Jaipur

Sharp drop in Rajasthan’s crude output forces Pachpadra refinery to rely on imports

Rajasthan's crude output has crashed to 1.5 MMTPA, forcing the new Pachpadra refinery to import 7.5 MMTPA of crude via Mundra Port pipeline.
2 min read
Jun 30, 2026
Rajasthan crude production Heavy drop Pachpadra refinery will now run on imported crude
Pachpadra Refinery: The Pachpadra refinery. File photo: Patrika

The Rajasthan Refinery at Pachpadra, built at a cost of around ₹80,000 crore, was originally conceived around the state's own crude oil reserves. However, the picture has changed dramatically even before operations begin. When the project was first planned, Rajasthan was producing close to 9 million metric tonnes per annum (MMTPA) of crude. That figure has since fallen to roughly 1.5 MMTPA, meaning the 9 MMTPA refinery will be able to use a maximum of only 2.5 MMTPA of local crude, with the remaining 7.5 MMTPA having to be imported from Arab nations and elsewhere.

Officials say the imported crude, amounting to 7.5 MMTPA, will arrive by sea at Mundra Port in Gujarat. From there, after storage in six terminal tanks, it will be transported to the Pachpadra refinery via a roughly 485-kilometre electrically heated pipeline, which will keep the crude oil at the required temperature throughout the journey.

At the time the refinery was planned, the state was producing more than 175,000 barrels of crude oil a day, and capacity was set accordingly. During construction, however, output kept declining steadily, and production has now fallen below 50,000 barrels a day.

Given this shortfall, a subsequent memorandum of understanding capped the supply of Rajasthan crude to the refinery at a maximum of 2.5 MMTPA, with the rest of the requirement to be met through imports. The refinery, located in Balotra district and described as the country's most modern and high-tech facility of its kind, has cost ₹79,459 crore to build and is spread across 4,500 acres (7,200 bighas).

Pachpadra refinery's capacity at a glance:

  1. 9 million tonnes of annual crude refining capacity.
  2. A petrochemical complex with a capacity of 2 million tonnes.
  3. 7.5 million tonnes of crude oil to be imported from Arab nations.
  4. 1.5 million tonnes of crude to be sourced and used from within Rajasthan.

Prime Minister Narendra Modi is due to visit Rajasthan on 4th July to inaugurate the HRRL refinery at Pachpadra in Balotra district. Preparations for the ceremony are now in full swing. Chief Minister Bhajanlal Sharma reviewed arrangements on Sunday, describing the refinery as a project that will transform Rajasthan's fortunes.