Numaligarh Refinery Limited Achieves Record 3,113 TMT Crude Processing in FY 2025-26 at 103% Capacity Utilisation: Hardeep Singh Puri Hails Landmark Performance

Numaligarh Refinery Limited Sets New Benchmark with Record Crude Processing in FY 2025-26

In a significant boost to India’s energy infrastructure, Numaligarh Refinery Limited (NRL) has delivered an outstanding performance in the financial year 2025-26. The refinery processed a record 3,113 Thousand Metric Tonnes (TMT) of crude oil, operating at 103% capacity utilisation against its rated capacity of 3 Million Metric Tonnes Per Annum (MMTPA). This achievement marks the highest-ever throughput for the refinery and the second consecutive year it has operated beyond its designed capacity.

Union Minister for Petroleum and Natural Gas, Hardeep Singh Puri, took to social media to congratulate the entire team at Numaligarh Refinery Limited. In his post, the minister described the milestone as a “landmark year” and praised the operational excellence demonstrated by the refinery located in Golaghat district, Assam.

“Congratulations to the entire @NRL_MoPNG team on a landmark year. Processing 3,113 TMT of crude in FY 2025-26, at 103 per cent capacity utilisation, is the refinery’s highest-ever throughput, and for the second consecutive year, NRL has run beyond its rated 3 MMTPA capacity,” Minister Puri stated.

This remarkable feat comes at a time when India is focusing on strengthening domestic refining capabilities to reduce import dependence and enhance energy security, particularly in the strategically important Northeast region.

Operational Excellence: Beyond Rated Capacity for Two Straight Years

Numaligarh Refinery Limited was originally commissioned with a capacity of 3 MMTPA. Consistently pushing operational boundaries, the refinery has now surpassed this limit in two successive fiscal years. Operating at 103% utilisation in FY 2025-26 reflects superior maintenance practices, process optimisation, advanced technology adoption, and a highly skilled workforce committed to efficiency.

Such over-utilisation is not merely a statistical achievement. It demonstrates Numaligarh Refinery Limited‘s ability to meet surging domestic demand for petroleum products without immediate major capital additions, while the larger expansion project is underway. Reliable operations above nameplate capacity signal strong asset integrity and engineering prowess, which are critical in the capital-intensive refining sector.

Minister Puri specifically commended this consistency, noting that running above designed capacity for two consecutive years highlights “strong operational efficiency and reliability.”

Surge in LPG Production: Responding to National Needs

One of the standout highlights of the year was the sharp increase in Liquefied Petroleum Gas (LPG) production. Output ramped up by over 22% in March 2026 alone. This timely boost aligned perfectly with heightened domestic demand, helping stabilise supply across the country during a critical period.

LPG remains a vital cooking fuel for millions of Indian households, especially under the Pradhan Mantri Ujjwala Yojana, which aims to provide clean cooking fuel to rural and low-income families. The responsive production increase by Numaligarh Refinery Limited underscores its role not just as a commercial entity but as a key player in national energy welfare.

In addition to LPG, the refinery recorded its highest-ever annual production of Motor Spirit (MS) — commonly known as petrol. This further strengthens Numaligarh Refinery Limited‘s contribution to India’s transportation fuel supply chain.

Numaligarh Refinery Limited: A Strategic National Asset in Assam

Hardeep Singh Puri emphasised that Numaligarh Refinery Limited is “not just Assam’s refinery; it is a strategic national asset.” Its performance directly supports the broader vision of transforming the Northeast into an “engine of India’s energy security.”

Located in Morangi, Golaghat district, Assam, the refinery was established in line with the Assam Accord to promote industrial development in the region. Promoted by Oil India Limited (a subsidiary under the Ministry of Petroleum and Natural Gas), NRL has evolved into a Navratna PSU, reflecting its growing importance.

The refinery processes crude oil primarily sourced from regional fields in Assam and nearby areas, reducing logistics costs and enhancing self-reliance for the Northeast. By producing key fuels locally, it minimises reliance on long-distance transportation from refineries in western or southern India, thereby improving supply chain resilience against disruptions.

Contribution to Northeast India’s Energy Transformation

The success of Numaligarh Refinery Limited aligns seamlessly with the Government of India’s Hydrocarbon Vision 2030 for the North-East. This vision focuses on developing the region’s hydrocarbon potential, creating employment, and integrating the Northeast more deeply into India’s economic mainstream.

Key elements include:

Boosting exploration and production activities
Expanding refining and processing infrastructure
Developing pipeline networks for efficient product evacuation
Promoting petrochemical and gas-based industries

Numaligarh Refinery Limited plays a pivotal role in this ecosystem. Its steady performance provides a reliable base load of refined products, supporting economic activities in Assam and neighbouring states like Arunachal Pradesh, Nagaland, Manipur, Mizoram, Tripura, and Meghalaya.

The refinery also contributes significantly to local employment, skill development, and corporate social responsibility initiatives in education, healthcare, and infrastructure in surrounding areas.

Major Expansion Underway: From 3 MMTPA to 9 MMTPA

While the current 3 MMTPA refinery is already delivering record results, Numaligarh Refinery Limited is in the midst of a transformative Numaligarh Refinery Expansion Project (NREP). This brownfield expansion will increase total refining capacity to 9 MMTPA — a three-fold jump.

