India: Urea Plant Topsoe, IFU, and DAF Collaborate with Indian Consortium to Jointly Invest in Fertilizer Plant
The new plant is being developed in line with the Government of India’s plan to ensure self-sufficiency of urea fertilizers in the domestic market. The plant is scheduled to begin operations in the second quarter of 2019.
India – Topsoe has recently signed a shareholder agreement for a 11.7 % stake in the Ramagundam fertilizer plant in Telangana, India, together with the Danish government-owned fund IFU and The Danish Agribusiness Fund (DAF). The agreement has been signed with promoter companies National Fertilizers (NFL), Engineers India (EIL), Fertilizer Corporation of India (FCIL), the natural gas processing and distribution company GAIL India, and the State of Telangana. The partners have agreed on a shared investment in the Ramagundam fertilizer plant, which is scheduled to begin operation in the second quarter of 2019.
The Ramagundam project comprises 2,200 MTPD ammonia and 3,850 MTPD urea plants. The new plant is part of the Indian government’s revival plan for the domestic fertilizer sector to ensure self-sufficiency in urea fertilizers. Three out of the four current fertilizer plant revival projects are based on Topsoe’s world-leading ammonia technology, including Ramagundam.
The Indian fertilizer sector consists mainly of publicly owned companies, and foreign direct investment in the sector is not customary. However, Topsoe is now a member of the group of owners of the Ramagun-dam plant because of the important role of Topsoe’s ammonia technologies and catalysts in the plant. Topsoe and its Danish partners will have a seat in the Board of Directors of the Ramagundam plant and will take an active role to secure long-term success.