Public Sector Unit News

HPCL Finds Leak Trigger for Refinery Fire, Sets Timeline for Operations Restart

Restoration work is anticipated to be finished within three to four weeks at the joint venture refinery in Rajasthan, which is owned by Hindustan Petroleum Corporation Limited (HPCL). The fire was caused by a pressure gauge leak, according to HPCL. In the second part of May 2026, the business plans to resume the crude distillation unit (CDU).

The incident took place at HPCL Rajasthan Refinery Limited (HRRL) on April 20, one day prior to Prime Minister Narendra Modi’s planned inauguration. Six exchangers and associated equipment were affected by the fire, which was contained to the heat exchanger stack within the crude distillation unit.

Hydrocarbon seepage from a pressure gauge tapping point on the vacuum residue exchanger inlet line was most likely the cause of the fire, as stated in HPCL’s stock exchange filing. Other units at the refinery are still well along in the commissioning process and are going according to schedule.

In May, we anticipate starting trial production of essential fuels including LPG, petrol, diesel and naphtha. After that, we will stabilise the output and commission the facility fully. An updated date for the refinery’s opening has not been published yet.

Former MRPL Managing Director M. Venkatesh is heading a separate investigation into the event that the Ministry of Petroleum and Natural Gas has initiated.

Located in the Balotra area of Rajasthan, the ₹79,450-crore refinery-cum-petrochemical complex is planned as a 9 million tonnes per annum plant with an emphasis on petrochemicals. Ranked among India’s most cutting-edge refining assets, the plant has a Nelson Complexity Index of 17 with petrochemical yields crossing 26%.

The refinery, which is a joint venture between the Rajasthan government (26%) and HPCL (74%), would help India meet its goals of increasing value-added manufacturing and decreasing reliance on imports by increasing local production of fuels and petrochemicals like polypropylene, polyethylene, benzene, and butadiene.

Image Credit: MSN.com

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