L&T Bags Large EPC Contract for Coal-to-Ammonium Nitrate Plant in Odisha

New Delhi, May 5 (KNN) Larsen & Toubro (L&T) has secured a “large” engineering, procurement and construction (EPC) order for setting up a coal-to-ammonium nitrate plant in Odisha, the company announced on Tuesday.

The engineering major classifies contracts worth Rs 2,500-Rs 5,000 crore as large orders.

The contract has been awarded by Bharat Coal Gasification and Chemicals Ltd (BCGCL), a joint venture between Coal India Ltd and Bharat Heavy Electricals Ltd.

The project will be executed by L&T’s Energy Hydrocarbon Onshore business on a lump-sum turnkey basis, with single-point responsibility, according to ET.

The scope of the project includes process licensing, engineering, procurement, construction, commissioning, performance testing, and final handover. The facility will comprise a nitric acid and ammonium nitrate plant with a capacity of 2,000 tonnes per day.

Once operational, the plant will convert coal into ammonium nitrate, a key industrial input widely used in mining, infrastructure, and other sectors.

The project aligns with India’s broader push towards coal gasification, with a target of achieving 100 million tonnes of gasification capacity by 2030.

The strategy is aimed at enhancing value addition from domestic coal reserves and reducing dependence on imports by producing downstream products such as fertilisers, methanol, and synthetic natural gas.

Company officials highlighted that the order reinforces L&T’s capabilities in executing complex, technology-intensive projects, while also contributing to the development of indigenous gasification infrastructure as part of India’s evolving energy transition framework.

(KNN Bureau)