The Union Cabinet has approved a revised project cost of ₹79,459 crore for the HPCL Rajasthan Refinery Limited (HRRL) project, paving the way for the accelerated execution of one of India’s largest integrated refinery and petrochemical complexes.
The refinery, being developed in the Barmer district of Rajasthan, is a joint venture between Hindustan Petroleum Corporation Limited and the Government of Rajasthan. The project is designed with a capacity of 9 million metric tonnes per annum (MMTPA) and includes a petrochemical complex aimed at producing value-added downstream products.
The revision in project cost reflects updated capital expenditure requirements, inflationary pressures, and expanded project scope, including integration of advanced refining and petrochemical units. The project has already witnessed significant progress in construction, with multiple process units under development.
Once operational, the refinery is expected to play a critical role in enhancing domestic refining capacity, reducing dependency on fuel imports, and strengthening India’s energy security. It will also contribute to the growth of the petrochemical sector, supporting industries such as plastics, textiles, and chemicals.
The project is anticipated to generate substantial employment opportunities during both construction and operational phases, while also driving ancillary industrial development in the region. Its strategic location in western India will improve fuel supply logistics across northern and western markets.
With the revised cost approval, the HPCL Rajasthan Refinery project is set to move forward at an accelerated pace, reinforcing India’s broader vision of expanding refining and petrochemical infrastructure to meet rising energy and industrial demand.