The project, involving substantial investment (reports indicate costs around ₹22,000–34,000 crore depending on scope and escalations), includes:

New Crude Distillation Unit (CDU) and Vacuum Distillation Unit (VDU)
Advanced secondary processing units for higher distillate yields
Petrochemical integration, including a polypropylene plant
Associated utilities, tankage, and infrastructure

Recent milestones include the commissioning of the Crude Oil Integration Facility (COIF) in December 2025, paving the way for phased commissioning of other units. The expansion is targeted for completion around December 2026.

Upon completion, product capacities are expected to see massive multiplication:

Motor Spirit: up to 5.1 times increase
High-Speed Diesel: around 2.8 times
LPG: potentially 9.3 times growth

This will not only cater to growing regional demand but also allow surplus products to be evacuated to other markets, enhancing overall national refining flexibility.

Supporting infrastructure is also being upgraded. The Numaligarh-Siliguri Product Pipeline (operated by Oil India Limited) has been augmented from 1.72 MMTPA to 5.5 MMTPA capacity. Prime Minister Narendra Modi inaugurated this expansion in March 2026, underlining the government’s commitment to Northeast infrastructure. The 654-km pipeline will efficiently transport increased volumes of refined products from Numaligarh to Siliguri and beyond.

Linking to National Energy Security Goals

India’s overall refining capacity stands among the world’s largest, currently around 258–260 MMTPA, with ambitions to reach 300+ MMTPA. Numaligarh Refinery Limited‘s performance and expansion contribute directly to this goal while addressing regional imbalances.

Key national benefits include:

Reduced Import Dependence: Higher domestic processing lowers the need for imported finished products.
Strategic Diversification: Locating capacity in the Northeast reduces vulnerability associated with concentrated refining hubs.
Energy Transition Readiness: Modern expansions incorporate efficiency improvements and scope for future integration of lower-carbon technologies.
Economic Multiplier Effect: Refining stimulates allied industries, logistics, and services.

Minister Puri attributed the progress at NRL to the visionary leadership of Prime Minister Narendra Modi, stating that developing energy infrastructure in the Northeast forms a crucial part of strengthening India’s overall energy framework.

Operational and Technical Insights

Achieving 103% utilisation requires meticulous planning. Refineries typically face constraints from equipment design limits, turnaround schedules, crude quality variations, and product demand patterns. Numaligarh Refinery Limited‘s team has evidently optimised these factors through:

Advanced process control systems
Predictive maintenance technologies
High distillate yield configurations (historical reports show distillate yields around 85–88%)
Energy efficiency measures, with Specific Energy Consumption and Energy Intensity Index tracked against targets

The refinery’s configuration includes primary and secondary processing units capable of handling Assam’s paraffinic crude, producing a slate focused on transportation fuels and LPG.

Record motor spirit production indicates strong fluid catalytic cracking or reforming capabilities, while the LPG surge points to effective gas concentration and treating units operating at high efficiency.

Broader Context: India’s Refining Sector in 2025-26

India’s refining industry has shown resilience amid global volatility in crude prices, geopolitical tensions, and shifting demand patterns post-pandemic. Public sector refiners like those under IOCL, BPCL, HPCL, and standalone entities like NRL continue to play a dominant role.

Numaligarh Refinery Limited stands out for its regional focus and rapid response to national needs, as evidenced by the March 2026 LPG ramp-up. This performance comes even as the sector navigates challenges such as fluctuating gross refining margins (GRM), transition towards BS-VI compliant fuels (already achieved), and long-term decarbonisation goals.

Impact on Local Economy and Communities

For Assam and the Northeast, Numaligarh Refinery Limited is more than an industrial facility — it is a catalyst for development. It generates direct and indirect employment, supports ancillary industries (transport, packaging, engineering services), and contributes to state revenues through taxes and royalties.

CSR activities by NRL typically focus on:

Education and skill development
Healthcare infrastructure
Rural development and water management
Environmental conservation
Promotion of local culture and sports

The ongoing expansion is expected to multiply these benefits, creating thousands of jobs during construction and permanent roles post-commissioning.

Future Outlook for Numaligarh Refinery Limited

With the expansion progressing, Numaligarh Refinery Limited is poised to become one of the largest and most modern refineries in eastern India. Integration with petrochemicals will move it up the value chain, improving profitability and resilience against fuel demand shifts.

Potential areas for further growth include:

Green hydrogen pilot projects (NRL has mentioned small-scale initiatives)
Bio-refinery or 2G ethanol integration opportunities
Enhanced digitalisation and Industry 4.0 adoption
Sustainability measures such as carbon capture readiness or renewable energy integration for refinery power needs

As India targets net-zero emissions by 2070 while ensuring energy security and affordability in the interim, efficient, modern refineries like the expanded NRL will serve as bridges towards a lower-carbon future.

Conclusion: A Proud Milestone for India’s Energy Sector

The record performance of Numaligarh Refinery Limited in FY 2025-26 — 3,113 TMT crude processed at 103% utilisation, coupled with significant LPG and motor spirit output gains — is a testament to operational excellence, dedicated teamwork, and aligned national policy.

Hardeep Singh Puri’s congratulations highlight not just numbers but the strategic importance of this asset in transforming the Northeast and bolstering India’s energy security.

As Numaligarh Refinery Limited marches towards its 9 MMTPA future, it exemplifies how focused infrastructure development in frontier regions can deliver both immediate results and long-term strategic advantages.

This achievement reinforces confidence in India’s public sector energy companies and their ability to deliver under challenging conditions while supporting the ambitious vision of an Atmanirbhar (self-reliant) and energy-secure Bharat.

The entire NRL team deserves appreciation for setting new benchmarks. Their success inspires continued innovation and commitment across India’s hydrocarbon sector.