L&T Energy Hydrocarbon Onshore has been awarded a large order—valued between ₹2,500 crore and ₹5,000 crore—from Bharat Coal Gasification and Chemicals Ltd (BCGCL). The project involves the development of a Nitric Acid and Ammonium Nitrate Plant in Odisha on a Lump Sum Turnkey (LSTK) basis. This facility will convert coal into chemical products at a capacity of 2,000 tonnes per day, directly supporting India’s Aatmanirbhar Bharat energy security initiative.
Advancing India’s Energy Security
L&T has secured a prestigious contract to develop a state-of-the-art Coal-to-Ammonia-Nitrate project. This initiative is a joint venture between Coal India Ltd (CIL) and Bharat Heavy Electricals Ltd (BHEL), aimed at reducing national import dependence by converting high-ash domestic coal into value-added chemical products.
Project Scope and Execution
Awarded as LSTK Package-4, the contract places single-point responsibility on L&T. The comprehensive scope of work includes process licensing, basic design, detailed engineering, procurement, construction, and commissioning. L&T will also conduct performance guarantee test runs to ensure the facility meets its planned production capacity of 2,000 tonnes per day of ammonium nitrate.
Strategic Significance
This project is a critical component of India’s target to achieve 100 million tonnes of coal gasification capacity by 2030. By leveraging L&T’s expertise in technology-intensive EPC projects, the facility will provide essential resources for India’s growing mining, infrastructure, and industrial sectors. The leadership team noted that this success strengthens L&T’s footprint in the downstream chemicals EPC space and reinforces its role in supporting the nation’s industrial self-reliance and energy transition.
Source: BSE
