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PRE-FEASIBILITY R E P O R T

ON

NMRUP-IV NEW AMMONIA / UREA FERTILIZER PROJECT

WITHIN PLANT PREMISES OF OF

BRAHAMPUTRA VALLEY FERTILIZER CORPORATION OF LIMITED (BVFCL)

NAMRUP, DIBRUGARH, ASSAM

FOR ENVIRONMENTAL CLEARANCE (VIDE MOEF GUIDELINES NO. J-11013/41/2006-IA.II(I) DATED 30TH DECEMBER 2010)

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PROJECTS & DEVELOPMENT INDIA LIMITED (A Govt. of India Undertaking)

PO: Sindri - 828122, Dist: Dhanbad (Jharkhand) QCI-NABET ACCREDITATION SL. NO. 94 AS ON 11.07.2016

AUGUST 2016

CONTENTS

Projects & Development India Ltd: Sindri

Feasibility report for Namrup-IV New Ammonia/ Urea Project at Namrup, Dibrugarh (Assam)

CHAPTER DESCRIPTION PAGE NO.

1.0 Executive Summary 1 – 4

2.0 Introduction 5 – 10

3.0 Site Analysis 11 – 12

4.0 Project Description 13 – 25

5.0 Need of the Project 26 – 29

6.0 Environmental Status 30 – 31

7.0 Employment Consideration 32 – 32

8.0 Rehabilitation & Resettlement Plan 33 – 33

9.0 Project Schedule & Cost Estimates 33 – 34

10.0 Analysis of Proposal 35 – 35

11.0 Conclusion 35 – 35

LIST OF PLATES / FIGURES

PLATE NO. NAME OF THE ANNEXURES PAGE NO.

1 Location of BVFCL-Namrup in Google Map 36

2 Location of BVFCL-Namrup in Geographical Map 37

3 Block Diagram of Process for Ammonia Plant 38

4 Block Diagram of Process for Urea Plant 39

5 Factory Layout of BVFCL-Namrup Fertilizer project 40

6 Raw Material & Utility Balance Diagram 41

Projects & Development India Limited, Sindri 1 of 40

Feasibility report for Namrup-IV Ammonia/ Urea Project at Namrup, Dibrugarh (Assam)

1.0 Executive Summary

1.1 Background

Hindustan Fertilizer Corporation Limited (HFCL) was one of the oldest units set up in

the country with a vision of growth in fertilizer production for food security. HFCL

operated four units of fertilizer complex, two in the state of West Bengal namely Haldia

Unit & Durgapur Unit, third one Barauni Unit in the state of Bihar and fourth Namrup

Unit in Dibrugarh district in the state of Assam.

Due to under performance of all the plants, HFCL had made huge losses. These losses

had their own cascading effect. The company was declared sick and was referred to

BIFR. Subsequently, all the units of HFCL except for Namrup were closed down. The

Namrup fertilizer complex was bifurcated from HFCL and renamed as Brahmaputra

Valley Fertilizer Corporation Limited (BVFCL) on 5th April 2002.

BVFCL is operating gas based Ammonia-Urea plant along with associated off-sites and

utilities at Namrup, Assam. The performance of the unit has been far from satisfactory

mainly due to continuing machinery / equipment problems leading to very low

production and losses.

Out of the three sets of plants, Namrup-I plants consisting of 2×100 MTPD Ammonia

plants, 167 MTPD Urea Plant and the Ammonium Sulphate Plant had been scrapped

and disposed off except Ammonia- I. Namrup-II and Namrup-III Units have been

revamped but even after revamp, the energy consumption remained very high due to old

technology, inefficient machinery performance and frequent interruptions due to

machinery and equipment failures.

BVFCL has engaged Projects & Development India Limited (PDIL), a Government of

India, QCI-NABET accredited (Sl. No.94 as on 11.07.2016) EIA Consultancy

Organization for Stage-1 of Environmental Clearance of the proposed project.

The installed capacity for the proposed project of ammonia and urea plants has been

considered as 1500 MTPD and 2620 MTPD respectively. The total requirement of

natural gas (LHV- 8200 kcal/Sm3) for the proposed project (at 100% capacity

utilization) would be about 1.59 MMSCMD. However, BVFCL has an agreement with



OIL for supply of 1.72 MMSCMD of NG which would be sufficient to produce 1615

MTPD ammonia and 2821 MTPD urea. Considering Ammonia plant with a nominal

capacity of 1500 MTPD capable to produce 1615 MTPD ammonia and Urea plant with

a nominal capacity of 2620 MTPD capable to produce 2831 MTPD urea, the production

during the first year (90%) and subsequent years (100%) has been taken as 838,125 MT

and 930,930 MT respectively utilizing total available natural gas of 1.72 MMSCMD.

Project viability has been worked out based on the production figures mentioned above.

1.2 Project at a Glance

The details of project description of Namrup-IV project are summarized below:

Table-1

S.No. Parameter : Description

1.0 Name of the Project : Namrup-IV Ammonia-Urea Project

2.0 Name of the Client : M/s. B.V.F.C.L. Namrup 3.0 Project Location Namrup (Dist. Dibrugarh, Assam State) 4.0 End Product : Urea 5.0 Name Plate Capacity

(MTPD) Ammonia = 1500 Urea= 2620

1st Year Production : 838125 MTPA 2nd Year Production

Onwards : 930930 MTPA

(Production figures are based on utilisation of available natural gas of 1.72 MMSCMD)

6.0 Plant Stream Days : 330 7.0 Project Time Schedule

(Months) : 36

8.0 Hourly Consumption Norms of Raw Material and Utilities at Rated Capacity NG(LHV‐ 8200 kcal/Sm3) (Sm3) : 66565 Raw Water (m3) : 862

9.0 Delivered Price of Raw Material and Utilities NG (Rs. / 1000 Sm3) : 8750 (US$ 4.013/MMBtu) Bags (Rs./ Unit) : 19 10.0 Project Capital Cost Debt : Equity : 70 : 30 Interest on Loans : 10.50 % for long-term & 11% for short-term Project Capital Cost (Rs. Crores) FC (Foreign Currency) : 1348.46 Total : 4932.77



S.No. Parameter : Description

11.0 Cost of Production : 90% Capacity utilisation

(838125 MTPA)

100% Capacity utilisation

(930930 MTPA) (Rs. / MT) 16288 15432 12.0 Sale Price of Neem Coated

Urea (Rs. / MT) 17420

(corresponding to gas price of US $ 4.013/MMBtu)

13.0 Financial Analysis 13.1 Profitability (%) Return on Capital Return on Equity 1st Year 2nd Year 1st Year 2nd Year 11.90 13.97 15.25 22.32 13.2 Break Even –Point (%) Profit Cash 69.13 84.20 13.3 Pay Back Period (Years) 6.66 13.4 Post-tax IRR (%) 12.39

1.3 Environment Consideration

BVFCL Namrup which is located at a distance of about 70 km from Dibrugarh town,

does not fall in the list of 88 industrial clusters identified by Central Pollution Control

Board (CPCB) as critically polluted and for preparation of Comprehensive

Environmental Pollution Index (CEPI).

