en.Wedoany.com Reported - Indian Prime Minister Narendra Modi laid the foundation stone for India's first commercial-scale coal-to-ammonium nitrate project on June 20, 2026, in Lakhanpur, Jharsuguda district, Odisha. The project is valued at ₹250.16 billion (approximately $3 billion).

The project is being developed by BCGCL, a joint venture between Bharat Heavy Electricals Limited (BHEL) and Coal India Limited (CIL). It will utilize BHEL's indigenously developed coal gasification technology to produce 2,000 tons of ammonium nitrate per day. The project is situated on approximately 350 acres of land owned by Mahanadi Coalfields Limited (MCL), a subsidiary of CIL, and has obtained all necessary permits. India's Ministry of Coal has approved the use of coal-bearing land for the project and will provide financial support of ₹13.5 billion under its incentive scheme. The coal gasification process converts coal into syngas, which can be used to produce high-value products such as methanol, urea, ammonium nitrate, and synthetic natural gas. The Indian government has approved an incentive scheme totaling up to ₹460 billion to promote coal gasification projects nationwide. This scheme is expected to drive investments of ₹2.5 trillion to ₹3 trillion and create approximately 50,000 direct and indirect jobs across 25 projects in coal-producing regions.

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