Hindustan Urvarak & Rasayan Ltd (HURL), a state-owned fertilizer giant, is investing approximately Rs 30 billion to expand its capacity across three major projects in Gorakhpur (UP), Barauni (Bihar), and Sindri (Jharkhand). This initiative aims to increase HURL’s total production capacity to 50 lakh tonnes in the next 2-3 years, up from the current 38 lakh tonnes.
Key elements of the expansion include the construction of a Nano urea plant at the Gorakhpur unit with a capacity of 1.5 lakh bottles per day, costing Rs 2 billion, and the development of an Ammonium Sulphate plant at the Barauni unit, with a total investment of Rs 8 billion over two stages. Furthermore, HURL is responding to the global DAP crisis by setting up an NPK complex fertilizer plant at the Sindri unit, with an annual capacity of 4 lakh tonnes, requiring an investment of Rs 20 billion.
The construction of the Nano urea plant is already underway, with technology transfer and tenders in progress. Meanwhile, the Ammonium Sulphate plant’s Detailed Feasibility Report (DFR) is near completion. The NPK plant is in the early planning stages.
Once completed, these projects will significantly boost HURL’s output, helping the company meet growing fertilizer demands. The expansion will primarily be funded through market financing, with around 70% of the required Rs 10 billion for Gorakhpur and Barauni projects expected to come from a consortium of lenders.
