Bhubaneswar, Sept 17 (LocalWire): In a move to revive the defunct fertilizer unit of Fertilizer Corporation of India Limited at Talcher, a Chinese firm was today awarded the Lump Sum Term Key (LSTK) contract to carry out the coal gasification along with ammonia and urea packaging of the plant.
Wuhuan Engineering, China, bagged the contract following a global tender. During the ‘Ceremony of Award’ function held in Delhi, the contract was given to the firm in the presence of Minister for chemicals and fertilisers, D V Sadananda Gowda and minster for petroleum & natural gas and steel, Dharmendra Pradhan, officials said.
In order to augment the domestic urea capacity, revival of closed fertilizer units of Fertilizer Corporation of India Limited has been given top priority agenda of the Centre.
Accordingly, the government mandated TFL, a joint venture company, to revive the Talcher unit of FCIL.
With an estimated investment of Rs. 13,277 crore, the project shall produce 1.27 MMTPA of Neem-coated Urea through gasification of a mixed feedstock comprising high ash Indian coal and petcoke.
TFL has been allotted northern part of North Arkhapal mine as captive mine for meeting its coal requirements and petcoke shall be sourced from IOCL’s Paradip refinery.
The commissioning of this project is expected in the third quarter of 2023.
This project will improve India’s self-sufficiency in urea and promote agriculture growth, thereby reducing the import of urea which shall in turn have a significant effect on the LNG imports besides providing employment opportunities to the local populace and also flipping the ancillary industries in the region.
Further success of this technology shall open up new areas in the Indian energy context leading to alternative use of high ash Indian coal in the areas other than conventional thermal power production.