The area around fertilizer complex is surrounded by a number of Tea Estates, where the

activity is limited to non-polluting tea garden related activities. The area does not attract

any adverse comments for environmental components like Air, Noise, Water

Environments etc.

1.4 Need & Justification

The need and justification of the proposed project is summarized as under:

Through better and efficient utilization of natural resources like Natural Gas, urea

production will increase almost three fold and specific energy consumption will

come down to 5.0 Gcal/MT of urea only from the present level of average 12 – 17

Gcal/MT in the existing plants.

It will reduce overall gap between demand and supply in the country especially in

eastern, north-eastern regions.



Installation of new ammonia/urea plant at BVFCL-Namrup in Dibrugarh district

of Assam can be seen as a corrective step towards reducing the growing supply

gaps for fertilizer urea in eastern zone.

It will maintain stability in indigenous / domestic market for Urea.

It will check the import possibility of fertilizers to some extent and yield national

savings

It will generate employment opportunity for the people in the region.

It will ease the availability of fertilizers to farmers.

1.5 Conclusion

Thus, the proposal for installation of new ammonia/urea plant at BVFCL-Namrup,

Assam can be seen as a corrective step towards reducing the growing supply gaps for

urea in eastern zone, to minimize import dependency and fill the supply-gap. Indirectly,

by producing the fertilizer within the consumption region, it will lessen the pressure on

the long distance transport network as well as the transport cost involved in such long

distance movement between production units and the consuming points. There will be

reduction in the pollutant emission levels from BVFCL-Namrup with implementation of

new technology which consumes energy at the rate of 5.0 Gcal/Te of Urea.



2.0 INTRODUCTION

2.1 Background

Hindustan Fertilizer Corporation Limited (HFCL) was one of the oldest units set up in

the country with a vision of growth in fertilizer production for food security. HFCL

operated four units of fertilizer complex, two in the state of West Bengal namely Haldia

Unit & Durgapur Unit, third one Barauni Unit in the state of Bihar and fourth Namrup

Unit in Dibrugarh district in the state of Assam.

In Namrup Fertilizer Complex, project planning for Namrup - I group of plants started

in the middle of 1960 by Hindustan Chemicals and Fertilizers, which was merged, with

Fertilizer Corporation of India on 1st January 1961. Commercial production, however,

commenced from 1st January 1969 with annual capacity of only 55,000 MT of urea and

1,00,000 MT of Ammonium Sulphate. In view of the surplus Natural Gas available in

this area, Namrup-II and Namrup-III plants were set-up in 1976 and 1987 respectively.

Due to various reasons, all the units of HFCL including Namrup Unit continued to

make financial losses. The company became financially sick and was referred to Board

for Industrial and Financial Reconstruction (BIFR) in 1992. Subsequently, BIFR gave

its consent to wind up the company in the absence of any rehabilitation proposal. In

April 2002, the Namrup fertilizer complex was bifurcated from HFCL and renamed as

Brahmaputra Valley Fertilizer Corporation Limited (BVFCL) on 5th April 2002. In

December 2002, the Govt. of India approved the closure of all the three units of HFCL

excluding Namrup Unit.

2.2 Description of BVFCL Namrup

The Namrup Fertilizer Complex originally comprised of three separate units designated

as Namrup-I, Namrup-II and Namrup-III. The Raw material for all the three units is NG

both as feed stock and as fuel. Presently, only Namrup-II and Namrup-III are in

operation.

NAMRUP – I:

• 200 MTPD Ammonia Plant in two streams,

• 167 MTPD Urea Plant in two streams,



• 304 MTPD Ammonium Sulphate Plant in three streams,

• 250 MTPD Sulphuric Acid Plant in two streams,

Urea plant of 167 TPD capacity was merged with Urea Plant of Namrup-III and Urea

Plant of Namrup-I was scrapped in August 1987.

Sulphuric Acid Plant was converted to Double Conversion Double Absorption (DCDA)

for one of its streams. Ammonium Sulphate production was discontinued since June,

1992 as the condition of the plant had deteriorated considerably and also the civil

structure had become unsafe. Subsequently, the Sulphuric Acid plant was also closed

down. Except Ammonia- I, all three plants of Namrup- I was dismantled and sold as

scrap.

Namrup – II:

The main plants originally consist of 600 MTPD Ammonia in single stream and 1000

MTPD Urea laid out in two streams. The plant went into commercial production in

1976. The process used is steam reformation for Ammonia and total recycle process for

Urea.

Namrup – III:

The main plants originally consist of 600 MTPD Ammonia in single stream and 1167

MTPD Urea laid in single stream. The plants were commissioned in 1987. The process

used is steam reformation for Ammonia and total recycle process for Urea.

Installed capacity of Namrup- I, II and III at BVFCL is presented in the Table-2.

Table-2

Installed capacity of Namrup- I, II and III (MT)

Plant/Product Pre- Revamp Post-Revamp Original De-rated

Yearl Daily Yearly Daily Yearly Daily

Ammonia - II 19800 600 122400 371 147000 480

Ammonia - III 19800 600 198000 600 167400 558

Urea - II 33000 1000 190000 576 240000 800

Urea - III 38500 1167 330000 1000 270000 900



2.3 Present Status of BVFCL Plants

Namrup – II and Namrup – III plants, at present, are unable to reach the post revamp

targets of production and energy norms. The reason behind poor performance of

equipment/machinery is the non-availability of spare parts for the critical equipment

and machinery as many of the equipment manufacturers have stopped manufacturing of

these obsolete equipment. The energy consumption is high due to inherent problems of

the old technology used in these plants.

2.4 Financial Restructuring

In the year 2011, BVFCL engaged PDIL to evaluate and suggest the options for long

term viability of BVFCL Namrup. The study analyzed various options considering the

plant life and financial implications of the options and concluded that setting up a new

state-of-the-art plant based on available gas of 1.72 MMSCMD is the most viable

option for the long term viability of BVFCL.

