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NRL to set up sustainable aviation fuel plant in Odisha

Guwahati: Oil India Limited’s subsidiary, Numaligarh Refinery Limited (NRL), is planning to establish a sustainable aviation fuel (SAF) plant in Odisha as part of its net zero strategy. Chairman of NRL and Chairman and Managing Director of Oil India Limited, Ranjit Rath, shared the plans during a media interaction on Monday in Guwahati, reports The Economic Times.

The upcoming plant is expected to produce 200 kilo-tonnes per annum (KTPA) of SAF. Rath said that this initiative is part of a dual strategy aimed at achieving net zero emissions by 2040 while also focusing on value-added business opportunities. He noted that with the aviation sector witnessing around 7% annual growth, the demand for sustainable aviation fuel is rising steadily.

A detailed project report (DPR) is currently being prepared for the proposed plant. Given its planned coastal location, there could be potential for exports in the future, although the primary focus remains on meeting domestic demand, Rath clarified.

NRL Managing Director B. J. Phukan also highlighted another sustainable initiative under development. He said that activated carbon, a substance in high demand in the cosmetic and personal care industries, is planned to be produced from bamboo dust at the upcoming bio-refinery in Assam. The company is working with the Indian Institute of Technology (IIT) Guwahati to support this effort through biolyser technology.

In another major infrastructure push, NRL is increasing its crude oil refining capacity from 3 million metric tonnes per annum (MMTPA) to 9 MMTPA. This expansion includes the construction of a 1,635-kilometre crude oil pipeline from Paradip Port in Odisha to Numaligarh in Assam.

Meanwhile, Assam Bio Ethanol Private Limited, where NRL holds a majority stake, is expected to begin commercial production by mid-2025. This venture is part of NRL’s broader push into biofuel production and sustainable energy solutions.

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