Hi I have a fundamental question of this company . What did they do before setting up this 5 MMTPA refinery at Haldia ? Why is that their source of funds only indicate
money raised through Equity ?
I thought a company needs to be atleast functional before they can float shares . I am a newbie , please calrify

its not required...or else Reliance power, indiabulls power etc could not have come with their IPOs

Hi Nishy,

The company has raised funds through equity as it is a set up project. This usually takes 5 to 6 years to complete the project of this magnitude, Cals has been sanctioned more than 1000 Acres of Land in Haldia by WB Govt. All environment clearences received. Now the Fencing and leveling work almost completing. . The State Govt has also signed an MOU with CALS Refinery Ltd. for setting up a crude oil refinery complex in the PCPIR with a capacity to process 5 MMTPA of blend crude in Phase I of the project and will consist of process units, utilities and offsites. These facilities will be installed by transplanting a Bayer Oil refinery at Ingolstatd, Germany and Petro Canada Refinery at Canada to Haldia.
The Fendamentals are excellent. but do remember that this investment should be for long term eg: more than 3 years.
Usually the start up project takes 5 to 6 years to actually start the production But... Cals would take only 18 Months to max 20 months to start up production as it is re-Installing the refinery in Haldia-India (BayerOil refinery and Petro Canada Refinery after dismentaling it in the respective contries) Please read my previous comments to under the details which will surely clear ur doubts.
for complete information try to read atleast next 10 to 15 pages on this Board.

Please visit Spice Energy website for more details. Cals Refineries Ltd is a Spice Group Company... visit spicenergy . com . You will get answers to all your questions.