Consequently, PDIL had prepared and submitted techno-economic feasibility report

(TEFR) for 8.646 LMTPA Urea Plant at BVFCL, Namrup (Namrup – IV) utilizing

existing usable assets of BVFCL. Based on this, a proposal for financial structuring of

BVFCL was prepared and submitted to Government of India (GoI).

GoI has approved the proposal of Financial Restructuring of BVFCL for setting up of a

new Ammonia Urea project with JV partners. According to which BVFCL, Oil India

Ltd and Assam State Govt. will be JV partners to the extent of 48% equity. The

remaining 52% equity will be allotted to a private / public entity through open bidding.

Accordingly, as directed by the GoI, BVFCL has decided to initiate action for selection

of JV Partner through a two stage competitive process to develop a gas based 8.646

LMTPA Urea plant for which domestic gas is already available under a long term

GSPA (Gas Sale Purchase Agreement) with M/s OIL.

2.5 Facilities available at old BVFCL Namrup & Considered for New Project

2.5.1 Land

The total land area in possession of BVFCL, Namrup is 349.603 hectare (Land under

Factory - 89.904 hectare & 259.699 hectare land used for other purpose). The above



land area under factory is inclusive of area for Double Lane Road from near-by market

junction to the factory.

2.6 Other Facilities

2.6.1 BVFCL has three gas based Ammonia - Urea group of plants namely Namrup-I,

Namrup-II and Namrup-III at Namrup, out of which Namrup-I plants have been

dismantled and disposed off long back except Ammonia Plant-I, which is now being

disposed off after receipt of Cabinet approval. Namrup-II & Namrup-III are operational

as on date. Besides ammonia-urea and utility plants, there are a large number of

buildings in factory and township area which are presented below:

Table-3

Plant and Facilities considered in the proposed complex (Namrup –IV)

SI. No. Plants & Facilities Provision Remark

1.0 Land & Land Development

1.1 Land Around 172 Hectare 1.2 Land Development As per requirement 2.0 Main Plants 2.1 Ammonia Plant 1500 MTPD New 2.2 Urea Plant 2620 MTPD New 3.0 NG Metering & Distribution Considered New 4.0 Product Storage & Handling

a] Empty Bag Storage Considered Existing b] Filled Bagged Storage 20000 MT Existing c] Urea Silo 35000 MT Existing d] Bagging Plant 4 x 60 TPH New e] Ammonia Storage 2×5000 MT New

5.0 Urea Transport System 5.1 i) Railway Wagon Loading Railway siding as per

requirement Existing

5.2 ii) Truck Loading Truck loading facilities provided

New

6.0 Power Generation & Supply 6.1 Power Generation GTG 1 x 15 MW

2 x 15 MW New Existing

6.2 Emergency D.G. Set 1 × 2000 kVA New 6.3 Substation for receiving Power

from State Grid Facilities considered New

6.4 Power distribution As per requirement for New



SI. No. Plants & Facilities Provision Remark

plants and facilities 7.0. Steam Generation Facilities

HRSG 1×100 MTPH 2 x 47 MTPH

New Existing

8.0 Water Supply Treatment & Distribution a) Water supply system Refurbishment of

Existing system Existing

b) Pre-treatment Plant Existing c) DM Water Plant (1+1)×100 m3/hr New d) Condensate Polishing Unit (2+1)×175 m3/hr New

9.0 Instrument Air Facilities (1+1)×3000 Nm3/hr 1 No. New & 1 No. existing

10.0 Inert gas generation Unit 600 Nm3/hr New 11.0 Cooling Tower

a) Ammonia Plant 18000 m3/hr New b)Urea Plant 10800 m3/hr New

12.0 Yard Piping Provided as per requirement

New

13.0 Effluent Treatment Facilities provided as per requirement

New

14.0 Sewage Treatment Facilities provided as per requirement

New

15.0 Safety & Fire Fighting System Facilities provided as per requirement

New

16.0 Auxiliary services, workshop equipment, laboratory equipment, weighbridge, fire engine, continuous monitoring system, NDT equipment, telephone & telecommunication, Public Address System, etc.

As per requirement New

17.0 General & Welfare Facilities Refurbishment as per requirement

Existing

18.0 Locomotive 1 x 1200 HP Diesel Locomotive 1 x Shunting Locomotive

Existing

19.0 Construction equipment As per requirement New 20.0 Township (around 360 quarters

of different type) Refurbishment as per requirement

Existing

21.0 Non-plant Buildings Refurbishment as per requirement

Existing/ New



2.6.2 Infrastructure Facilities

The other infrastructure facilities available with the existing plant premises include

administrative building, canteen, first aid, central stores and yard, workshops, telephone

exchange etc.

2.7 Connectivity of Gas and Water

BVFCL has a valid Gas Sales & Purchase Agreement (GSPA) with OIL for supply of

1.72 MMSCMD of natural gas upto 31.03.2022. Presently, the gas is used for Namrup –

II and Namrup – III plants. After the commissioning of Namrup –IV, the gas shall be

diverted to Namrup –IV plants. OIL has also committed to supply gas beyond that date.

Water of the existing plants is available from River Dilli. River Dilli flows along the

border between the districts Sivasagar and Dibrugarh and is close to Namrup fertilizer

complex as a source of water for industry and domestic use. After closure of Namrup –

II and Namrup – III plants, the available water of Dilli River shall be considered for

Namrup –IV plants.

2.8 Township

Around 360 quarters of different types along with other amenities that are located in

different sectors namely Sector-C(Partially), Sector-D and Sector- E of the existing

township at BVFCL, Namrup have been considered after refurbishment.



3.0 SITE ANALYSIS

3.1 Location of Project

BVFCL Namrup fertilizer complex is located on the bank of the river Dilli in Joypur

mauza of Naharkatia tehsil of Dibrugarh district in the state of Assam.

The proposed Namrup-IV project shall be established within the existing premises of

BVFCL on about 172 Ha of available land.

Dibrugarh is a city and. Dibrugarh City, which is the headquarters of Dibrugarh district

is located at a distance of about 70km from BVFCL. Dibrugarh district is surrounded by

Dhemaji district and a part of Lakhimpur district in the north, part of Sivasagar district

and Arunachal Pradesh in the south, Tinsukia district in the East and Sivasagar district

in the West. The river Brahmaputra flows throughout the North Western boundary of

the district. The Dibrugarh district is a plain district of Assam with gradual slop from

the East Arunachal hills to the West.

3.1.1 Co-ordinates of the project

The Geo co-ordinates of Namrup fertilizer complex is at Latitude27º10'41.86" N and

Longitude 95º21'12.34" E at an elevation of 128 m above MSL.

