By Enersider Desk | New Delhi
A land leasing agreement was signed between Bharat Coal Gasification and Chemicals Limited (BCGCL) and Mahanadi Coalfields Limited (MCL) for the upcoming Coal to Ammonium Nitrate Project at Lakhanpur, Odisha. The signing ceremony was held in New Delhi in the presence of Union Minister of Coal and Mines G Kishan Reddy.
The project is envisaged as a Coal to 2000 TPD Ammonium Nitrate facility. This is India’s first coal gasification project to deploy indigenously developed gasification technology by Bharat Heavy Electricals Limited (BHEL). The project will be spread over approximately 350 acres of land under MCL’s possession.
The Ministry of Coal has extended financial support of ₹1,350 crore under its dedicated financial incentives scheme. Major LSTK packages have been awarded to BHEL and Larsen & Toubro. Site development works, including boundary wall construction, are progressing.
Addressing the gathering, Union Minister G Kishan Reddy said that in line with the Prime Minister’s vision of Atmanirbhar Bharat, the Union government is driving focused initiatives to transform the coal sector. He informed that the Cabinet has approved an outlay of ₹8,500 crore to promote coal gasification, with seven projects already finalized. He described the land lease agreement between MCL and BCGCL, with an investment of about ₹25,000 crore, as a significant step forward.
Coal Secretary Vikram Dev Dutt termed the agreement a landmark milestone. He noted that all key enablers, including statutory clearances and tenders, are in place. The Minister also inaugurated the official website of BCGCL.
The project aligns with the vision of Viksit Bharat, focusing on reducing import dependence and building a resilient economy.
