnes is also very ambitious.
As someone from Assam, I'm happy to see this development. Numaligarh refinery expansion will create jobs and boost the local economy. CBG from agricultural waste is also a smart move - we have so much paddy straw and other biomass in the region. Just hope the state government coordinates well with Oil India on the CBG policies. 👌
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