3.2 Details of Alternate Site

The choice for selection of alternate site is not open as the proposed new Ammonia /

Urea Plants of Namrup-IV shall be installed within plant premises of old existing

BVFCL-Namrup fertilizer complex. The project shall be centrally located within the

battery limit of the complex.

3.3 Size & Magnitude

The proposed Namrup-IV fertilizer project will include the following units.

• Single Stream Ammonia plant with a nominal capacity of 1500 MTPD

• Single Stream Urea plant with a nominal capacity of 2620 MTPD

• Urea bagging and loading facilities etc.



• All offsite & Utilities (Power, steam, water, inert gas, instrument air, effluent treatment, cooling tower, safety/fire fighting, Gas Metering and refurbishment of Non-Plant building facilities).

• The project shall be implemented within existing BVFCL-Namrup fertilizer complex premises on 172 Ha of land under the ownership of BVFCL.



4.0 PROJECT DESCRIPTION

4.1 Proposed Land for Namrup-IV Project

About 172 Hectare of land has been considered for the proposed project. Most of the

area of the proposed site is presently occupied by existing plants and facilities. The

plants and facilities which are not considered usable for Namrup - IV shall be

demolished before execution of the plants (except Namrup-II & III which will be

demolished after commissioning of Namrup-IV). Total area considered for Namrup – IV

consists of the following:

Table-4

Details of land for proposed Namrup-IV Project

Factory Land Area, including Double Lane Road from the near-by market junction to the factory

89.904 Hectares

Township Area Sector-C (Partially), D & E 57.932 Hectares Area under other Amenities of Township Sector-A, B, & F 12.740 Hectares Area under railway siding 11.470 Hectares Total 172.046 Hectares

All the existing infrastructure facilities lying in the identified area but not considered for

Namrup - IV, shall be demolished.

4.2 Land Development

Activities related to development of land like cutting, filling, levelling, etc. at the

proposed project site has to be done as per requirement. Land development has to be

carried out along with construction of roads, culverts, drains, sewers, etc. for proposed

plants area according to the layout.

4.3 Project Facilities

The proposed project would consist of ammonia plant of 1500 MTPD capacity and urea

plant of 2620 MTPD capacity. To support the smooth and uninterrupted operation of

these plants, various offsite and utility facilities have been considered. The requirements

for these facilities have been estimated considering Haldor Topsoe process for Ania

production and Saipem process for Urea production. Apart from supply of utilities,



offsite facilities like storages, effluent treatment, etc. have also been considered as per

requirement. Item wise main plant and facilities considered and their estimated

capacities are listed below:

Table- 5

Plant and Facilities considered in the proposed complex (Namrup –IV)

Sl. No. Plants & Facilities Provision Remark

1.0 Land & Land Development

1.1 Land Around 172 Hectare 1.2 Land Development As per requirement 2.0 Main Plants 2.1 Ammonia Plant 1500 MTPD New 2.2 Urea Plant 2620 MTPD New 3.0 Natural Gas Metering & Distribution Considered New 4.0 Product Storage & Handling a] Empty Bag Storage Existing Existing b] Filled Bagged Storage 20000 MT Existing c] Urea Silo 35000 MT Existing d] Bagging Plant 4 x 60 TPH New e] Ammonia Storage 2×5000 MT New 5.0 Urea Transport System 5.1 Railway Wagon Loading Railway siding as per

requirement Existing

5.2 Truck Loading Truck loading facilities provided

New

6.0 Power Generation & Supply 6.1 Power Generation GTG 1 x 15 MW

2 x 15 MW New Existing

6.2 Emergency D.G. Set 1 × 2000 kVA New 6.3 Substation for receiving Power from

State Grid Facilities considered New

6.4 Power distribution As per requirement for plants and facilities

New

7.0. Steam Generation Facilities HRSG 1×100 MTPH

2 x 47 MTPH New Existing

8.0 Water Supply Treatment & Distribution a) Water supply system Refurbishment of

Existing system Existing

b) Pre-treatment Plant Existing c) DM Water Plant (1+1)×100 m3/hr New d) Condensate Polishing Unit (2+1)×175 m3/hr New 9.0 Instrument Air Facilities (1+1)×3000 Nm3/hr 1 No. New



Sl. No. Plants & Facilities Provision Remark

& 1 No. existing

10.0 Inert gas generation Unit 600 Nm3/hr New

11.0 Cooling Tower

a) Ammonia Plant 18000 m3/hr New b)Urea Plant 10800 m3/hr New 12.0 Yard Piping Provided as per

requirement New

13.0 Effluent Treatment Facilities provided as per requirement

New

14.0 Sewage Treatment Facilities provided as per requirement

New

15.0 Safety & Fire Fighting System Facilities provided as per requirement

New

16.0 Auxiliary services, workshop equipment, laboratory equipment, weighbridge, fire engine, continuous monitoring system, NDT equipment, telephone & telecommunication, Public Address System, etc.

As per requirement New

17.0 General & Welfare Facilities Refurbishment as per requirement

Existing

18.0 Locomotive 1 x 1200 HP Diesel Locomotive 1 x Shunting Locomotive

Existing

19.0 Construction equipment As per requirement New 20.0 Township (around 360 quarters of

different type) Refurbishment as per requirement

Existing

21.0 Non-plant Buildings Refurbishment as per requirement

Existing / New

4.5 Description of Project

Type of Project

The proposed project is an independent project and not interlinked with any other

project. Implementation of new technology which consumes about 5.0 Gcal/Te of Urea

shall facilitate low emission from proposed ammonia / urea plants. It will recover

maximum energy due to implementation of new technology.



The proposed project is based on recent Best Available Technology (BAT) with an aim

to reduce the energy consumption per tonne of production by adopting the modern

proven, fail-safe technology.

Ammonia Plant

The Ammonia Plant will be in single stream having capacity of 1500 MTPD capable to

produce 1615 MTPD ammonia. The plant will be designed to use natural gas as feed

and fuel. The Ammonia Plant will be self-sufficient in steam and shall export the high

pressure steam requirement of urea plant as well.

Urea Plant

The Urea plant will be laid out in single stream having capacity of 2620 MTPD capable

to produce 2831 MTPD as prilled (Neem coated) urea. High-pressure steam imported

from the Ammonia Plant will be used to drive the CO2 Compressor with extraction

arrangement for meeting the process requirements.

Urea Storage, Handling and Bagging

For proposed project, provision has been kept for 20000 MT bagged storage equivalent

to about 7 days production capacity. Modern and automatic system has been conceived

for bagging and loading of product into railway wagons/trucks. The system broadly

consists of lifting of empty bags from the sack magazine, placement of empty bags on

the bag holder, stitching of filled bags and flattening of filled bags on subsequent flat

belt conveyor and loading of filled bags into rail wagons/trucks. This Urea Product

handling system shall be automatic to the extent so as to involve very little manual

labour.

