The company said it would be looking at both organic and inorganic prospects for expanding its business in the biofuel category.

"The company has planned to seek expert advice on whether it is viable to purchase sick sugar mills or if it is better to set up a new project," said B.M. Bansal, director, planning and business development of the company.

The government-controlled oil major buys ethanol from other suppliers to sell 5 percent ethanol-blended petrol.