The Corporation has appointed ABN Amro as the lead arranger for the syndicated loan and the issue would close by the end of this month, IOC officials said. The officials said IOC had gone to the market last month end to mop up the $ 200 million loan for its short-term crude oil imports.

IOC has targeted to collect the funds at 25 basis points above the London Inter Bank Offered Rate (LIBOR), which is similar to the $ 150 million syndicated loan it had mopped up recently through Bank of America, they said.

The $ 200 million would have a repayment period of six months with a rollover facility at another six months, the officials said.

They, however, declined to give the amount subscribed by the bankers so far saying the Corporation hoped that the issue would be oversubscribed like the previous one. IOC had alreadymobilised Rs 500 crore through the domestic market. The Corporation had gone for a Rs 300 crore private placement bond with a green shore option of Rs 200 crore for meeting its capital expenditure requirements. The Corporation used the amount mobilised from the domestic market to fund its joint venture payments, part-finance its East India refinery project at Paradip and also for expansion of Panipat refinery, the officials said. IOC had announced a healthy performance last year with its profits after tax touching Rs 2,214 crore. The company is planning to make a massive investment of Rs 60,000 crore.