Ammonia Storage and Handling

The provision of two numbers of 5000 MT atmospheric ammonia storage along with

refrigeration system, pumps etc. has been made for the proposed Project.



Cooling Towers

Induced draft type cooling towers separately for Ammonia plant & Urea Plant along

with pumps, side stream filters etc. would be provided. Ammonia plant Cooling Tower

shall also meet the Cooling Water requirement of CPP and Utilities. Ammonia & urea

plant cooling towers will have six (5+1) cells each of 3600 m3/hr and four (3+1) cells

each of 3600 m3/hr respectively, to meet the normal circulation requirement. Three

(2+1) nos. of cooling water pumps (all motor driven) shall be separately provided for

both Ammonia and Urea plants.

Treated filter water shall be used as make up water from Water Treatment Plant for

taking care of the evaporation, drift and blow down losses. Chemical dosing system

including corrosion inhibitor, scale inhibitor; pH control and biocides shall be installed.

The concentration cycle of cooling water chemistry shall be maintained by control of

blow down.Blow down water shall be sent to Effluent treatment plant for further

treatment. Side stream filter shall be provided to remove the suspended solids in

circulating cooling water.

Power Generation and Supply

The normal power requirement for the proposed project is envisaged to be met by

captive power plant. Provision of natural gas based gas turbo generator set of 15 MW

capacity has been kept to ensure uninterrupted power supply to the plant. The exhaust

gas from the gas turbine and supplementary firing, if required, in HRSG boiler shall be

utilized for generating HP steam. For start-up purposes, steam will be made available by

firing natural gas in the HRSG boiler. Power shall be generated at 11 KV and

distributed to all Plant / Process substations at 11 KV. Secondary distribution from the

Plant substations shall be at 6.6 KV / 415 V. In addition, provision for grid power

supply to the extent required has been envisaged to meet the necessary power

requirement in the event of captive Power plant being out for maintenance. Emergency

diesel generator set of 2000 kVA has been kept for running critical equipment during

total power failure.



Steam Generation

This requirement of steam for urea plant would be met by surplus steam from ammonia

plant. HRSG boiler of Gas Turbines of CPP would take care of steam required in

shutdown/emergency. In CPP, provision has been made for supplementary and

additional firing vide HRSG and this boiler can operate independently even if Gas

Turbines are not running.

Water Supply, Treatment and Distribution

River Water shall be drawn from Dilli River near the existing barrage to meet the

overall water requirement of Fertilizer complex. Suitable raw water pump house and

piping presently available for Namrup – III has been considered for the proposed

project. Raw water shall be supplied through underground pipelines up to Raw Water

Reservoir in the plant. There will be facilities for, raw water pre-treatment, DM water

treatment, Condensate polishing unit, etc.

Water Treatment Plant consists of conventional type Clarifiers, Gravity Sand Filters and

Filtered Water storage. Conventional type Clarifiers shall reduce raw water turbidity.

Further filtration of water shall be done through Gravity Sand Filters to reduce the

suspended solids. All necessary systems for Filter Back Wash, Sludge Disposal, etc.

shall be developed in WTP area. Filtered water shall be stored in closed reservoir

appropriately sized to meet normal requirement.

Table-6

Water Input Qty. (m3/hr) Water Output Qty. (m3/hr) Raw Water 862 Treated Water 762 Losses during treatment - Clarifier Blow-down

78 - Filter back-wash - Leakages etc.

Total 862 Total 862

Demineralized Water plant (DMP) shall be installed to meet DM Water requirement. It

shall also consist of DMW storage tank to meet Polished Water (PW) requirement of

Captive Power Plant and Ammonia Plant during start up. In normal operation the Polish

Water requirement will be met by the Steam, Turbine and Process Condensate returns



from Ammonia / Urea plants. This plant also consists of Condensate Polishing Units

(CPU) to treat various process condensates received from Ammonia and Urea plants.

Treated Water Distribution Chart

Important Water Losses

Treated Water 784 m3/hr

Ammonia CT Make-up 379 m3/hr

DM Feed 45 m3/hr

Urea CT Make-up 260 m3/hr

Misc. 100 m3/hr

Cooling Tower Evaporation & Windage Loss:

576 m3/hr

Cooling Tower Blow-down:

63m3/hr

DM Plant Effluent: 8m3/hr

Unavoidable

Losses: 37m3/hr



Instrument Air Facilities

The normal instrument air requirement for the Plant will be met from the Process Air

Compressor. However, as instrument air is very essential for process control instruments,

(1+1) Centrifugal Air Compressors each having a capacity of 3000 Nm3/hr along with air

dryer and receiver units have been provided for the Project.

Fire Fighting System

Fire-fighting system including firewater storage, pumps etc. shall be provided which will

be adequate to meet the requirement of proposed plant. Provision has been made for

firewater ring and other fire & safety equipment including fire tenders.

Effluent Treatment

Waste water treatment plant shall be installed to receive, treat and dispose liquid effluents

generated in the complex. Cooling tower blow down water and DM plant neutralized

effluent shall be diverted to waste water treatment plant for necessary treatment and pH

adjustment. During monsoon the rain water shall be discharged through storm water

drainage system.

The treated effluent water shall meet the applicable qualitative limits of parameters

stipulated in prevailing Minimal National Standards (MINAS) for Fertilizer Industry.

The sludge generated from raw water treatment and effluent treatment shall be decanted /

centrifuged and used as manure in marked green belt area.

Auxiliary & General Welfare Facilities

The following facilities have been considered under this head.

• Fire and Safety • Smoke detection system • Workshop Equipment • Communication System • NDT Equipment • Laboratory Equipment including Lab Chemicals • Weigh Bridges • Public address system



• Computers & Software • Pollution Monitoring System • Furniture & Fittings • Office, Canteen, First Aid etc. Equipment

Railway Siding and Transport

Provision for critical mobile machines / facilities such as Battery operated trolleys in

work-shops and Bagging plant and ambulance in medical unit has been provided for the

Project. Parking area for truck movement within the complex has also been provided.

Refurbishment of the existing railway siding (about 13.5 km) has been considered.

Construction Facilities

The following facilities have been considered under this head.

• 400 te Crane (1 no.)

• 75 te Crane (2 nos.)

• 30 te Crane (2 nos.)

• 12.5 te Tyre mounted Crane (4 nos.)

• 5 te Tyre mounted Crane (4 nos.)

• Tractor with Trailer (6 nos.)

