Prime Ministers of India and Nepal Launch Petroleum Products Pipeline

The Prime Minister of India, Shri Narendra Modi, and Prime Minister of Nepal, Shri K.P. Sharma Oli, launched the ground-breaking ceremony of India-Nepal petroleum products pipeline from Motihari to Amlekhgunj through live-streaming at Hyderabad House in New Delhi on April 7, 2018.

Indian Oil Corporation (IOC) supplies the complete requirements of major petroleum products of Nepal from its Barauni Refinery and Raxaul depot in Bihar to Amlekhganj depot of Nepal Oil Corporation Ltd. (NOC), the national oil company of Nepal. The supply of petroleum products like motor spirit, superior kerosene oil, high speed diesel, LPG and aviation turbine fuel by road is often affected by blockades at the Indo-Nepal border. The Motihari-Amlekhgunj pipeline project was planned to replace this road transportation arrangement and will ensure uninterrupted supplies and decongestion of road traffic at the border, as well as decongestion of Raxaul depot of IOC.

The Government of India and the Government of Nepal through their respective national oil companies signed a Memorandum of Understanding in August 2015 for the first international cross-country pipeline project of India.

Rs. 324-crore investment

The Motihari-Amlekhgunj Pipeline project was approved by IOC at a total cost of Rs. 324-crore in September 2015. The 69-km-long project involves laying of a 10.75-inch diameter cross-country pipeline, with pumping facilities at Motihari. Out of the total length, 32.7-km of pipeline will be laid in Indian territory, and 36.2-km in Nepal. The design throughput capacity of the pipeline is 2.0-mtpa. The schedule of completion of the project is 30 months from the date of receipt of statutory clearances and the work is likely to be completed by March 2019. As part of the project, Amlekhganj terminal will also be revamped.