Indian Oil Corp Plans Diesel Unit Overhaul for Sustainable Aviation Fuel Production
Key Ideas
- Indian Oil Corp is planning to upgrade its diesel desulphuriser unit at the Panipat refinery to produce sustainable aviation fuel (SAF) next year.
- The refinery will process used cooking oil (UCO) to generate 30,000 metric tons per year of SAF, contributing to India's goal of having 1% SAF in aviation fuel by 2027.
- Indian Oil Corp is also investing in green hydrogen facilities, with a 70,000 tons-per-year plant in the pipeline and a 10,000 tons-per-year plant already awarded to Larsen and Toubro.
- India aims for refiners to fulfill half of their hydrogen demand with green hydrogen by 2030, indicating a shift towards sustainable energy practices in the country.
Indian Oil Corp is set to close its 300,000 barrels-per-day diesel desulphuriser unit at the Panipat refinery in India for an upgrade focused on producing sustainable aviation fuel (SAF) starting next year. Arvind Kumar, the head of refineries at Indian Oil Corp, announced the plan during an industry event in New Delhi. The refurbishment of the diesel unit is scheduled for late this year or early next year. India has ambitious targets, aiming to incorporate 1% SAF in aviation fuel by 2027 and then double it to 2% by 2028. Despite the unit's shutdown, the refinery's diesel production will not be impacted as it has supplementary diesel hydrotreaters at the Panipat site. The revamped unit will utilize used cooking oil (UCO) to manufacture 30,000 metric tons per year of SAF. Indian Oil Corp, the leading refiner in India, also plans to upgrade some kerosene-producing units in other refineries to produce SAF. Additionally, the company is initiating projects for a 70,000 tons-per-year green hydrogen plant and a sustainable aviation fuel project. A bid has already been awarded to construct a 10,000 tons-per-year green hydrogen facility at the Panipat refinery to Larsen and Toubro, which will run the plant and supply green hydrogen to Indian Oil Corp at 397 Indian rupees ($4.64) per kilogram. India has outlined an objective for refiners to satisfy 50% of their hydrogen demand with green hydrogen by 2030, demonstrating a significant move towards sustainable energy practices in the nation.
Topics
Green Hydrogen
Aviation
Aviation Industry
Energy Transition
Sustainable Fuel
Oil Industry
Refinery Upgrade
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