Equipment and machineries to be replaced and overhauled
The Cabinet Committee on Economic Affairs (CCEA) has approved proposal of the Department of Fertilizers for Grant-in-aid of Rs.100 crore to Brahmaputra Valley Fertilizers Corporation Limited (BVFCL), Namrup in Assam to sustain operations of urea manufacturing units.
Despite being the first gas based urea manufacturing unit in India and having all the infrastructure and feedstock availability, it has been difficult to maintain reasonable production level from the existing units in a cost effective manner because of their old and obsolete technology, said the Ministry of Chemicals and Fertilizers on receiving the approval on 10 Feb 2021.
In order to ensure the safe, sustainable and economic operation of the plants, certain equipment and machineries need to be replaced and overhauled.
The minimum functional repair to be undertaken for smoother operation of the plants with procurement of mechanical, electrical, instrumentation and catalyst items among others shall attract an estimated expenditure of Rs.100 crores and therefore, the Government approved Grant in Aid of Rs.100 crores to BVFCL.
The grant in aid of Rs.100 crore to BVFCL will restore the urea production capacity of 3.90 lakh MT per annum and ensure timely availability of Urea to Tea Industry & Farming Sector in the entire North Eastern region specially Assam.
BVFCL, Namrup is a Public Sector Undertaking formed as per Companies Act, under the administrative control of the Department of Fertilizers (DoF).
At present, the company is operating its two vintage plants viz. Namrup-ll and Namrup-lll in the premises of BVFCL in Namrup. #banking #funding #investment #project #upgrade /fiinews.com
