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Adani Group signed Rs. 25000 crore MoU with the Chhattisgarh government for coal gasification projects

Adani Group signed Rs. 25000 crore MoU with the Chhattisgarh government for coal gasification projects
Smallbusiness2 min read

Adani Enterprises, the flagship firm of Adani Group, signed Rs. 25,000 crore MoU with the Chhattisgarh government for setting up urea and power project as well as rice bran oil extraction plant in the state.

"Adani Group today signed a MoU with the government of Chhattisgarh to develop two critical projects in the state. The project cost for both the projects is estimated to be around Rs 25,200 crore", the Gautam Adani-led group said in a statement.

The two projects comprise of a coal to poly-generation (CTP) project and a rice bran solvent extraction plant and refinery, it added.

A poly-generation plant is one that simultaneously produces two or more marketable products.

The Memorandum of Understanding (MoU) was signed today between Chhattisgarh Industry Secretary Subodh Kumar Singh on behalf of the state and Rajesh Jha and K S Varshney from the Adani Group, the statement said.

The MoU was signed in the presence of Chhattisgarh Chief Minister Raman Singh, Industry Minister Amar Agrawal, Chief Secretary Vivek Dhandh and Adani Enterprises Managing Director Rajesh Adani, it added.

The first project to be set up is a CTP project that includes an Ammonia/Urea and Substitute Natural Gas (SNG) complex via gasification of Indian high ash coal sourced from within the state, it said.

The project cost is estimated to be over Rs 25,000 crore and includes coal to urea, coal to SNG plant as well as coal-based thermal power plant. It has a potential to generate 5,000 jobs in Chhattisgarh, it added.

The proposed CTP project of Adani Enterprises is being set up for the first time in India, based on coal to synthetic energy, Adani Group said.

The second project comprises of setting up a rice bran solvent extraction plant and a physical refinery packing plant at Rajnandgaon district in Chhattisgarh.

The project cost is estimated to be around Rs 200 crore and has the potential to generate more than 600 jobs in the state.

Adani Enterprises shares today breached the lower circuit at Rs 73.80 and closed at Rs 71.25 apiece, down by 13.11 per cent, on a day the benchmark BSE Sensex closed 1,624.51 points down at 25,741.56 - its biggest ever fall.

(Image credits: Indiatimes)

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