OIL PROJECTS COMMISSIONED IN INDIA

1. Mathura Tundla Pipeline: The 1.2. MMTPA capacity, 16 diameter, 56 km long pipeline was completed during Feb03 at a cost of Rs.45 crore for supplying product in environmentally sensitive Taj trapezium zone.

2. Replacement of Barauni Patna Section of BKPL: Laying of 1.7 MMTPA capacity, 20 diameter, 110 km long pipeline was completed during March 03 at a cost of Rs.85.50 crore as a replacement of corrosion prone old Barauni Patna Section of BKPL.

3. Koyali-Navagam Pipeline: The 1.8 MMTPA capacity, 14 diameter, 78 km long Koyali Navagam pipeline was commissioned in March 03 at a cost of Rs. 19.5 crore. Originally a part of Kalol Navagam Koyali crude oil pipeline, taken on lease from ONGCL and refurbished for use as a product pipeline.

4. Viramgam-Koyali Crude Oil Pipeline: The 12 MMTPA capacity, 28 diameter, 148 Km long pipeline was completed in August 03 at a cost of Rs. 134.00 crore to fulfill enhanced crude oil demand of Koyali Refinery.

5. Koyali Viramgam Sidhpur Product Pipeline: The 4.1 MMTPA capacity, 18 diameter, 245 km long pipeline was commissioned in Oct03 at a cost of Rs. 62.50 crore. (103 km was laid new, whereas balance is an old crude oil pipeline converted for use in product service).

6. Kurukshetra Roorkee Najibabad Product Pipeline: The 0.9 MMTPA capacity, 10 diameter, 107 km long pipeline was completed during Dec03 at a cost of Rs.43.50 crore to supply product to areas in Western U.P.and Uttaranchal.

7. PanipatRewari Product Pipeline: The 1.6 MMTPA capacity, 12 diameter, 155 km long product pipeline from Panipat to Rewari was completed in Sep04 at a cost of Rs. 66 crore as a part of Rs 734 crore Panipat Refinery Expansion linked pipelines project.

PIPELINE PROJECTS UNDER IMPLEMENTATION

As a front runner in petroleum pipeline industry, IOCL was always looking for new growth areas. In order to maintain sustained pipeline growth, many important projects were approved during the period for future implementation. It speaks volumes of the importance IOCL attaches to the growth of pipelines, which imparts, through strategic utility, a decisively competitive edge to the business conglomerate.

Mundra Kandla crude oil pipeline and conversion of Kandla Panipat section of KBPL to crude oil service: The 6 MMTPA capacity, 28 diameter, 73 km long pipeline was approved in January 2002 for implementation at a cost of Rs. 305.60 crore to transport the additional crude oil required for Panipat refinery expansion. Pipeline along with Crude oil handling facilities of M/s Gujarat Adani Port Ltd. is nearly completed.

Sidhpur Sanganer Product Pipeline: The 3.4 MMTPA capacity, 18 diameter, 506 km pipeline was approved in January 2002 for implementation at a cost of Rs. 352.49 crore. Pipeline is ready for commissioning.

Branch Pipeline to Ajmer Project of laying 8 diameter, 21 km Long Branch pipeline from Bagsuri off.

Koyali Sidhpur Sanganer Product Pipeline to Ajmer was approved in Jan03 for implementation at a cost of Rs. 20,92 crore. Mainline laying is in progress. Approved completion of the projects is in January 2005.

Chennai Trichy Madurai Product Pipeline The 1.8 MMTPA capacity, 14/12/10 diameters, 683 km long pipeline system was approved in July03 for implementation at a cost of Rs.363.21 crore. As a first step towards spreading the pipeline network in South, in synergy with CPCL refinery at Chennai, this pipeline will supply products to major consumption centers in Tamilnadu. Construction of mainline and station facilities are in full swing. Approved completion of the project is in July 2005.

Branch Pipeline to Chittaurgarh Project laying 12 diameter, 160 Kms long branch pipeline from Lasariya off Koyali Sidhpur Sanganer Product Pipeline to Chittaurgarh was approved in Dec03 for implementation at a cost of Rs. 82.58 crore to supply products to Udaipur and Kota Marketing Depot fed areas. Pre-construction activities are in progress. Approved completion of the projects in February 2006.

Koyali Dahej Product Pipeline The 2.6 MMTPA capacity, 14 diameter, 112 Km long pipeline project was approved for implementation in March04 at a cost of Rs. 90.50 crore to evacuate product from the land-locked Koyali Refinery through coastal route. Pre-construction activities are in progress. Approved completion of the projects is in March 2006.

Paradip-Haldia Crude oil Pipeline System The project of laying II MMTPA capacity, 30 diameter, 330 km long crude oil pipeline system along with construction of crude oil handling facilities and a implementation in March 2004 at a cost of Rs.1178 crore. The pipeline will lead to annual savings of approximately Rs.500 crore on crude oil transportation cost to Haldia and Barauni Refineries. Construction of mainline, tank farm and station facilities are in full swing. Approved completion of the project is in March 2006.