• Fork Lift (8 nos.)

• Bull Dozer (3 nos.)

• Fire Tenders (3 nos.)

• Tools and Tackles

• Hutments &Shelters

• Shed yards

• Fencing



4.6 RAW MATERIAL & UTILITIES

4.6.1 Raw Material & Utility Consumption

The hourly raw material and utilities consumption norms for 1500 MTPD ammonia

and 2620 MTPD urea plants are summarized below:

Table-7

Hourly Raw material and utility consumption norms for production of 1500 MTPD Ammonia & 2620 MTPD Urea

Sl. No. Inputs Unit Consumption norms

1. Raw Material - Natural Gas Sm3/hr 60341 2. Utilities - Natural Gas Sm3/hr 6224 - Raw Water m3/hr 862

4.6.2 Availability of Raw Material & Utility

4.6.2.1 Natural Gas

Natural Gas is considered to be used for both feed and fuel in ammonia plant and also

in captive power plant (CPP) consisting of Gas turbine Generator and HRSG. The total

requirement of natural gas (LHV- 8200 kcal/Sm3) for the proposed project (at 100%

capacity utilisation) would be about 1.59 MMSCMD. BVFCL has an agreement with

OIL for supply of 1.72 MMSCMD of Natural Gas which would be sufficient to

produce 1615 MTPD ammonia and 2821 MTPD urea.

4.6.2.2 Water

The source of water for the Namrup plants is the nearby Dilli River. Presently BVFCL

has adequate arrangement to cater to the need of water requirement for Namrup – IV

project. Total requirement of raw water for the proposed project has been estimated at

around 862 m3/hr at rated capacity.



4.6.2.3 Power

The total requirement of power for the proposed Namrup – IV complex including

township would be about 11 MW at rated capacity. This would be met by captive

generation. Emergency power shall be supplied by a newly installed 2000 kVA D.G.

set.

4.6.2.4 Steam

The total steam requirement of Ammonia and Urea plants will be met by steam

generated in Waste Heat Boilers in Ammonia plants and Heat Recovery Steam

Generation Unit of Captive Power Plant.

4.7 Process Technologies

Urea is commercially produced as part of an integrated facility consisting of ammonia

and urea plants. The steam reforming of natural gas leads to production of ammonia

and carbon dioxide. Urea is produced by reaction of ammonia and carbon dioxide at

elevated pressure via formation of intermediate ammonium carbamate.

4.7.1 Ammonia Plant

Production Process

The ammonia production process has the following major steps:

- Hydrogen production (usually by reforming of natural gas or partial oxidation of heavier hydrocarbon feedstocks including coal)

- Synthesis gas purification (including CO2 removal)

- Ammonia synthesis, refrigeration and purging of inerts

Air is the ultimate source of nitrogen, and methane or heavier hydrocarbons are usually the main source of hydrogen. Of the hydrogen feedstock sources - natural gas, coal, and petroleum fractions – natural gas is the most often employed in commercial ammonia plants, with coal derived synthesis gas making up the majority of the remainder.



A typical ammonia system will consist of the following steps:

• Desulphurization – Natural gas contains large percentage of methane alongwith ethane, propane, butane, pentane, carbon-di-oxide, nitrogen & sulphur compounds. Small quantities of sulphur compounds in the gas are removed by passing the gas through desulphurisation unit.

• Reforming – Sulphur free gas is then mixed with steam and sent to Primary Reformer where reforming reaction takes place in the presence of catalyst & produces a gaseous mixture of hydrogen, carbon monoxide & carbon-di-oxide. Further reforming takes place in the Secondary Reformer where air is added to furnish the nitrogen required for Ammonia synthesis.

• Shift Conversion – Hot reformed gases from Secondary Reformer are cooled by heat recovery in waste heat boiler and introduced in the shift converters where most of carbon monoxide gets converted to carbon-di-oxide.

• CO2 Removal -Carbon-di-oxide from the gaseous mixture is separated in the CO2 Absorber using 2- stage GV process and sent to Urea Plant.

• Methanation - Residual oxides of carbon in the synthesis gas leaving Absorber are converted to methane in the Methanator.

• Ammonia Synthesis –. Pure synthesis gas from Methanator is compressed and sent to Ammonia convertors where Ammonia is formed. Ammonia product obtained is sent to urea plant for the production of Urea.

Technology Suppliers

The most prominent ammonia process technology suppliers at present are as follows:

o Haldor Topsoe (HTAS), Denmark

o Kellogg Brown & Root (KBR), USA

o Uhde, Germany



4.7.2 Urea Plant

Production Process

The urea production process consists of five process steps:

• Synthesis - Ammonia and carbon dioxide are synthesised to form ammonium carbamate, which in turn is partly dehydrated to urea.

• Decomposition - The unconverted ammonium carbamate is decomposed back to ammonia and carbon dioxide.

• Recovery - ammonia and carbon dioxide gases released from the decomposition step are scrubbed out with water, cooled and usually totally or partly recycled to the synthesis section.

• Concentration– The excess water is removed to produce molten urea. Usually, evaporation is used to produce fertilizer grade urea, whereas crystallization is used to produce technical grade urea.

• Finishing – The highly concentrated urea solution from the concentrators is processed either through a prilling tower or urea granulator to produce urea.

Process Licensors

The current global leading licensors of urea technology are as follows:

- Stamicarbon, Netherlands

- Saipem, Italy

- Toyo Engineering Corporation (TEC), Japan

Stamicarbon and Saipem have been market leaders in terms of installed capacity with approximately 90 per cent of the total.

There is no major variation in plant cost and energy consumption levels and the selection of a particular process shall be based on competitiveness in that particular project or comfort level of the project owner based on his past experience and expertise achieved in operating similar technology based plants.

For the proposed project Haldor Topsoe and Saipem Technologies has been considered for Ammonia and Urea respectively.



5.0 NEED OF THE PROJECT

Urea is the major source of nitrogenous fertilizers in our country. There has always been considerable gap between demand and production of urea. The gap which was about 12 x 105 MT in 1990-91 sharply increased to 62 x 105 MT in 2010-11. The deficit level of about 70 x 105 MT has been projected in the year 2019-20 and about 104.26 x 105 MT has been projected by 2020-21.

5.1 Production and Consumption Trends

Though the level of fertilizer consumption in the country has all along been very low, the

indigenous production of urea in India has always been lagging behind the consumption

requirement except for the year 2000-01.

