Pralhad Joshi asks Talcher Fertilizers to expedite coal gasification project

• The ammonia-urea project is a first-of-its-kind in the country to use coal gasification for production of urea

• The plant will produce 2.38 million tonne cubic metres per day of natural gas equivalent synthesis gas from coal

New Delhi: Union Minister for Coal Pralhad Joshi has asked Talcher Fertilizers Limited (TFL) to expedite the coal gasification project at a review meeting held on Tuesday. Talcher Fertilizers Ltd is a joint venture between GAIL India Ltd, Coal India Ltd, Rashtriya Chemicals and Fertilizers Ltd and Fertilizer Corporation of India Ltd (FCIL). "Took stock of progress made in operation activities, by Talcher Fertilizers Limited. Advised them to expedite coal gasification project and assured them of support from the ministry," Joshi said in a tweet.

Also read: Talcher Fertilizer plant likely to be commissioned in 2023: Gowda

The ammonia-urea project is a first-of-its-kind in the country to use coal gasification for production of urea and it would have a design capacity of 2,200 tonnes per day of ammonia and 3,850 tonnes per day of urea, the Centre had said. The plant will produce 2.38 million tonne cubic metres per day of natural gas equivalent synthesis gas from coal.

Who's reviving the Talcher Fertilizer plant?

Talcher unit of FCIL (Fertlizer Corporation of India Limited) is being revived by Talcher Fertilizers Limited, a joint venture company of RCF (Rashtriya Chemicals & Fertilizers), GAIL (Gas Authority of India Ltd), Coal India and FCIL. The plan is to set up a coal gasification-based urea plant of 12.7 lakh MT annual capacity to help India meet its Urea requirement. It is expected to be commissioned by 2023, Minister for Chemical and Fertilizers DV Sadananda Gowda had said in November 2019.

The backdrop

A lump sum turn key (LSTK) contract for Talcher Fertilizer plant was awarded to China's Wuhuan Engineering Co. Ltd in September 2019 as part of measures to revival the closed units of FCIL and HFCL (Hindustan Fertilizers Corporation Ltd). The project is estimated to cost Rs 13,277 crores. The plant is first-of-its-kind in India and shall use a blend of coal and petcoke as feedstock for the production of urea. Coal for this project shall be sourced from captive Northern part of North Arkhapal mine in Talcher region allotted to TFL and petcoke shall be sourced from Paradip Refinery. This project will promote the use of abundantly available domestic coal in an environment-friendly manner. The success of this technology shall also propel the usage of coal for the production of other chemical products. The project shall improve India's self-sufficiency in Urea; promote agriculture growth and availability of Urea to farmers of Odisha.

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