CPCL-IOCL sign JV agreement for 9 MMPTA refinery project at Nagapattinam, Tamil Nadu

Chennai Petroleum Corporation (CPCL), Indian Oil Corporation Limited (IOCL) and seed equity partners have signed a Joint Venture Agreement for thé upcoming grass root 9 MMTPA Refinery and Petrochemicals Project at Nagapattinam in Tamilnadu, informed on Friday.

IndianOil and CPCL will together hold 50% of Equity Stake (25% each) in the Joint Venture Company (JVC) and the balance 50% stake would be held by Financial/Strategic Investors, to be identified at a later stage.

Pending onboarding of the Financial/Strategic investor, the JVC is being incorporated with the two promoters, IndianOil and CPCL, the company said.

The Rs31,580 crore refinery complex will cater to the petroleum products demand of the Southern region of India and provide impetus for economic development of the region.

The project would resuit in substantial socio-economic benefit to the country in general, and more specifically to the State of Tamilnadu.

At around 11:28 AM, Chennai Petroleum Corporation Ltd is currently trading at Rs202.10 per share up by Rs2.6 or 1.3% from its previous closing of Rs199.50 per share on the BSE.

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