The MoU envisages the development of a 1.27 MMTPA urea manufacturing facility in Andhra Pradesh’s Srikakulam district along the Srikakulam-Angul Natural Gas Pipeline (SAPL).
GAIL (India) Ltd has signed a memorandum of understanding with farmer cooperative major Krishak Bharati Cooperative Ltd (KRIBHCO) to explore the development of a gas-based fertiliser project in Andhra Pradesh, marking a potential expansion of India’s fertiliser production capacity along a key natural gas corridor.
The agreement envisages the development of a urea manufacturing facility with a capacity of 1.27 million metric tonnes per annum (MMTPA) at Mulapeta in Andhra Pradesh’s Srikakulam district, alongside GAIL’s Srikakulam-Angul Natural Gas Pipeline (SAPL). GAIL and KRIBHCO will jointly examine the feasibility of implementing the project through a joint venture.
The memorandum was signed by Sanjay Agarwal, Executive Director (Business Development, Start-up & Research & Development), GAIL, and CS Azad, Executive Director (Technical), KRIBHCO, in the presence of V Sudhakar Chowdary, Chairman, KRIBHCO, SS Yadav, Managing Director, KRIBHCO, and RK Singhal, Director (Business Development), GAIL.
Speaking on the occasion, V Sudhakar Chowdary said, “The signing of this MoU marks the beginning of a strategic partnership between GAIL and KRIBHCO. I am confident that KRIBHCO’s experience combined with GAIL’s leadership position in the natural gas sector would bring value to the proposed project for successful implementation.”
RK Singhal, Director (Business Development), GAIL, said, “It represents a strategic integration of India’s gas and fertiliser value chains and demonstrates GAIL’s commitment to supporting sustainable industrial and agricultural growth.”
The proposed project is expected to leverage GAIL’s natural gas infrastructure and KRIBHCO’s experience in the fertiliser sector, supporting domestic fertiliser production while strengthening linkages between India’s energy and agricultural value chains.