New Delhi: Bharat Petroleum Corporation Limited (BPCL) has approved the incorporation of a wholly-owned subsidiary to develop its proposed greenfield refinery and petrochemical complex at Ramayapatnam in Andhra Pradesh.

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The BPCL Board of Directors approved the formation of the new subsidiary in India, according to regulatory filings submitted to the BSE and the National Stock Exchange of India on Friday.

The proposed subsidiary will serve as a dedicated project company for the refinery and petrochemical complex, including associated facilities. It will have an initial authorised share capital of up to Rs 4,900 crore.

The separate corporate entity is expected to provide a dedicated legal and governance framework for executing the project. It will also facilitate due diligence, engagement with lenders and potential partners, and the development of an appropriate financing and partnership structure.

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However, the detailed feasibility reports for the Ramayapatnam project are still being finalised. BPCL said formal investment decisions and financial commitments would be considered separately by the competent authorities at an appropriate stage.

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