RCF gets nod for Rs 4,200-cr Thal III project

RCF gets nod for Rs 4,200-cr Thal III project

The state-run Rashtriya Chemicals & Fertilisers (RCF) has received environmental clearance to Thal III project for expanding additional ammonia urea capacity at an estimated cost of Rs 4,200 crore.

Briefing reporters, RCF Chairman R G Rajan said the project envisages augmenting the capacity of urea plant by setting up one single stream ammonia plant of capacity 2,200 mtpd (metric tonnes per day) and another plan of 3,850 mtpd capacity, for which CCEA approval is expected soon. 

Responding to a query on project execution, he said the selection process for lumpsum turnkey contractors (LSTK) for main plants has been completed. He added that the project cost will be met through internal accruals and borrowings.

Dwelling on coal-based fertiliser plant at Talcher, Rajan said his company has roped in three PSUs — Coal India, Gas Authority of India (GAIL) and Fertiliser Corporation of India (FCIL) to set up a fertiliser complex comprising of 2,700 mtpd ammonia plant, 3,850 mtpd urea plant, 850 mtpd nitric acid plant and 1,000 mtpd ammonium nitrate plant Talcher in Orissa through coal gasification route as feed stock. 

The whole project estimated to cost Rs 9,000 crore is to be be undertaken by two seperate joint ventures (JVs), one for coal gasification and the other for producing fertilisers. Equity participation in each of the JVs will depend on the importance and interest for each party based on their existing business line.

On the Ghana project, he said although the governments of Ghana and India have signed an MoU for setting up the fertilizer project to produce about 1 million metric tonnes of urea based on gas find in that country. The project is currently “stuck on the pricing issue”.