Oil India Shares Gain as Numaligarh–Siliguri Pipeline Project Completes | Stock Market Today

Market Performance

Oil India shares opened higher on October 14, buoyed by the completion of the Numaligarh–Siliguri Product Pipeline project and a long-term agreement with NEEPCO. Investors are watching the stock as the company strengthens its midstream infrastructure and expands energy supply capabilities.

Main News: Pipeline Upgrade and Gas Supply Deal

Oil India has successfully upgraded the Numaligarh–Siliguri Product Pipeline (NSPL), boosting its transport capacity from 1.77 Million Metric Tonnes Per Annum (MMTPA) to 5.5 MMTPA. This expansion significantly enhances the company’s ability to handle increased product flows from the Numaligarh refinery.

The pipeline enhancement aligns with the ongoing Numaligarh Refinery Expansion Project, which will see refinery capacity rise from 3.0 MMTPA to 9.0 MMTPA, strengthening the company’s overall operational capabilities.

In addition, Oil India signed a long-term firm North Eastern Electric Power Corporation (NEEPCO). The deal ensures the supply of 1.4 MMSCMD of natural gas to NEEPCO’s Assam Gas Based Power Station (AGBPS) at Bokuloni, Dibrugarh for the next 15 years, guaranteeing sustained energy delivery to the region.

Company Initiatives and Strategic Moves

• LNG and Clean Energy Focus: Last week, Oil India entered an MoU with Mahanagar Gas to explore opportunities across the LNG value chain and emerging clean energy areas.
• Partnerships for Gas Expansion: In September, the company signed an MoU with GAIL (India) to strengthen cooperation in the natural gas value chain and expand access to cleaner energy nationwide.
• Exploration Success: Oil India announced natural gas discovery in its 2nd exploratory well, Vijayapuram-2, located in the Offshore Andaman Block AN-OSHP-2018/1 under the Open Acreage Licensing Policy (OALP).

Summary

Oil India’s recent projects mark a significant step in midstream and upstream infrastructure development. The upgraded Numaligarh–Siliguri pipeline enhances transportation capacity, while the long-term gas supply deal ensures reliable energy delivery for 15 years. Alongside strategic MoUs in LNG and clean energy, and new exploratory discoveries, Oil India is positioning itself as a key player in India’s expanding energy sector.

• NSPL pipeline capacity upgraded from 1.77 MMTPA to 5.5 MMTPA
• Numaligarh refinery expansion to 9.0 MMTPA
• Long-term gas supply of 1.4 MMSCMD to NEEPCO for 15 years
• MoUs with Mahanagar Gas and GAIL for clean energy initiatives
• Natural gas discovery at Vijayapuram-2 offshore well