Bhubaneswar, Apr 10: With an aim to turn Paradip into one of the most important hub of energy transition in the world, Odisha Government has taken a massive stride, courtesy a Memorandum of Understanding (MoU) with Indian Oil Corporation Ltd (IOCL).

With an investment of Rs 61,077 crore, IOCL will set up a world-class Petrochemical Complex at Paradip in Jagatsinghpur district of Odisha. An MoU has been signed between Odisha Government and IOCL during the recent Odisha Investors' Meet in New Delhi.

The MoU was exchanged in the presence of Odisha Chief Minister Mohan Charan Majhi, Union Petroleum Minister Hardeep Singh Puri, Union Education Minister Dharmendra Pradhan, along with other dignitaries.

This marks IndianOil’s largest-ever investment at a single location and a transformative step in India's petrochemical and industrial growth.

Project highlights

The upcoming complex will house a dual-feed cracker and associated downstream units for the production of wide range of petrochemicals including Phenol, Polypropylene (PP), Isopropyl Alcohol (IPA), High-Density Polyethylene (HDPE), Linear Low-Density Polyethylene (LLDPE), Polyvinyl Chloride (PVC), Phenol, and Butadiene.

These products will serve as key raw materials for specialty chemical sectors like pharmaceuticals, agrochemicals, coatings, and adhesives, significantly reducing import dependency and supporting the ‘Aatmanirbhar Bharat’ and ‘Make in India’ missions.

The project includes expanding Paradip refinery’s capacity from 15 to 25 million tonnes annually and establishing a naphtha cracker unit to produce petrochemicals.

The Odisha government will hold equity in the venture, earning dividends alongside tax revenues.

Termed the largest of its kind in this sector in India, the project is expected to enhance domestic polymer production, reduce import dependency, and create thousands of jobs.

Reacting to the development

CM Majhi emphasised Odisha's vision to emerge as a petrochemical and manufacturing hub. "The MoU with Indian Oil Corporation Ltd. is a landmark moment in Odisha's industrial journey,” stated the Chief Minister of Odisha.
“It reflects not just a shared vision but a strong belief in the state's potential to lead India's petrochemical revolution from the east. Paradip, with its strategic location and evolving infrastructure, is poised to become a transformative industrial hub--much like Dahej in the west... Odisha is ready, and we invite you to invest in our bright future," he added.

Appreciating the investments in the state, Majhi remarked that the partnership will catalyse Odisha’s industrial growth, generate employment, and make the state a top investment destination.

Union Petroleum Minister Puri, on his part, said: “This state-of-the-art Petrochemicals hub will catalyse the development of Paradip Petroleum, Chemicals & Petrochemicals Investment Region (PCPIR) and create direct & indirect employment opportunities in the region.”

India’s robust energy entities are contributing significantly towards our unprecedented efforts for achieving energy security and green energy transition under the leadership of PM Sh @narendramodi Ji.
Very happy to join my colleagues in the Council of Ministers Sh @dpradhanbjp… pic.twitter.com/ZvU30YxwWA

— Hardeep Singh Puri (@HardeepSPuri) April 8, 2025

Addressing the gathering, Union Education Minister Pradhan shared, “With petroleum sector investments of more than 2.04 lakh crore in the last decade, Odisha is on-course to become one of the most important hub of energy transition in the world.”

Grateful to my cabinet colleague Shri @HardeepSPuri, @IndianOilcl, @PetronetLNGLtd and all other investors for the massive investments as well as for the continuous efforts to catalyse the industrial landscape in Odisha. I am confident that CM Shri @MohanMOdisha led Odisha govt.… pic.twitter.com/G6MW6njS4e

— Dharmendra Pradhan (@dpradhanbjp) April 8, 2025

AS Sahney, Chairman, IndianOil (IOCL), added, “We stand today (April 8) at the cusp of a transformative chapter—not just for the state of Odisha, but for India’s petrochemical landscape.”

Odisha Investors’ Meet At A Glance

Notably, the Odisha government signed Memoranda of Understanding with at least 13 companies during the Odisha Investors' Meet in New Delhi.

The 13 new projects are expected to generate around 67,000 employment opportunities, fostering regional economic growth and boosting industrial activity. Besides, 15 investment intents were also received. The total investment offers amount to Rs 1,03,090 creating employment opportunities for 95,915 persons.

The meeting was also attended by Odisha’s Minister for Industries and Skill Development & Technical Education, Sampad Chandra Swain; Union Minister for Tribal Affairs, Jual Oram.

About IOCL

IOCL is the largest enterprise in the country and the foremost ranked Fortune Global 500 Company in India. IndianOil's business interests overlap the entire hydrocarbon value chain, including refining, pipeline, marketing of petroleum products, exploration and production of Petroleum, natural gas and petrochemicals.