Bharat Oman Refineries to go ahead with IPO plans

Bharat Oman Refineries to go ahead with IPO plans


Mumbai: Bharat Oman Refineries Ltd (BORL), a joint venture between Bharat Petroleum Corporation and Oman Oil Company Ltd, is ready to announce its proposed IPO plan, a top company official said here.

BORL is implementing a six-million tonnes per annum (mtpa) greenfield refinery at Bina, Madhya Pradesh.

“The company is preparing for its IPO, but it’s not immediate. We are yet to get our final clearance from the Securities and Exchange Board of India (SEBI). We are meeting some queries from Sebi," Bharat Petroleum’s chairman and managing director, Ashok Sinha, told reporters here.

“We are not in a hurry to float our IPO. We will take it as and when we feel comfortable," Sinha said. BPCL’s Bina refinery will be commissioned by December 2009 to help the company meet its requirements in central and northern India.

The company has spent 9,275-crore for the Bina project, completing 75% of the construction. The estimated capital outlay for the project is 0,378 crore. The project is proposed to be financed at a debt-equity mix of 1.6:1.

Both BPCL and Oman Oil Company Limited (OOCL) have contributed Rs75.5 crore each towards the equity share capital of the company.