The quarter witnessed near completion of procurement activities for most equipments, tagged items and substantial part of bulk materials. Deliveries and installation of critical, long lead and heavy equipments have commenced. Focus is now on vendor expediting and follow-up to ensure compliance with quality and delivery commitments for the balance equipments.
The construction activities gained further momentum with massive resource mobilisation efforts and near peak implementation force already at the site. Over 1.3 million cubic meters of concrete has been poured so far. On the back of remarkable construction progress, 50% of structural steel fabrication, 75% of tankage fabrication and nearly 30% of pipe fabrication and installation has also been completed.
Meanwhile, the global industry fundamentals have strengthened further and promise exciting value creation opportunities for large and complex refiners. Supported by robust economic growth outlook, global demand for petroleum products is expected to grow stronger.
Slow growth in capacities due to thrust on modernisation and upgrades by existing refiners and continuing delays in new capacities are expected to keep supplies under pressure and throw open exciting trade opportunities especially for ultra clean transportation fuels.
Reflecting the skewed demand supply balance, refining margins are expected to remain firm in the foreseeable future. Complex refiners will gain further from the continuing wider light heavy differentials.
Commenting on the project progress at the maiden Annual General Meeting of the Company since the IPO, Mr Mukesh Ambani, Chairman of RPL said "We are well on our way to recreate history of successfully completing the project in a record time frame. I am pleased with the rapid progress achieved by RPL on all fronts of implementation. I would like to compliment the entire RPL team for a successful lift-off of the project. The team is fully equipped to sustain the rapid pace of construction in the coming quarters."
Reliance Petroleum Limited
marketing@alchempro.com
