The Board of Bharat Petroleum Corporation Limited (BPCL) at its meeting held on 31st January, 2022 has approved a proposal for evaluating the option of putting up a polypropylene unit at Kochi Refinery and to discontinue the polyols project.

The polyols project at Kochi Refinery was approved by the Board in September 2018. The project was developed further by carrying out activities such as award for licensing of technology and related activities to licensors and appointing Project Management Consultant.

During the development of the project, cost estimates with an accuracy level of +/- 10% were prepared based on front end engineering design of the facilities. However, the revised cost estimates are much higher than the original estimate mainly on account of increase in equipment and material cost.

As this has adversely affected the project economics, the Board has approved the proposal to discontinue the polyols project.