New Delhi/Rourkela: Steel Authority of India Limited’s (SAIL) Rourkela Steel Plant (RSP) has signed a Memorandum of Understanding (MoU) with Indian Oil Corporation Limited (IOCL) for the supply of High Speed Diesel (HSD) and Motor Spirit (MS), effective October 1, 2026.
The agreement will remain valid for three years, with a provision for extension by an additional year. It aims to ensure a reliable and uninterrupted supply of petroleum products to meet the steel plant’s operational and transportation requirements.
The agreement is expected to strengthen RSP’s fuel supply chain, support the smooth functioning of plant operations and transportation activities, and reinforce the longstanding partnership between the two public sector enterprises.
SAIL RSP and Indian Oil Sign Three-Year Fuel Supply Agreement
The MoU establishes a framework for the supply of two key petroleum products required for the plant’s operations:
- High Speed Diesel (HSD): Used to support fuel requirements for relevant operational and transportation activities.
- Motor Spirit (MS): Petrol supplied under the agreement to meet applicable fuel requirements.
The agreement took effect on October 1, 2026, and will continue for three years. Both organisations have also included a provision to extend the arrangement by one additional year.
The agreement is intended to provide greater continuity in fuel availability, helping RSP manage its operational needs and transportation activities more efficiently.
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Officials Represent SAIL Rourkela Steel Plant and Indian Oil
The MoU was signed by senior representatives of both organisations at the signing ceremony.
The signatories were:
- T. Vinod, Chief General Manager (Materials Management), representing SAIL’s Rourkela Steel Plant.
- Prakash Bharati, Divisional Institutional Business Head, Sambalpur Division, representing Indian Oil Corporation Limited.
Several senior officials from SAIL-RSP and Indian Oil also attended the event.
Those present included:
- Anil Kumar, Executive Director (Materials Management).
- S. S. Roychoudhury, Chief General Manager-in-Charge (Maintenance).
- Ashish Ranjan, General Manager, MM (Stores).
- C. V. Apparao, General Manager, MM (Purchase).
Their participation reflected the involvement of the materials management, maintenance, stores and purchase functions in the fuel supply arrangement.
Agreement to Support Plant Operations and Transportation
A reliable supply of petroleum products is important for maintaining the operational and transportation requirements of an integrated steel plant. Through this MoU, SAIL-RSP aims to strengthen the availability of fuel required for its activities.
The agreement is expected to deliver several operational benefits:
- Uninterrupted fuel supply: Establishing a framework for the continued availability of HSD and MS.
- Operational continuity: Supporting the smooth functioning of plant-related activities.
- Transportation support: Meeting relevant fuel requirements for transportation operations.
- Stronger institutional partnership: Reinforcing cooperation between SAIL and Indian Oil, two major public sector enterprises.
The three-year agreement, along with the option of a one-year extension, provides a defined arrangement for meeting the plant’s petroleum product requirements.
About Steel Authority of India Limited (SAIL)
Steel Authority of India Limited is one of India’s largest steel-making companies and a public sector enterprise under the Ministry of Steel, Government of India. Its Rourkela Steel Plant, located in Odisha, is one of the company’s major integrated steel plants. SAIL manufactures a range of steel products for infrastructure, industrial and other sectors of the economy.
About Indian Oil Corporation Limited (IOCL)
Indian Oil Corporation Limited (IOCL) is one of India’s major state-owned energy companies and operates across refining, petroleum products, petrochemicals, natural gas and related energy businesses. The company operates a network of refineries and fuel distribution infrastructure across the country and is also expanding its presence in higher-value petrochemical and energy segments.
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