Chennai Petroleum Corporation Ltd. (CPCL) is getting ready to spend Rs 700–800 crore every year for the next two years. This is almost twice what they usually spend. The money is for a project that is expected to make a lot of money and is focused on improving lube oil base stocks (LOBS). The planned spending includes Rs 250–300 crore for regular upkeep and smaller projects. The remaining Rs 400–500 crore is set aside for the plan to upgrade LOBS 2 and 3.

The project for making Group II/III LOBS is currently in an advanced stage of planning. Its goal is to turn naphtha and high-speed diesel (HSD) into more valuable lube base oils. The company management said during the call about their financial results for the period ending March 31, 2025 (Q4 FY25), "It's a project that can make a lot of profit, and we are ready to start it quickly once we get the needed approvals."

When asked how much Russian crude oil they used from January to March 2025 (Q4FY25) and how much they plan to use from April to June 2025 (Q1 FY26), the management replied, "We generally call it 'opportunity crude.' Looking at the whole year, this type of crude made up about 30 percent of all the crude oil we bought. This is about the same as in the years before."