Agreement to complete Siliguri–Charali and Amlekhgunj–Lothar pipelines in 54 months

Representative Image of Petroleum Pipelines

KATHMANDU, DECEMBER 18: The Steering Committee meeting of Nepal Oil Corporation (NOC) and Indian Oil Corporation (IOC) has agreed to complete two petroleum pipeline projects within 54 months. The projects are the Siliguri–Charali and Amlekhgunj–Lothar petroleum pipelines, which will be completed within the agreed time frame.

The meeting, which began in Kathmandu yesterday, also agreed to exchange technical data and promptly resolve any issues that may arise during the construction phase. 

 NOC spokesperson Manoj Kumar Thakur, reportedly said that the meeting discussed about completing the boundary on the land for the pipeline and transferring it to IOC. "As soon as NOC completes the transfer, IOC will move to tender," he added.

A deal has already been made with India for the expansion of the second phase of the petroleum pipeline project, which involves two pipelines worth Rs 15 billion and a smart greenfield terminal. These projects will be funded by India as grants.

The agreement involves the construction of a 50 km long petroleum pipeline from Siliguri, India, to Charali in Jhapa, Nepal, along with a smart greenfield terminal with a capacity of 18,900 kiloliters at Charali. The NOC owns nearly 23 bighas of land in Jhapa, where petrol and diesel will be stored once the pipeline is built.

Additionally, the agreement includes the construction of a 62 km long petroleum pipeline from Amlekhgunj, Nepal, to Lothar in Chitwan, which will also be funded by India as a grant.

This is the second meeting of the Steering Committee. The first meeting was held online on October 14, 2024. NOC's Engineering Projects and Information Technology Department Director, Vinit Mani Upadhyay, mentioned that the Steering Committee has agreed to hold regular meetings.

Participants in the meeting from NOC included Deputy Executive Directors Virendra Goit and Deepak Baral, along with Director Upadhyay. From IOC, the meeting included Country Manager for Nepal Nirupam Raizada and other representatives Aniruddh Thate and Praveen Kumar.