Cals Refinary to Import Second Hand Machinary for it's Haldia Project
It may be mentioned that the Rs.1,425-crore foreign direct investment (FDI) proposal of the BSE-listed Cals Refinery has been recommended by the Foreign Investment Promotion Board to the Cabinet Committee of Economic Affairs for its consideration. The company had proposed the FDI for import of second-hand machinery for its Haldia refinery which has a capacity of 2 lakh barrels daily. The company had announced in March 2008 its intent to invest Rs.20,000 crore for the refinery project and also at the proposed Petroleum, Chemicals and Petrochemicals Investment Region project at West Bengal Nayachar. The product profile included naphtha, besides various grades of petrol, diesel and LPG. The project required 8,000 acres and as per its original schedule, it was to get completed in two phases beginning 2010, with refineries getting imported and transplanted at the project site.
It had also got the environmental clearance from the Union Environment and Forest Clearance Ministry in May 2009. It already has on hand an in-principle sanction from the West Bengal State Electricity Distribution Company. However, the meltdown and court cases with at least one of its equipment suppliers started dogging the project although it had achieved quite a few of its milestones like awarding an letter of intent to Saipem SpA of Italy for a detailed feasibility report in April 2011 and signing up with a Kuwaiti group for equity investment
