Larsen & Toubro (L&T)’s Energy Hydrocarbon Onshore business has won a large order worth between Rs 2,500 to Rs 5,000 from Bharat Coal Gasification and Chemicals (BCGCL) for a coal-to-ammonium nitrate project in Odisha. 

BCGCL is a joint venture between Coal India and Bharat Heavy Electricals.

L&T will execute the project on a Lump Sum Turnkey (LSTK) basis under Package-4, with single-point responsibility. 

The order includes setting up a nitric acid and ammonium nitrate plant. L&T will handle process licensing, basic and detailed engineering, procurement, and construction. 

The company will also take care of mechanical completion, pre-commissioning, commissioning, performance test runs, and overall project management, before handing over the plant. 

Plant to produce 2,000 tonnes per day

Once operational, the plant will convert coal into ammonium nitrate with a planned capacity of 2,000 tonnes per day. The output will support demand from India’s mining, infrastructure and industrial sectors.

Commenting on the order win, Subramanian Sarma, Deputy Managing Director & President – L&T, said: “This large order strengthens L&T’s presence in the gasification and downstream chemicals EPC space. Indigenous gasification infrastructure will play a pivotal role in India’s energy transition, and this order reinforces our ability to deliver complex, technology-intensive projects at scale”. 

Coal gasification push under Aatmanirbhar Bharat 

The company said in its regulatory filing that the project aligns with the government’s Aatmanirbhar Bharat initiative as India has set an ambitious target of achieving 100 million tonnes of coal gasification capacity by 2030. 

This mission aims to convert high-ash domestic coal into value-added products such as ammonium nitrate, methanol, ammonia, Synthetic Natural Gas and fertilisers, thereby reducing import dependence and strengthening India’s industrial self-reliance.

About L&T Energy Hydrocarbon Onshore

L&T Energy Hydrocarbon Onshore is among India’s largest EPC businesses. It delivers turnkey solutions across upstream, midstream and downstream hydrocarbon sectors.

The company has executed projects such as refinery expansions, petrochemical complexes, gas processing plants, fertiliser units, LNG terminals and cross-country pipelines across geographies.

Larsen & Turbo share price

The share price of L&T is under pressure in the intraday trade session. The stock has declined 1.33% in the early trade from the previous day close. L&T share price has declined 2.33% so far this year.