GUWAHATI: The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved the establishment of a new Brownfield Ammonia-Urea Complex at Brahmaputra Valley Fertilizer Corporation Limited (BVFCL) in Namrup, Assam. According to a press release on Wednesday, March 19, the Namrup-IV Fertilizer Plant will have an annual production capacity of 12.7 lakh metric tonnes (LMT) of Urea.
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The project will be developed under a joint venture (JV) with a debt-equity ratio of 70:30 under the New Investment Policy, 2012 and its amendments from 2014. The tentative timeline for completion of the plant has been established as 48 months.
"Gratitude to the Union Cabinet led by Hon'ble Prime Minister Shri @narendramodi ji for approving the Namrup IV Ammonia-Urea Complex worth ₹10,601cr," Chief Minister Himanta Biswa Sarma posted on X. "This project will be a game-changer for the region, provide thousands of job opportunities and propel growth in Assam."
The cabinet has also approved National Fertilizers Limited (NFL)'s 18% equity participation, exceeding limits set by the Department of Public Enterprises (DPE) guidelines. Additionally, an Inter-Ministerial Committee (IMC) will oversee the project's implementation.
The equity distribution in the proposed project is as follows:
- Government of Assam – 40%
- BVFCL – 11%
- Hindustan Urvarak & Rasayan Limited (HURL) – 13%
- National Fertilizers Limited (NFL) – 18%
- Oil India Limited (OIL) – 18%
BVFCL’s equity share will be based on its tangible assets.
