MRPL Diversifies Crude Sourcing and Integrates AI to Optimize Refinery Operations

MANGALURU — Mangalore Refinery and Petrochemicals Ltd (MRPL) has stated that no single geography, supplier, or route is decisive for its crude oil sourcing. Addressing shareholder queries regarding the impact of the West Asia crisis on supply chains during the company's 38th annual general meeting, Managing Director and CEO M Shyamprasad Kamath outlined the firm's deliberate diversification strategy.

Kamath explained that MRPL systematically spreads its sourcing across different regions, suppliers, and shipping routes to maintain operational stability. According to the company data shared at the meeting, crude oil sourcing from West Asia dropped substantially from approximately 66 percent in the financial year 2022-23 to about 27 percent during the first quarter of 2026-27.

In addition to shifting away from traditional regional concentrations, the company has also curtailed its intake of Russian barrels. Kamath noted that supplies from Russian sources decreased from 44 percent to roughly 27 to 28 percent, reflecting an ongoing effort to secure feedstock from a broader global footprint.

Beyond supply chain management, the leadership also addressed the integration of technology within the refinery's infrastructure. Responding to questions regarding the extent of artificial intelligence adoption, Kamath stated that the company is utilizing generative, discriminative, and predictive AI in its day-to-day operations.

Highlighting specific use cases, Kamath pointed to the polypropylene unit, where real-time prediction of the melt flow index and xylene solubility has helped mitigate lab analysis delays that previously impacted grade transitions. Furthermore, the company has deployed a real-time optimiser in its captive power plant to manage dynamic power and steam demand efficiently, resulting in notable oil savings.

"MRPL's strategic shift to actively diversify its crude oil sourcing away from heavy reliance on West Asia and Russia demonstrates sound risk management in a volatile global market. By reducing single-region exposure and simultaneously integrating predictive and real-time artificial intelligence into core refinery processes—such as power management and quality control—the company is effectively balancing supply chain resilience with operational efficiency. This pragmatic approach offers a strong operational model for traditional heavy industries navigating geopolitical uncertainties and technological modernization." — Dr. Shishir Gupta, Founder & CEO, StartupLanes