Chambal Fertilisers Contemplates Third Production Plant

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Researched by Industrial Info Resources (Sugar Land, Texas)--Chambal Fertilisers and Chemicals Limited (BOM:500085) (CFCL) (New Delhi, India), one of the largest ammonia and urea fertilizer producers in India, is analyzing whether it will proceed with adding two more production units for ammonia and urea at its existing site in Kota, India. CFCL already operates two ammonia units and two urea units at Kota. Currently, the combined production rates of Gadepan-I and Gadepan-II at Kota are 2,700 metric tons per year of ammonia and 4,700 metric tons per day of urea.

The proposed Gadepan-III is envisioned as having estimated production rates of 2,000 metric tons per day of ammonia and 3,450 metric tons per day of urea. A final decision is expected in the beginning of the summer this year, with hopes for construction to begin in the second quarter of 2012. Commercial production is anticipated to follow in the spring of 2015. Total investment for the site expansion could be $800 million.

As no process technology has been selected or even bid for at this time, CFCL does not really commit to only purchasing only one type of process technology. The existing four units each utilize different process technologies. The Gadepan-I ammonia unit is installed with Haldor Topsoe process technology, and the Gadepan-II ammonia unit contains process technology supplied by Kellogg Brown and Root. The Gadepan-I urea unit is based on technology licensed by Snamprogetti, and the Gadepan-II urea unit's process technology was purchased from Toyo Engineering Corporation.

CFCL owns manufacturing sites all over India, including the states of Andhra Pradesh, Goa, Haryana, Himachal Pradesh, Karantaka, Orissa and Tamil Nadu. CFCL is also part-owner of a phosphoric acid plant in Morocco under the joint venture name Indo Maroc Phosphore S.A. This joint venture is shared with Office Cherifien Des Phosphates (OCP), the dominant all-things-phosphate producer in Northern Africa. The plant, which is in the port of Jorf Lasfar, began production in 1999. Current production rates are 3,800 metric tons per day of sulfuric acid and 1,400 metric tons per day of phosphoric acid. OCP suppliess all the rock phosphate needed for feedstock.

CFCL is a diversified company, with products that include fertilizers, seeds, insecticides, herbicides and fungicides.

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