The Hindu : Front Page : Proposal to set up fertilizer plants

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Wednesday, Sep 22, 2010
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Proposal to set up fertilizer plants

Special Correspondent

Rosaiah to consider Oswal group offer

Request for gas allocation forwarded to the Petroleum and Natural Gas Ministry
The company would also establish a 100 mw capacity power plant

HYDERABAD: The Oswal Chemicals and Fertilisers Limited has offered to set up Rs.5,000-crore urea plant and Rs.2,000-crore di-ammonium phosphate plant in the State. The offer was made by Abhay Oswal, chairman and managing director of Oswal Chemicals and Fertilisers to Chief Minister K. Rosaiah during their meeting here on Tuesday.

The Chief Minister agreed to positively consider the proposal at the earliest.

In view of increasing need for fertilizer being felt by the State, Mr. Oswal made the proposal for setting up 1.2 million tonnes a year capacity urea plant based on natural gas that could employ 5,000 labourers during construction phase and 100 skilled and unskilled manpower after the commission of the plant.

A request for gas allocation for the project has already been forwarded by the Union Chemical and Fertilizers Ministry to the Petroleum and Natural Gas Ministry, according to a press release from the Chief Minister's Office. Mr. Oswal told Mr. Rosaiah that the company would also establish a 100 mw capacity power plant using surplus steam from urea manufacturing facilities supplemented by coal.

Phosphoric acid

Another proposal made by him was to set up one million tonne capacity di-ammonium phosphate plant with an investment of Rs. 2,000 crore. Phosphoric acid required for the plant will be imported from Syria. Similarly, requirement for ammonia will be met from surplus ammonia from urea plant.

The di-ammonium plant will employ 3,000 workers during construction and 700 after the commencement of the plant.

Offsite facilities

The company has one million tonne a year capacity ammonia urea complex with utilities and offsite facilities at Shahjahanpur in U.P. and a two million tonne a year di-ammonium phosphate plant at Paradip in Orissa, reportedly single largest manufacturing facility in the world.

Ammonia plant

The group has set up gas-based ammonia plant of 2,200 tonnes per day capacity in Western Australia.

Chief Secretary S.V. Prasad, Advisor to the Government on Industries Peter Hassan, Principal Secretary (Industries) B.P. Acharya, Principal Secretary to the Chief Minister Sam Bob and other officials attended the meeting.

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