State-run Oil and Natural Gas Corporation (ONGC) along with Shell India, reportedly is in talks to pick up a strategic stake in the Nagarjuna Oil Corporation’s (NOCL) Cuddalore refinery. However, even Indian Oil Corporation (IOC) is in the fray to acquire strategic stake in the refinery, while Hindustan Petroleum Corporation (HPCL) and Bharat Petroleum Corporation (BPCL), have already pulled out from race.
NOCL's Cuddalore project's total cost is around Rs 25,000 crore, of which the company has already spent Rs 6,000 crore. For the remaining amount, the company is looking at investors. The proposed investment is to facilitate work at the site and to expand the refinery to 12 million tonnes from the current six million tonnes.