The Oil Marketing Companies (OMCs) - Bharat Petroleum Corporation (BPCL), Indian Oil Corporation (IOCL) and Hindustan Petroleum Corporation (HPCL) have entered into a long-term purchase agreement (LTPA) for upcoming dedicated ethanol plants across India. State Bank of India, Indian Overseas Bank and Indian Bank are three banks who are involved in this tripartite agreement with OMCs and project proponents.
The agreement is designed to ensure that payment received by Ethanol plants is utilized for servicing the finance extended by these Banks. As per the agreement, ethanol produced by these dedicated ethanol plants shall be sold to OMCs for blending with Petrol as per Govt of India’s Ethanol Blended Petrol (EBP) Program.
BPCL is into exploration, production and retailing of petroleum and petrol related products. The retail business unit of BPCL is into marketing of petrol, diesel and kerosene.