Table-8 Gaps between Consumption & Production of Urea

(‘000 tonnes of material) Year Consumption Production Gap % of Gap to

Consumption 1990-91 140.77 128.36 (-)12.41 8.82 2000-01 191.86 196.24 (+) 4.47 2.28 2010-11 281.12 218.73 (-)62.39 22.20 2011-12 295.65 219.92 (-)73.73 25.60 2012-13 300.02 225.87 (-)74.15 24.70 2013-14 306.00 227.10 (-)78.81 25.80 2014-15 306.10 225.93 (-) 80.17 26.20 (-) deficit (+) surplus

It may be seen from the above table that gap increased from 12.41 Lakh MT in 1990-91

to 62.39 Lakh MT in 2010-11 and to 80.17 Lakh MT in 2014-15. Surplus availability of

urea in the year 2000-01 has been due to decline in consumption on one hand and

excess domestic availability particularly in view of high opening stock on the other.

5.2 Future Supply Estimates

5.2.1 Indigenous Existing Supply

To meet the domestic demand for urea, production from the existing units in the country

stood at 227.18 Lakh MT during 2013-14, an increase of 1.32 Lakh MT over 2012-13.

Almost 21 plants operated above 100% capacity utilization. It is likely that the same

trend shall be continued in the near future.



5.2.2 Additional Capacity

Around 12.70 lakh tonnes of additional capacities through green field project by Matix

Fertilizers & Chemicals at Panagarh (West Bengal) is under implementation and

commercial production is likely to start in 2016-17.

5.3 Projected Demand-Supply Gap

The following Table-9 gives scenario of the demand-supply gaps that are likely to

emerge in 2019-20 and 2020-21.

Table-9 Projected Demand Supply Gap for Urea in India

(Lakh MT) Item 2019-20 2020-21 Demand Estimates 353.07 360.64

Supply Estimates • Plants under Operation 227.18 227.18 • Matix Fertilizer & Chemicals 12.70 12.70 • Import from OMIFCO 16.50 16.50 Total Supply 256.38 256.38 Demand-Supply Gap 96.69 104.26

There is almost 4-5 lakh tones of urea demand per annum for manufacturing of complex

fertilizers and for exports to neighbouring countries like Nepal, Myanmar etc. This will

increase the projected deficit level of urea further.

The projected deficit level of about 104.26 lakh tonnes of urea by 2020-21 is based on

certain assumptions on the demand as well as supply side. On the supply side, a critical

assumption is that the existing installed capacity is not only retained in good working

condition but is also able to maintain the high capacity utilization levels. As much as 15

lakh tonnes of urea capacity is from plants based on costlier feedstock such as naphtha.

It would call for change over of feedstock, if the Country were to continue to have this

much capacity available for production. Even the gas based plants commissioned in

1980’s and thereafter would call for timely revamping and retrofitting to ensure that

they are able to maintain present operating rates and low energy consumption.



5.4 Import of Urea

The quantity of urea available for international trade is limited. The analysis of past 15

years data reveal that increase and decrease in the world export supply or import

demand by 10 million MT has led to violent fluctuation in the prices from US$ 70 to

US$ 800 per MT of urea. This variation in prices is basically due to changes in the

output by either ‘low cost exporters’ or ‘swing producers’ which accounts for about 6

million MT of world trade. Low cost producers are export oriented facilities based on

low cost gas. Swing producers are primarily domestic suppliers who either (i) enter the

export market when prices are high even ignoring domestic supplies, or (ii) stop even

domestic supplies when prices are low. Manufacturers in free markets like USA fall

under this category.

When the demand is strong, it is the demand-supply balance which would determine the

price level that the market can sustain at that particular point of time. It has no relation

to manufacturing costs. When market is weak, it is the cost profiles of the producers and

more specifically their cash costs which determine the price levels. Low cost exporters

do not normally reduce their export volumes and prefer to minimize sales volumes even

when prices are dropping so long as they recover their cash costs. Generally, swing

producers have higher manufacturing costs and they would start existing the market as

prices drop, thereby reducing exports to balance the reduction in import demand and

maintain prices.

It is apparent that urea is a strategic commodity and capacity of international market is

rather limited to meet significant increases in demand. An additional demand of even 1-

2 million MT would cause serious imbalance and prices would shoot up. Higher levels

of demand could result in a situation when urea would not be available in spot markets

at any price. Therefore it would not be prudent to depend on imports for more than 5-6

lakh MT of urea. This, in other words, means that the country shall be required to have

in place additional domestic capacity of urea for indigenous consumption and to make

the country export hub for urea.



5.5 Demand Projections for Urea

All-India demand forecast of fertilizer nutrients and product urea during 12th Plan &

onwards as projected in the Report of the Working Group on Fertilizer Industry for the

Twelfth Plan (2012-13 to 2016-17) based on Population Nutrition Method are presented

below in Table-10. In the population nutrition method, fertilizer nutrients demand has been

projected by using the projections of population and per capita need for food grains.

Table-10 Demand Projections for Fertilizer

( Lakh MT) Year Fertilizer Nutrients Demand Urea Demand

N P K Total 2016-17 198.61 95.17 41.38 335.16 336.77 2017-18 201.65 98.68 42.90 343.23 337.54 2018-19 206.32 100.96 43.90 351.18 345.36 2019-20 210.92 103.22 44.88 359.02 353.07 2020-21 215.45 105.43 45.84 366.72 360.64 2024-25 230.60 115.30 50.13 396.03 380.99

To ensure uninterrupted supply in the eventuality of break down and unforeseen

demand, buffer stock up to a limit of 5% of the seasonal requirement is to be

maintained. Also, taking into consideration 10% of the supply in the pipeline, projected

production capacity should be 15% above the projected demand of Urea as indicated in

Table above. Thus, the Projected Production Capacity for Urea in the terminal year of

12th Plan should be around 400 Lakh MT.



6.0 Environmental Status

BVFCI - Namrup which is located at a distance 70 kms from Dibrugarh, does not fall in

the list of 88 industrial clusters identified for preparation of Comprehensive

Environmental Pollution Index (CEPI).

The plant premises are surrounded by a number of tea gardens where important

industrial activity is limited to production of tea. From environment point of view the

area does not attract any adverse comment. Namrup-IV project shall be based on

recently developed reliable and reproducible Best Available Technology (BAT) which

is envisaged to produce lowest concentration of pollutants.

6.1 Prevention & Control of Pollution

Prevention & Control of Pollution for the proposed project is described below:

Gaseous Emissions

(a) From Combustion of Fuel

Fuel used in the proposed project is Natural gas. Hence, almost negligible concentration

of SO2 emission is anticipated. Low NOx burners will be installed to reduce emission of

NOx.

