Rajasthan govt to ink pact with HPCL for refinery

Rajasthan govt to ink pact with HPCL for refinery

The state government of Rajasthan will ink a fresh Memorandum of Understanding (MoU) with HPCL for the oil refinery in Barmer. The agreement will be signed by next month.

In her reply to the Finance and Appropriation Bill, 2017 in the Assembly, Chief Minister Vasundhara Raje said a lot has been talked about the refinery and the state government will ink an MoU with Hindustan Petroleum Corporation Limited (HPCL) with new terms and condition, which will be in interest of the government.

“We started reviewing the project in July 2014 and initiated renegotiation with the HPCL. Though we took time, despite increase in project cost, the expenditure on state will reduce by two-third,” the CM said.

She said further: “The interest free loan will reduce to Rs 1,123 crore per annum and the financial burden too will reduce to Rs 16,845 crore.”

Soon we will work on the details and sign MOU with HPCL, Raje said.

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