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• Essar Oil will achieve the addition of nine new units that will expand capacity to 18 MMTPA (375,000 barrels per day).Essar Oil has successfully commissioned its diesel hydrotreater unit I (DHDT-1) at its Vadinar refinery. With the phase-wise commissioning of three additional units slated for the end of this month, the refinery is now firmly on track to complete the Phase I expansion by March 2012. This entails the addition of nine new units that will expand capacity to 18 MMTPA (375,000 barrels per day). The 4-million-tonne DHDT-1 at the Vadinar refinery will upgrade diesel quality by treating the sour diesel streams and achieving reduction in sulphur as well as an improvement in the cetane index. The DHDT-1 will thus ensure that the diesel produced at the refinery will be capable of meeting Euro V specifications.

• The market for low sulphur content fuel is rapidly expanding with top 20 Indian cities requiring retailing of only Euro IV compliant fuels. In the European Union, the Euro V standard has been applied since 2009.LK Gupta, MD and CEO, Essar Oil said, “We have now commissioned two key units that will help us produce gas oil (diesel) and gasoline (petrol) conforming to international standards. We are very close to realizing the scale that we had set out to achieve for the Vadinar refinery. The increased complexity that we will have post expansion will give us greater flexibility to produce higher value fuels that have a growing market both in India and overseas.”In the late afternoon, Essar Oil was trading at around Rs59 per share on the Bombay Stock Exchange, 2.16% up from the previous close.

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