ONGC inks MoU with KK Birla Group co for fertiliser unit

Written By Unknown on Selasa, 09 April 2013 | 23.25

Oil and Natural Gas Commission ( ONGC ) today signed a Memorandum of Understanding (MoU) with KK Birla Group company, Chambal Fertilisers and Chemicals in the presence of Tripura Chief Minister Manik Sarkar for setting up a fertiliser unit in Unakoti district.

The estimated cost of the project for producing 1.3 million tonne of fertiliser per annum is Rs 5,000 crore. The construction of the plant would be completed by 2016, officials said.

Chairman-cum-Managing Director (CMD) of ONGC, Sudhir Vasudeva said, "ONGC would deliver natural gas which would be used as raw material for producing urea and Tripura government has agreed to provide land and other logistic supports."

"Chief Minister Manik Sarkar first proposed us to set up such a project as the eastern part of the country is still fertiliser deficit," Vasudeva said.

Officials of Chambal Fertiliser (KK Birla group) said, they were exploring the possibility of marketing the fertiliser in Bangladesh, Odisha and West Bengal. "We are also exploring the possibility of transporting the product through Bangladesh by using their ports and waterways which would reduce the transportation cost," official said.

ONGC CMD said, the ratio of share of the new fertiliser company named as Khobal Fertiliser Company would be 50-50 and if any new partner is available then share could be reduced.



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