Numaligarh Refinery Expansion Project Set for Completion by 2027

The Numaligarh Refinery Ltd. is set to complete its expansion project and a crucial crude oil pipeline by March 31, 2027. With over 1,590 km of the pipeline already laid, the refinery is enhancing its production capabilities. Chairman Ranjit Rath highlighted the increased domestic crude supply from Oil India Limited, which will reduce reliance on imports. The refinery is also exploring new POL terminals and responding to rising demand in the Northeast. As of now, the expansion project has achieved 87.1% progress, with a strong financial performance reported for the last fiscal year.

By Narendra Chaudhary Sep 12, 2026, 09:35 IST

Expansion and Pipeline Progress

A file image of Numaligarh Refinery Ltd. (Photo:X)

Guwahati, Sept 12: The expansion initiative at Numaligarh Refinery Ltd. (NRL), along with the construction of a 1,635-km crude oil pipeline, is anticipated to be operational by March 31, 2027.

During a press conference following the annual general meeting, NRL chairman Ranjit Rath announced that the primary units of the expansion are currently in the commissioning phase.

“Of the 1,635 km pipeline stretching from Paradip to Numaligarh, over 1,590 km has been completed, with only a few segments remaining. We are optimistic about completing both the project and the pipeline by the target date,” Rath stated.

He added that as the project progresses, Oil India Limited (OIL) has increased its production, which will be utilized for the refinery's commissioning.

“NRL has benefited from the domestic crude supplied by OIL. We are now positioned to handle 86,000 barrels per day, with OIL's output projected at around 4 million metric tonnes. This additional crude will significantly support NRL's expansion, reducing reliance on imported crude,” he explained.

Rath mentioned that NRL is conducting studies to assess the logistics of transporting petroleum, oil, and lubricants (POL) following the expansion's completion.

“I am pleased to report that we have successfully upgraded the Siliguri product pipeline to a capacity of 5.5 million metric tonnes per annum. We are also exploring the establishment of three new POL terminals,” he noted.

He highlighted a growing demand in the Northeast as a positive indicator for the market.

“We anticipate that reaching 9 million metric tonnes will enable us to serve the eastern region effectively. Once we stabilize this, we will consider expanding into international markets,” Rath added.

As of March 31 this year, the expansion project, valued at Rs 33,400 crore, had achieved 87.1% of its physical progress.

Regarding the biorefinery inaugurated by the Prime Minister last year, Rath stated that it is currently in the stabilization phase.

“This unique project utilizes bamboo as feedstock for 2G ethanol. After commissioning, we need to stabilize the process before we can begin commercial production. This technology is being implemented for the first time globally, and we are navigating various challenges during the stabilization phase,” he remarked.

He also assured that the ongoing situation in the Middle East has not affected NRL's operations, which recorded an impressive operational efficiency of 99.1% in the previous fiscal year.

“Our operations continued smoothly, as evidenced by our physical and financial results. We also maintained our diesel exports to Bangladesh through the Indo-Bangladesh friendship pipeline,” he stated.

In the financial year 2025-26, NRL processed 3,113 TMT of crude oil, achieving a remarkable performance at 103% of its rated capacity.

The standalone profit before tax for the financial year was Rs 4,077 crore, with a profit after tax of Rs 3,057 crore. The company's net worth reached Rs 18,912 crore, marking a growth of 17.69%.