New Delhi: With India’s push for biofuels and the recent launch of the Global Biofuels Alliance, state-owned Oil India is looking to invest ₹8,000 crore in 2G ethanol (second generation).

The consolidated investment would be made by Oil India along with its subsidiary Numaligarh Refinery Ltd (NRL). The latter would build the facility.

Speaking to the media, Oil India CMD Ranjit Rath said that the company is investing overall ₹25,000 crore to achieve net zero by 2040, in areas such as 2G ethanol, green hydrogen, compressed biogas (CBG) and solar energy.

“In the 2G ethanol area, we expect an investment of approx ₹8,000 crore,” he said, adding that the company has also won an order for setting up around 25 CBG plants.

Additionally, in the solar energy sector, the company would set up a 640 MW solar power plant in Assam and a 150 MW solar power plant in Himachal Pradesh.

The CMD also said that its subsidiary NRL is in the process of setting up a petrochemical plant with an investment of $5,000 ₹7,200 crore.

“We have already made a decision. A polypropylene plant with a capacity of 360 KTPA (kilotonnes per annum) is currently under construction under the NRL banner. As we speak, we are in the process of getting the environmental approvals, all the legal approvals. The property has already been identified. An investment of approx ₹₹ 7,200 crore has been allocated for this,” he said.

A company statement released on Thursday said: “OIL has set an ambitious target to become a net-zero emissions company by 2040 through a range of initiatives, including adopting cleaner energy sources, investing in renewable energy projects and their implementation.” advanced technologies for minimizing greenhouse gas emissions, for example ₹25,000 crore will be invested by 2040.”

Oil India Limited, a Maharatna fully integrated oil and gas CPSE, recorded its highest-ever gas production at 3.18 billion cubic meters in FY23, while crude oil production grew 5.5% year-on-year to 3.18 million cubic meters , tons (MMT) recorded.

In terms of financial performance, the company recorded its highest ever single profit in FY23 ₹26,810 Crore, a growth of 75.20% YoY while the consolidated net profit was also the highest ever ₹29,854 crore, with a growth of 46.66% YoY.

Rath also said the company is considering expanding its gas portfolio and expressed confidence in the new gas pricing formula based on crude oil prices.

The company increased its total operating area to 62,911 km². The statement said that Oil India made a hydrocarbon discovery in the ‘Sesabil’ area of ​​the Assam Shelf basin in the last financial year.

The Company intends to further increase its crude oil production through increased exploration and accelerated production in line with Mission 4+.

The company’s shares closed on Thursday ₹277.40 per share on the BSE, 1.59% higher than the previous close.