Rashtriya Chemicals and Fertilizers Ltd (RCF) said its board of directors has approved a purchase order with Larsen & Toubro Ltd for the establishment of a 1200 MTPD (DAP basis) complex fertiliser plant at its Thal facility.

"...we hereby inform that the Board of Directors of the Company at its meeting held today i.e. October 9, 2024, has accorded its approval for Placement of Purchase Order on Larsen & Toubro Ltd for setting up of 1200 MTPD (DAP basis) Complex Fertilizer plant on LSTK Basis at RCF, Thal," the company said a stock exchange filing.

The project will be executed on a lump-sum turn-key (LSTK) basis and is valued at approximately Rs 1,000.27 crore, excluding GST. The construction timeline for the plant is set for 27 months.

In July this year, Rashtriya Chemicals and Fertilizers said its board of directors has approved a contract with Topsoe for the revamp of its ammonia plant at RCF Thal.

The contract, valued at ₹514.6 crore, includes the procurement of a basic engineering design package (BEDP) and the supply of proprietary equipment and catalysts aimed at reducing specific energy consumption. The contract, awarded to the international entity Topsoe, spans a period of 36 months.

Currently, the shareholding of the government in RCF is 75% and the rest 25% is shared among LIC/mutual funds, UTI/financial institutions, and the public.

RCF has fertilisers and chemicals manufacturing plants at two locations, Trombay and Thal in Maharashtra, producing nitrogenous, phosphatic and potassic fertilisers and a wide range of industrial chemicals.