Hindustan Petroleum Corporation Ltd (HPCL) will commission the country’s newest oil refinery at Barmer in Rajasthan by January next year that will help meet rising fuel demand in the north India, a senior company executive said.

“The 9 million tonnes a year refinery is 76 per cent mechanically complete and will be completed by year end or so. First product from the refinery will flow in December or January next year,” HPCL director for refineries S Bharathan said on the sidelines of India Energy Week.

The project is part of India’s target of having an installed capacity to turn 450 million tonnes of crude oil into fuels such as petrol and diesel to meet the energy needs of the world’s fastest growing major economy.

He said the Barmer refinery will operate at 75 per cent to 80 per cent of the capacity in the first year as various units get commissioned. “The full capacity will be reached by 2027.” HPCL currently operates two refineries at Mumbai and Vizag in Andhra Pradesh. It also has a joint venture refinery at Bhatinda in Punjab.

The Vizag facility has just been expanded to 15 million tonnes from 8.33 million tonnes previously.