Work on Rs 10,000-cr Bina refinery improves

Bina (MP), Aug 24: Work on the Rs 10,000-crore Bina Refinery has begun picking up after cessation of heavy monsoonal showers and a major part of the infrastructure is likely to be in place by November.

According to Bharat-Oman Refineries Ltd MD R P Singh, Rs 200 crore have been expended since commencement of construction work in January this year. Besides, the corporation thus far effected contracts of Rs 650 crore for construction.

''Work is going on schedule and the physical progress achieved is 2.5 per cent against the scheduled target of 1.7 per cent. If one goes by these figures, then the refinery is likely to be rendered operational by June 2009, six months before deadline. The project is fast taking shape and from April next year, the expense will be of the order of Rs 100-150 crore per month,'' he told a visiting media team accompanying Madhya Pradesh Industry Minister Babulal Gaur today.

With Oman deciding to restrict its share to Rs 75 crore, the Bharat-Oman Petroleum Company Board has ayed 50 per cent equity for BPCL, which is a major partner. The equity was earlier pegged at 26 per cent.

''Offers have been received from Brazilian and Saudi Arabian companies expressing keenness to invest in the refinery. The possibility of Oman giving its original share cannot be ruled out. A decision will be taken after an Omanese team visits the site next January. The Bharat-Oman Petroleum Company will moblise Rs 1,000 crore through equity from the market next year,'' Mr Singh added.

BPCL would contribute Rs 2,000 crore and has tied up with 14 banks for Rs 6,400 crore. A tie-up has been finalised for supply of equipment well on time and the MD denied reports of tardy progress and a wall collapse at the site. ''Not even a single brick has fallen,'' he assured. Mr Gaur inspected construction work and expressed satisfaction over the pace. He planted a sapling and said it was a matter of happiness that the refinery would bring in further development of the region.

Presently, 1,500-1,600 labourers are toiling on the project and the figure is likely to reach 3,000-4,000. By this year's end, Rs 2,000 crore worth of contracts are to be awarded.

Of the immense 3,300-acre site, the state government has provided 2,500 acres and the rest came from private owners who have been adequately compensated. Land in the vicinity of the site has become five times dearer and the price per acre is in the range of a whopping Rs 10-13 lakh.

The refinery, with a captive power plant and 200-m green belt, will have an annual capacity to process 5 lakh tonnes of crude oil and 50 per cent of the end products will be Euro 3 and Euro 4 grade petrol. Five hundred employees will be housed in a modern colony.

Madhya Pradesh's denizens will be acorded priority for employment.

UNI