Larsen & Toubro (L&T) has secured a major engineering and construction contract worth ₹2,500–₹5,000 crore to develop a coal-to-ammonium nitrate facility in Odisha, according to reports.
The project has been awarded by Bharat Coal Gasification and Chemicals Ltd (BCGCL), a joint venture between Coal India Limited and Bharat Heavy Electricals Limited. L&T confirmed in a regulatory filing that its Hydrocarbon Onshore division will execute the order.
The contract involves building a nitric acid and ammonium nitrate plant on a lump-sum turnkey basis. Once completed, the facility is expected to produce around 2,000 tonnes of ammonium nitrate per day, serving demand from India’s mining, infrastructure, and industrial sectors.
L&T’s responsibilities include end-to-end execution covering design, engineering, procurement, construction, project management, and final commissioning of the plant and associated infrastructure.
The project is strategically aimed at reducing India’s dependence on imported ammonium nitrate, conserving foreign exchange, and strengthening domestic manufacturing in the chemicals and energy-linked sectors. It also supports broader efforts to add value to domestic coal resources and improve self-reliance in critical industrial inputs.
