Manabendra Guha Roy, chief executive officer of the BSE-listed company, on Wednesday signed a memorandum of understanding with West Bengal Industrial Development Corp managing director MV Rao and the Haldia Development Authoritys CEO, Parwez Ahmed Siddiqui.
In the first two phases, Cals is to invest Rs 8,000 crore in two refineries at Haldia, each of 5 million tonne, requiring a total of around 1000 acres.
These will be standard refineries, produce various grades of petrol, diesel, naphtha and LPG, Guha Roy said. They will also supply naphtha to Haldia Petrochemicals Ltd.
We are in talks with various companies for export of the petrol and diesel, Guha Roy told FE.
Cals is also trying to rope in BP as an equity partner, Guha Roy said. The Nayachar refinery would come up in the third phase, at a cost of Rs 12,000 crore. Guha Roy said this would use new technology to maximize feedstock for downstream petrochemicals industries.
Chief Minister Buddhadeb Bhattacharjee, commerce & industries minister Nirupam Sen and HDA Chairman Lakshman Seth were present at the signing of the MoU.
Sen noted that Indian Oil Corp would be increasing the capacity of its refineries at Haldia to 12.5 million tonne over the next two years, and the MoU signed today is an important milestone towards the proposed PCPIR or Petroleum, Chemical, Petrochemicals Investment Region (PCPIR).
Hailing the Cals project as being 'important' for the state, the Chief Minister said it would create about 8,000 jobs, mainly in downstream projects, on completion.