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Bangladesh and India are in advanced stages of finalizing a project deal on product pipeline.
Bharat Petroleum (BPCL) is in talks with the Bangladesh government to set up around a 1.0 million tonne product pipeline to the country, according to a report by www.financialexpress.com of India.
BPCL is also mulling with an idea to set another pipeline to Myanmar to cater to the rising demand and counter the geopolitical issues created by the presence of China in the region. It has also planned expansion of the pipeline into Thailand.
High official of BPCL is hopeful the 300-km pipeline in Bangladesh will commission in next two-to-three years.
R Ramachandran, director (refineries) at BPCL further informed the the company will invest around Rs 4.00 billion for this project.
The oil refiner will sell MS-HSD (motor spirit and high speed diesel) from its Numaligarh refinery which is in process of expansion to 9 mtpa.
The expansion will further increase the avenues of growth to places like Myanmar and Thailand as well.
“There are strong possibilities that we want to explore in coming years. The issue was also discussed during the PM’s visit to Myanmar and we want to take this forward. We would further look at setting up a pipeline to Thailand as well,” Ramachandran said.
China in recent years has set up direct links with Myanmar and Thailand through petroleum pipelines.
Myanmar acts as a buffer state between India and China and provides China direct access to the Bay of Bengal, which is seen to have geopolitical repercussions for India.