(b) From Production Processes

Urea dust (less than 50 mg/m3) and ammonia gas (less than 150 mg/m3) are the

emissions from urea prilling tower. All these pollutants shall be discharged from

effective height for proper dilution and uniform distribution in the surrounding

environment.

Flare and vent stacks of adequate height shall be provided in the Ammonia and Urea

Plants.

Material Handling

To control the emissions in the bagging plant where urea is handled, the plant shall be

provided with de-dusting system. Dust from various points will be collected and sent to

urea plant where it will be dissolved in urea solutions and reprocessed in urea plant.



6.2 Liquid Effluents

Pollutants that can contaminate the land and water shall be treated within the complex.

- Ammonia plant process condensate will be treated in the ammonia plant process

condensate stripper and recycled to the process as boiler feed water (BFW).

- Urea plant process condensate shall be treated in urea plant (hydrolyser stripper)

and recycled to the process as BFW.

- Cooling tower and DM plant effluent shall be treated in Effluent Treatment Plant

(ETP) and the treated effluent shall be used for green belt development, to the

extent possible.

- Domestic effluent after treatment in the Sewage Treatment Plant (STP) shall be

used for green belt development, to the extent possible.

Namrup-IV project shall be based on “Zero Discharge” of effluent. The treated effluent

from STP and ETP will be reused in gardening of green belt areas and floor washing of

the plants.

6.3 Solid Waste

Hazardous waste generated in the plants such as Spent Catalyst, used Oil etc. shall be

sold to authorized vendors as per Hazardous Waste Management Rules in consultation

with CPCB and SPCB.



7.0 Employment Generation

It is envisaged that the proposed project would generate sufficient employment

opportunity during construction phase as well as operation basis. For carrying out

construction related activities, it is envisaged to engage skilled, semi-skilled and

unskilled workers from local area to the maximum extent.

7.1 Manpower Requirement

Based on the organizational pattern followed in the existing fertilizer plants, it is

envisaged that, the total number of personnel required for operating in different plants

and establishments during normal operation in three shifts and at full rated capacity

would be about 548 directly employed & 1500 indirectly employed. The breakup of

direct employment is given in Table-11.

Table- 11

Man Power Requirement

Sl. No.

Particulars No. of Personnel

1. Corporate Office for CMD and Directors 010 2. GM incl. Secretariat staff 008 3. Operation Staff (Main Plant & Bagging) 200 4. Maintenance staff 150 5. Technical Services incl. HSE & Chemical Laboratory 040 6. Material Management 025 7. Finance & Accounts 015 8. Personnel & Administration 020 9. Marketing 020 10. Rail transportation with own locos 015 11. Fire Service (3 shift operation of 1+1 Fire Tenders) 035 12. IT Dept. 010

Total 548



8.0 rEHABILITATION & rESETTLEMENT pLAN

The BVFCL fertilizer complex is spread over an area of about 349 Ha of land. The total

area of land is under the administrative possession of BVFCL. The proposed new

fertilizer project including residential township shall be implemented on 172 Ha of land

out of the total available premises of existing BVFCL. Hence, any planning with

respect to rehabilitation & resettlement is not applicable.

9.0 Project Schedule & Cost Estimates

9.1 Project Schedule

The date of start of construction shall be after grant of Environmental Clearance (EC)

from MoEF&CC. The project is scheduled to be completed within 36 months from Zero

Date.

9.2 Cost Estimates

The project capital cost of the proposed new1500 MTPD of ammonia plant and 2620

MTPD of urea plant along with associated offsite & utility facilities, as per the scope is

estimated at Rs. 4932.77 Crores. Details of the estimated capital requirement are as

under:

Table-12 Estimated Project Capital Cost

(Rs Lakhs) Sl. No. Item FC IC Total 1.0 Ammonia Plant 74917 128890 203807 2.0 Urea Plant 33140 40652 73792 3.0 Off-site facilities 7020 85129 92149 4.0 Project Management Charges 402 8560 8962 5.0 Engineering Fees 12946 17335 30281 6.0 Non-plant Buildings 0 4026 4026 7.0 Township Renovation 0 369 369 8.0 Land Development Incl.

Dismantling of Existing Facilities 0 3412 3412*

9.0 Asset Value of BVFCL Namrup 0 25918 25918 10.0 Working Capital Margin 0 5176 5176 11.0 Contingency 6421 14419 20840 12.0 Net Commissioning Expenses 0 2000 2000 13.0 Interest during Construction 0 22545 22545

Total Project Cost 134846 358431 493277



*while estimating the Dismantling cost, credit for waste materials has been taken into consideration.

Note: FC - Foreign Currency, IC- Indian Currency

9.2.2 Cost of Production

The cost of production for neem coated urea from the proposed project is worked out as

Rs.15,432 per MT at rated capacity.

9.2.3 Financial Indicators

The financial indicators for the proposed project at NG price of US $4.013/MMBTU are

as under:

Table-13 Financial Indicators

Urea Plant Capacity MTPD 2620

Project IRR (Post-Tax) % 12.39

Equity IRR % 15.25

Cash-Breakeven % 84.20

Payback Years 6.66



10.0 Analysis of Proposal

Final analysis of proposed Namrup-IV project is briefed as under:

a) The installation of new Ammonia and Urea Plants of BVFCL will narrow the gap

between demand and supply of Urea in north-eastern as well as eastern zone of

India.

b) The area around BVFCL Namrup fertilizer complex has never been identified as

“CRITICALLY POLLUTED AREA/ ZONE” by CPCB. Hence, from

environmental point of view, the site is well suitable for establishment of

proposed Ammonia/ Urea Plants at Namrup.

c) The implementation of recently developed Best Available Technology (BAT)

which is a reliable and reproducible in different environment throughout the

globe, will reduce the energy consumption of urea as 5.0 Gcal/Te for production

of urea.

11.0 Conclusion

Thus, the proposal for setting-up of Brown field ammonia urea project–in JV at

Namrup can be seen as a corrective step towards reducing the growing supply gaps for

fertilizer urea in eastern & north-eastern zone and to minimize import dependency to

fill the demand-supply gap. There will be reduction in the emission levels with

adoption of new technology which consumes approximately 5.0 Gcal/Te of Urea.



PLATE-1

Location of BVFCL Namrup Fertilizer Complex in Google Earth



PLATE-2 Location of BVFCL Namrup in Geographical Map



PLATE-3

BLOCK DIAGRAM OF PROCESS OF PROPOSED AMMONIA PLANT



PLATE-4

BLOCK DIAGRAM OF PROCESS OF PROPOSED UREA PLANT`



PLATE-5

LAYOUT PLAN



PLATE-6

RAW MATERIAL & UTILITY BALANCE DIAGRAM

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