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Indian Oil Corporation
AutoGas (LPG) has been introduced in Hyderabad, Bangalore and Mumbai markets. This alternative fuel is a good business proposition in the long term, and IndianOil intends to further expand its marketing in a big way. 5-kg compact domestic Indane cylinders were introduced in 42 rural/hilly area markets, with plans to introduce them in 500 markets in rural areas.
IndianOil's market penetration is further enhanced after the acquisition of equity of IBP Co. Ltd., adding over 1,500 petrol and diesel stations to its existing network of over 8,000 petrol stations. The synergy of operations between IndianOil and IBP in marketing operations as well as in several joint ventures, will further add value to the acquisition.
Between 1997 and 2002, IndianOil invested over Rs.1,000 crore in the upgradation and modernisation of over 1,200 petrol stations. In 1997, over 85% of IndianOil's petrol stations were owned and operated by dealers. At present, this is down to 60%. The balance is either company-owned-company-operated or company-owned-dealer-operated. This is a major marketing manoeuvre achieve in a short span of time.
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