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RIL plans huge capex; 2,000 retail outlets
April 29, 2004 19:56 IST
Reliance Industries Ltd on Thursday announced capital expenditure plans of Rs 35,000 crore (Rs 350 billion) spread over the next five years in oil exploration, retail and petrochemicals and said it would put in place 2,000 retail outlets across the country by the end of the current fiscal.
"We would invest about Rs 35,000 crore in exploration, gas, retail and expansion of petrochemical plants by 2009," Anil Ambani, vice chairman, RIL, said at the annual results press conference in Mumbai.
About Rs 4,000 crore (Rs 40 billion) would be spent on exploration, Rs 15,000 crore (Rs 150 billion) on its gas fields in Krishna Godavari basin and transportation of gas, Rs 7,000 crore (Rs 70 billion) on its retail foray in petroleum products, Rs 6,000 crore (Rs 60 billion) in expansion of petrochemical capacities and Rs 3,000 crore (Rs 30 billion) on modernisation and other capital expenditure, he said.
RIL would increase the number of its retail outlets to 2,000 by the end of the current fiscal from the present 11, he said, adding presently about 400 outlets were at various stages of completion.
"The average thruput of our outlets would be minimum two times of the current thruput of the PSU oil companies," Ambani said, adding that the company would focus mainly on the outlets on highways and the concentration would largely be in western India.
It has also built four product storage terminals at Bhopal, Chennai and Haldia while two were under construction.