Additional tanks (4 x 60000 kL) construction at Mundra: Construction of 4 additional crude oil storage tanks at Mundra has been approved in June 2004 at a cost of Rs. 70.57 crore as part of crude oil blending facilities. Tank foundation works are in progress. Approved completion of the project is in December 2005.

Augmentation of Bongaigaon Siliguri Section of GSPL: Augmentation of Bongaigaon Siliguri section of GSPL to 1.4 MMGPA capacities has been approved in September 2004 at a cost of Rs. 28.61 crore. Approved completion of the project is in March 2006.

Pipelines are also constructing marketing TOPs at Trichy, Sankari, Chittaurgarh and Jasidih, linked to various pipeline. TOPs costing around Rs. 120 crore will have more than 1 lakh kL of product storage capacity.

BUSINESS DEVELOPMENT

Amidst all this, IOCL was quick to identify new areas of emerging opportunities. Efforts were made to make forays into national and inter-national arena through business development. Strategic alliances were entered into with agencies of repute for taking advantage of opportunities related to its core competencies. Despite its relative inexperience in building infrastructure for its potential in managing pipeline projects was well recognized far and wide. Some of these efforts resulted in bagging PMC contracts for other companies. Needless to say the commercially beneficial contracts for other companies. Needless to say the commercially beneficial contracts were bagged and executed on the strength of its abundant in-house talent and expertise gained over the years. Its a matter of great pride that IOCLs technical bids were rated as the best in some of the international ventures, even as opportunity to execute the work didnt due to changed geo-political reasons. Following are the details of some of the projects, which pipeline project team ventured into.

Baroda Ahmedabad Kalol Gas Pipeline of M/S Gujarat State Petronet Ltd (GSPL): IOCL put its stamp of excellence in the field of gas transportation on its debut as a 24 diameter, 133 long gas pipeline worth Rs.1987 crore was successfully commissioned in May 2004 by a consortium of IOCL, M/s Stroytransgaz (STG), Russia and M/s Essar constructions Ltd., Mumbai on turnkey basis IOCL earned close Rs.4 crore for residual engineering, vendor selection and final commissioning of the project.

Dadri Panipat R-LNG Spur line: IOCL seeks to reconfirm its abilities of fully construct and operate a R-LNG pipeline on its own by laying a 6.72 MMSCMD capacity, 30 diameter 141 km long feeder pipeline at a cost of Rs.250 crore to Panipat Refinery from a Tap Off Point through GAILs HBJ pipeline at Dadri. The proposal is under active consideration of the Board.

Raxaul Amlekhganj Product Pipeline: A 0.7 MMTPA capacity, 8 diameter and 35 km long Indo-Nepal cross border product pipeline is being laid at a cost of Rs.33 crore in order to ease congestion on the border. A MOU has been signed to this effect between IOCL and NOC, Nepal Oil Corporation on 9.9.2004. DFR for this pipeline is under preparation.

PMC services for Crude oil Pipeline from Chennai Port Trust to CPCL: IOCL is providing Project Management & Consultancy (PMC) services to M/s Chennai Petroleum Corporation Ltd. (CPCL) for its 42 diameter, 16.5 km long crude oil pipeline from Chennai Port Trust Jetty to its Manali refinery. IOCL is to get PMC charges of Rs.1.7 crore for the project costing Rs.51.5 crore.

PMC services for CPCL CBR jetty to Nagapattinam Refinery black oil pipeline: IOCL is providing PMC services to CPCL for laying an 18 diameter, 8 km long black oil pipeline from CBR jetty to CPCL. As PMC charges for the 15 crore project, IOCL will get 5.5% of actual project cost.

Bids Submission / Acceptance: As a new player, IOCL learnt valuable lessons about bidding to get jobs for pipeline laying. Its bids were accepted and considered during the job award process for many projects. Some of these bidding initiatives are as follows.

* Implementation of Mora Talasari Gas pipeline project of M/s GSPL.

* Engineering & PMC services for Mundra Delhi product pipeline of M/s HPCL.

* Implementation of Mora-Sajod Gas pipeline project of M/s GSPL.

* Engineering & PMC services for derating of HPCLs Mumbai-Pune pipeline (Trombay Vashi section) and its extension to Pakni of M/s. HPCL.

* Supply of R-LNG to Karnataka Power Corporation Ltd at Bidadi / Yelahanka.

* Supply of R-LNG to NTPC power plant at Kayamkulam (Kerala).

* Basic Engineering and Front End Design & Development for Sohar Pipeline Project of M/s. Oman Refinery Company, Oman.

* Implementation of Mina AI Fahal to Sohar crude oil pipeline of M/s. Oman Gas Company, Oman.

* Melut Basin Oil Development Project of M/s. Petrodar Operating Co.Ltd., Sudan.

* Ras Laffan-Mesaieed Sweet Gas pipeline project of M/S Qatar Petroleum, Qatar.

* Iraq Jordan Crude Oil Pipeline Project in the Hashemite, Kingdom of Jordan.

* Pre-qualification for the right to participate and lead in the development, design, acquisition, construction, installation, financing, ownership and operation of Turkme-nistan Afghanistan Pakistan Natural Gas Pipeline