State-run Bharat Petroleum Corporation Limited (BPCL) has approved the incorporation of a wholly-owned subsidiary to execute its massive greenfield refinery and petrochemical complex. Located near the Ramayapatnam Port in the Nellore district of Andhra Pradesh, this dedicated project company will feature an initial authorized share capital of up to Rs. 4,900 crore.

The board's approval marks a major governance step to streamline the development of the integrated hub. By establishing a separate corporate entity, BPCL establishes a dedicated legal and financial framework designed to facilitate project due diligence, coordinate directly with lenders, engage potential ecosystem partners, and structure financing models effectively.

The grand project, which is touted to be one of the last major greenfield refinery initiatives in India amid the energy transition, is estimated to require an overall investment of approximately Rs. 1.45 lakh crore.

The refinery is designed with an initial target capacity of 9 to 12 million metric tonnes per annum (MMTPA).

With 6,000 acres allocated by the Andhra Pradesh government and pre-project clearances advancing rapidly, the new subsidiary will lead downstream engineering to catalyze the region's industrial growth.