Indian Oil Corporation Limited (IOC), India's largest refiner, has announced two significant developments for its stakeholders. The company has scheduled an Analyst or Institutional Investor Meet for June 3, 2025, and released an investor handout for the event. Additionally, the company's Board of Directors is set to meet on March 16, 2021, to consider declaring a second interim dividend for the financial year 2020-21.

Key Points

Company Overview

Indian Oil Corporation Limited operates as India's largest refiner with 11 refineries and 80.8 MMTPA capacity. The company maintains the highest market share in the country with over 63,000 touchpoints and the largest pipeline infrastructure in downstream operations. IOCL has an extensive network of 40,221 retail outlets, 12,919 distributorships, and 5,935 bulk consumer pumps. As a Maharatna PSU, the government of India holds a 77% shareholding in the company.

Innovation and Expansion

IOCL has demonstrated a strong commitment to innovation, having filed 1,809 patents and being granted 129 patents. The company is actively expanding into renewable energy sectors, with 365.72 million units of power generated. Its diversification efforts include battery swapping stations, green hydrogen projects, and biofuel initiatives.

Ongoing Projects

Major ongoing projects include the Panipat Refinery expansion from 15 MMTPA to 25 MMTPA and Gujarat Refinery integration. The company has planned capital investments of approximately $3.37 billion for major projects.

Dividend Consideration

The Board of Directors of Indian Oil Corporation will convene on March 16, 2021, to deliberate on the possibility of declaring a second interim dividend for the financial year 2020-21. This move signals the company's ongoing commitment to delivering value to its shareholders.

Record Date and Trading Window Closure

IOC has set March 24, 2021, as the record date for determining shareholder eligibility for the potential dividend. In compliance with the company's insider trading code, IOC has announced the closure of the trading window for dealing in the company's securities from March 11, 2021, to March 18, 2021, for all insiders.

The announcement of a potential second interim dividend and the upcoming Analyst Meet demonstrate IOC's commitment to shareholder value and transparent communication with investors. Stakeholders are advised to monitor official communications for further updates on these developments.

Indian Oil Corporation (IOC), India's leading oil refining and marketing company, has announced an ambitious investment plan of Rs 1.66 lakh crore over the next five years. This strategic move aims to significantly expand the company's operations across various segments of the energy sector.

Refining Capacity Expansion

IOC plans to increase its crude oil refining capacity from the current 80.75 million tonnes per annum to 98.4 million tonnes by 2028. This expansion will be achieved through upgrades at key facilities:

• Panipat refinery
• Gujarat refinery
• Barauni refinery

Pipeline Network Enhancement

The company is set to expand its pipeline network to 22,000 km, with 21 projects currently under execution. These projects include:

• Pipeline extensions
• New storage facilities in Nepal

Petrochemicals Growth

IOC has set an ambitious target for its petrochemicals business:

• Current capacity: 4.3 million tonnes per annum
• Target capacity: Over 13 million tonnes by 2030

The focus will be on specialty chemicals, indicating a move towards higher-value products.

Retail Network Expansion

IOC plans to enhance its extensive retail network of over 40,000 fuel stations by adding:

• EV chargers
• Battery-swapping stations
• CNG/LNG dispensing outlets

This expansion aims to cater to the evolving needs of its massive customer base, which currently stands at 3.2 crore daily customers.

Energy Transition Initiatives

In a separate but related development, IOC is investing Rs 2.5 lakh crore in energy transition initiatives to achieve net-zero operational emissions by 2046. This investment includes:

• Green hydrogen production
• Expansion of renewable electricity portfolio from 1 GW to 18 GW within three years

Company Performance

IOC has demonstrated strong performance, with sales volumes crossing the 100 million tonne mark. The company's vast network of over 40,000 fuel stations serves 3.2 crore customers daily, underlining its significant market presence.

This comprehensive investment plan showcases IOC's commitment to strengthening its core business while also adapting to the changing energy landscape. The focus on renewable energy and green initiatives alongside traditional fuel business expansion indicates a balanced approach towards future growth and sustainability.