Numaligarh Refinery Limited (NRL) has decided to pause its plans for the Myanmar market to prioritize boosting its domestic refining capacity. The company aims to hit 9 million metric tonnes per annum by late 2027. This decision follows a year of strong financial performance, where the refinery operated at 103% capacity, allowing it to focus on meeting surging local fuel demand.
Numaligarh Refinery Limited (NRL), a subsidiary of Oil India Limited, has officially put its international expansion plans for Myanmar on hold. The company is reallocating its focus toward its major domestic refinery expansion project, which aims to increase production capacity from 3 million metric tonnes per annum (MMTPA) to 9 MMTPA by December 31, 2027. This move comes as the refinery looks to stabilize and increase output to cater to the growing fuel requirements within India’s Northeast region.
The decision to prioritize domestic growth is supported by a period of strong operational efficiency. In the 2025-26 fiscal year, the refinery operated at 103% of its rated capacity, processing over 3,113 thousand metric tonnes of crude oil. This high level of utilization has driven robust financial health, with the company reporting a standalone profit after tax of Rs 3,057 crore—a significant jump compared to the previous year. The company’s net worth also strengthened to Rs 18,912 crore, providing a solid capital base to fund its ongoing infrastructure spending.
Project execution remains the primary area of focus for the management. The refinery expansion project is currently in an advanced stage, with 87.1% of the physical work completed as of March 2026. Alongside this, the company has made progress in its logistics and distribution capabilities, including the successful capacity upgrade of the Numaligarh-to-Siliguri product pipeline. These infrastructure improvements are designed to ensure that the increased fuel output can be efficiently distributed across the domestic market.
While the company has previously identified the Sagaing Region in Myanmar as a high-potential market, management has opted for caution. Geopolitical instability in the region remains a key risk factor that could threaten supply chains and retail operations. By choosing to defer these international plans, the company is avoiding potential exposure to cross-border volatility until its domestic operations are scaled up and the regional situation stabilizes.
For investors and stakeholders, the next key monitorable will be the commissioning of the refinery expansion project by the end of 2027. Success in this project is crucial, as the company—now operating with Navratna status granted in December 2025—faces the ongoing challenge of global crude oil price volatility and potential supply chain constraints. Future updates will likely center on the final testing phases of the expanded facility and any revised signals regarding international market entry once domestic supply security is firmly established.