Hindustan Petroleum Corp. (HPCL) and Indian steel magnate Lakshmi Mittal will invest about $3 billion to set up a petrochemical complex in Punjab, India, according to the Times of India newspaper.

HPCL-Mittal Energy (HMEL), a joint venture between HPCL and Mittal Energy Investments, plans to set up a naphtha cracker with an annual capacity of 1.2 million t, expandable to 1.7 million t, at the Bhatinda refinery. HPCL said it plans to fast-track the project in less than four years, but no firm timescale was disclosed.

The project is reported to be HPCL’s first petrochemical plant in northern India. The company has refineries in Mumbai and Visakhapatnam. HPCL and Mittal are equal partners in the Bhatinda refinery, which they also plan to expand but no further details were given.

HPCL chairman and managing director, Mukesh Kumar Surana, told the newspaper that land and other infrastructure were available at the refinery and the project would be formally announced shortly after receiving investment approvals.