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Talcher Fertilizers award project contract to Wuhuan Engineering Co Ltd

In order to augment domestic urea capacity, the government had taken up revival of closed fertilizer units of Fertilizer Corporation of India Ltd.

ET Bureau|
Last Updated: Sep 17, 2019, 06.18 PM IST|Original: Sep 17, 2019, 06.18 PM IST
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TFL has been executing many of the pre project activities at site which are essential before actual project work commences.
KOLKATA: Talcher Fertilizers Ltd (TFL) has awarded its project on a lump sum term key (LSTK) contract basis to Wuhuan Engineering Co. Ltd of China. The Chinese company will will implement coal gasification and ammonia/urea packages for the project. The project is expected to be commissioned by the third quarter of 2023.

In order to augment domestic urea capacity, the government had taken up revival of closed fertilizer units of Fertilizer Corporation of India Ltd. Accordingly, the centre mandated TFL, a joint venture company of nominated PSUs RCF, CIL, FCIL and GAIL, to revive the Talcher unit of FCIL.

With an estimated investment of Rs 13,277 crore the project will have a production capacity of 1.27 MMTPA of Neem coated urea through gasification of a mixed feedstock comprising of high ash Indian coal and petcoke.

TFL has been allotted northern part of North Arkhapal mine as the captive mine for meeting its coal requirements and petcoke shall be sourced from Paradip refinery of IOCL.

TFL has been executing many of the pre project activities at site which are essential before actual project work commences. Activities like site development, provision of construction water and power and guest house are currently underway at the Talcher site and shall be completed soon.

Tendering process for other major packages is also underway and it is expected that majority of the tenders shall be awarded before end of this fiscal.

This project is expected to improve India's self-sufficiency in urea and promote agriculture growth thereby reducing the import of urea in the country which shall in turn is expected to 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.
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