GP Petroleums Bags ₹223 Crore Bulk Bitumen Deal with HPCL

30 Nov 2024 , 07:41 PM

GP Petroleums Ltd, on November 29, 2024, declared that it has entered a supply agreement with Hindustan Petroleum Corporation Ltd, an enterprise of the Government of India. The deal, worth around ₹223 crore, is for the supply of Bulk Bitumen – VG30, a critical material in road construction and infrastructure projects.

As part of the contract, GP Petroleums will supply approximately 50,000 metric tons of VG30-grade bitumen to different locations as approved by HPCL. The Bitumen so supplied will be in accordance with the specifications of IS 73-2013, thus meeting quality standards in the industry.

The contract has been entered upon an arm’s length basis and is not with a related party, thus indicative of fair and independent commercial consideration. The contract tenure would be for one year only, and HPCL had the option to exercise renewal for another year depending upon its performance and mutual acceptance.

Bitumen is one of GP Petroleums’ major products, catering well to its focus areas- supporting India’s infrastructure development requirements.
This deal focuses more on GP Petroleums being the reliable supplier in the market for bitumen, building up its business ties with HPCL.