L&T Secures Large Order from BCGCL for Coal Gasification Project in Odisha

L&T Secures Large Order from BCGCL for Coal Gasification Project in Odisha​

Larsen & Toubro Limited (L&T) has secured a substantial order from Bharat Coal Gasification and Chemicals Ltd (BCGCL), a joint venture between Coal India Ltd (CIL) and Bharat Heavy Electricals Ltd (BHEL). The project involves a critical Coal-to-Ammonia-Nitrate facility aimed at reinforcing India's energy security in Odisha.

The order specifically covers the development of the Nitric Acid and Ammonium Nitrate Plant. This facility will be executed on a Lump Sum Turnkey basis (LSTK Package-4), offering single-point responsibility for the entire development lifecycle. Once operational, the plant is projected to have a production capacity of 2,000 tonnes per day, supporting the growing demands of India's mining, infrastructure, and industrial sectors.

The extensive scope of work encompasses process licensing, basic design, detailed engineering, procurement, and construction. Furthermore, the contract includes mechanical completion, pre-commissioning, commissioning, sustained load and performance guarantee test runs, overall project management, and final handover of the plant and its associated facilities.

This major contract is significant for BCGCL, demonstrating confidence in L&T's capacity to execute complex, technology-intensive projects under challenging conditions while upholding high standards of safety and quality.

National Energy Goals and L&T’s Role​

The project aligns with the national Aatmanirbhar Bharat initiative, which has set an ambitious goal of achieving 100 million tonnes of coal gasification capacity by 2030. This mission is designed to convert high-ash domestic coal into valuable products such as ammonium nitrate, methanol, ammonia, Synthetic Natural Gas, and fertilizers, thereby boosting India's industrial self-reliance and reducing import dependence.

Commenting on the successful order win, Mr Subramanian Sarma, Deputy Managing Director and President - L&T, noted that the contract strengthens L&T's position in the gasification and downstream chemicals EPC space. He stated that indigenous gasification infrastructure is vital to India's energy transition, reinforcing the company's ability to deliver complex, technology-intensive projects at scale.

Mr E S Sathyanarayanan, Senior Vice President and Head of L&T Onshore and Member of L&T's Executive Committee, added that the LSTK Package-4 order reflects BCGCL’s trust in L&T's execution capabilities. He affirmed that the company’s robust engineering and unwavering focus on EHS and quality will ensure the reliable and efficient delivery of the Nitric Acid and Ammonium Nitrate facilities.

L&T Energy Hydrocarbon Onshore is one of India's leading EPC businesses, providing comprehensive Lump Sum Turnkey solutions across upstream, midstream, and downstream hydrocarbon sectors. The unit boasts a strong execution track record, having delivered various complexes including refinery expansions, petrochemical complexes, gas processing plants, fertilizer plants, LNG terminals, and cross-country pipelines.

For reference, L&T classifies project orders based on value as follows:

LT Stock Price Movement​

As of 10:01 AM, shares of Larsen & Toubro Limited are shedding 0.88% in live trading, currently at ₹4064.8. The stock is seeing significant intra-day activity, with a total volume of 474,669 shares traded so far.