An executive from Chennai Petroleum Corporation Ltd. (CPCL) stated on Thursday that the company plans to increase the capacity of its refinery and launch a fuel retail business. As part of its growth strategy, the capacity of its refinery in Manali, southern India, will be expanded from 210,000 barrels per day to 280,000 barrels per day.

Chennai Petroleum Corporation is a subsidiary of the Indian state-owned company Indian Oil Corporation. Managing Director H Shankar noted that according to the new development plan, the Chennai-based company will enter the retail sector by mid-2028, setting up 300 fuel stations. He stated, "CPCL 2.0 will be different from what industry insiders perceive as a standalone refinery."

The feasibility study report for the refinery expansion project is expected to be completed by October 2026, at which point the specific costs and configuration of the new units will be clarified. Additionally, Chennai Petroleum Corporation is also finalizing the plan for another 180,000 barrels per day refinery and related petrochemical units it plans to build in Nagapattinam, Tamil Nadu.

Currently, the vast majority of the transportation fuels produced by the company are sold to its parent company, Indian Oil Corporation. This capacity expansion and retail network development plan signifies that Chennai Petroleum Corporation is seeking to broaden its business scope and build a more complete downstream industry chain.