Shares of Indian Oil Corporation (IOCL) were muted on Wednesday after it entered a strategic partnership Rashtriya Ispat Nigam Limited (RINL), also known as Vizag Steel.

What Happened: IOCL and RINL signed an agreement for the supply of hydraulic and lubricating oils and greases, according to the Press Information Bureau. The agreement, which will span five years, is expected to ensure a continuous and uninterrupted supply of lubricants to meet RINL’s requirements.

The agreement, effective from 2024 to 2029, was signed by RINL’s AK Bagchi and IOCL’s B. Anil Kumar, in the presence of other officials.

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As part of the MoU, IOCL will also provide technical support to RINL’s Visakhapatnam steel plant in areas such as lubrication, condition monitoring of critical and large hydraulic and lube systems, total bulk oil handling and used oil management.

Moreover, IOCL will provide training for Visakhapatnam steel plant officials at its research and development centre in Faridabad. This training is expected to help RINL reduce lubricants consumption and maintain optimum levels of consumption.

IOCL’s R Uday Kumar, who was also present during the signing event, described the signing of the deal as a “milestone day”.

He highlighted that this collaboration serves as a benchmark for how progressive, cooperative efforts across various industries can contribute to nation-building.

Price Action: IOCL shares were up 0.34% to ₹173.84 on Wednesday.

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