In a significant move, four Central PSUs, the GAIl (India) limited, the Coal India limited (CIl), the Rashtriya Chemicals and Fertilisers (RCF) and the Fertiliser Corporation of India limited (FCIl) on Wednesday signed a joint venture (JV) agreement to set up an Integrated Coal Gassification-cum-Fertiliser and Ammonium Nitrate complex at Talcher.
The agreement was signed in the presence of Union Chemicals and Fertilisers Minister Ananth Kumar, Union Minster of State for Petroleum and Natural Gas Dharmendra Pradhan, Union Minister of State for Power, Coal and New and Renewable Energy Piyush Goyal and Union Minister of State for Chemicals and Fertilisers Hansraj Gangaram Ahir in New Delhi. Earlier, the four PSUs had signed an MoU on September 5, 2013 to jointly set up a Fertiliser and Ammonium Nitrate complex at Talcher.
As per the new agreement while the GAIl would be primarily responsible for establishment of the upstream coal gasification and gas purification section for production of ammonia syn gas at an estimated investment of Rs3,000 crore, the Talcher Chemicals and Fertilizers limited (TCFl) would set up Ammonia-Urea, Nitric Acid-Ammonium Nitrate plants at an estimated investment of Rs6,000 crore. The TCFl would set up plants under the RCF and the CIl, which would have major stakes.
The project comprises a 3,850-MTPD urea plant, a 2,700-MTPD ammonia plant, an 850-MTPD nitric acid plant and a 1,000-MTPD ammonium nitrate plant. After detailed feasibility study, execution of construction activities is likely to be started in 2015-16 and completed by 2019.
A suitable coal block for supplying coal to the project near the complex is being identified on a priority basis by the Centre. It is expected that revival of the Talcher unit would trigger a great economic boom in Odisha and is eastern parts as well as it will generate huge direct and indirect employments. Besides, the project would contribute a lot to meet urea fertiliser need of the country.