L&T Wins Large Order for Coal Gasification Project to Support India’s Energy Security

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Image Courtesy: L&T

Larsen & Toubro (L&T), through its Energy Hydrocarbon Onshore business, has secured a large contract from Bharat Coal Gasification and Chemicals Limited (BCGCL) for a coal-to-ammonium nitrate project in Odisha, marking a significant step towards strengthening India’s energy and industrial ecosystem.

BCGCL is a joint venture between Coal India Limited and Bharat Heavy Electricals Limited. The project involves setting up a Nitric Acid and Ammonium Nitrate plant, to be executed by L&T on a lump sum turnkey (LSTK) basis, ensuring single-point responsibility for the entire scope.

Once commissioned, the facility will convert coal into ammonium nitrate with a planned production capacity of 2,000 tonnes per day. The output is expected to support growing demand from sectors such as mining, infrastructure, and industrial manufacturing.

The scope of the contract includes process licensing, basic and detailed engineering, procurement, construction, commissioning, and performance testing. L&T will also oversee project management, mechanical completion, and final handover, ensuring seamless execution from concept to delivery. The order highlights BCGCL’s confidence in L&T’s ability to execute complex and technology-intensive projects while adhering to stringent standards of safety, quality, and operational excellence.

The initiative aligns with India’s broader push under the Aatmanirbhar Bharat mission to enhance domestic capabilities in energy and industrial production. The government has set a target of achieving 100 million tonnes of coal gasification capacity by 2030. This approach focuses on converting high-ash domestic coal into value-added products such as ammonium nitrate, methanol, ammonia, synthetic natural gas, and fertilisers, reducing reliance on imports and strengthening self-sufficiency.

Commenting on the development, Subramanian Sarma, Deputy Managing Director and President at L&T, stated that the order further reinforces the company’s position in the gasification and downstream chemicals EPC segment. He noted that indigenous gasification infrastructure will play a critical role in India’s energy transition and industrial growth.

ES Sathyanarayanan, Senior Vice President and Head of L&T Onshore, added that the contract reflects strong trust in L&T’s project execution capabilities and its ability to deliver large-scale infrastructure projects efficiently.

Larsen & Toubro (L&T) is a leading Indian multinational conglomerate with a strong presence across multiple industries, including engineering, construction, manufacturing, technology, and financial services. Known for its commitment to innovation and excellence, L&T has played a pivotal role in transforming India’s infrastructure landscape.

The company has delivered landmark projects in sectors such as transportation, power, water, and heavy engineering, earning a reputation for its technical expertise and project execution capabilities. L&T’s strategic focus on digital transformation, sustainability, and smart technologies has enabled it to maintain a competitive edge in the global marketplace.

L&T’s diversified portfolio also includes significant contributions to the aerospace, defense, and IT sectors. The company’s robust research and development capabilities ensure it remains at the forefront of cutting-edge technologies, from automation to artificial intelligence.

 With a global footprint spanning across 30+ countries, L&T continues to expand its operations and strengthen its position as a trusted partner for large-scale infrastructure and technology projects. The company is deeply committed to sustainable growth, consistently implementing green practices and eco-friendly solutions in its operations.