CPCL and IOC Restructure ₹45,000 Crore Cauvery Basin Refinery and Petrochemicals Project at Nagapattinam With Petrochemical-First Approach and Revised Stake Structure
Chennai Petroleum Corporation Limited (CPCL) has revised its ₹45,000 crore Cauvery Basin Refinery and Petrochemicals project in Nagapattinam, Tamil Nadu, shifting its focus from a refinery-cum-petrochemical complex to a petrochemicals-led configuration.
The restructuring follows a reassessment of project returns by CPCL and Indian Oil Corporation (IOC), with petrochemicals expected to offer higher profitability due to stronger value addition and rising domestic demand for polymers and specialty chemicals.
The ownership model has also changed: IOC will now hold 75% of the project while CPCL retains 25%, eliminating the earlier plan to bring in external investors.
The project remains under development and requires further approvals before execution, with no revised commissioning timeline announced. The site benefits from coastal access and proximity to port infrastructure in the Cauvery Basin region.