Ellenbarrie Industrial Gases Limited has secured aRs. 481-crore contract from Bharat Heavy Electricals Ltd. (BHEL) to build a 1,200-tonne-per-day (TPD) cryogenic Air Separation Unit (ASU) for a coal-to-ammonium nitrate project in Odisha.
This marks the company's entry into what it describes as a major long-term industrial gas opportunity linked to India's coal gasification push.
The ASU will be part of BHEL's 2,000-TPD Coal to Ammonium Nitrate project at Bandhabal in Jharsuguda district. Ellenbarrie will execute the project on a turnkey basis, covering design and engineering, supply, erection, testing, commissioning, trial runs, operator training and performance guarantee demonstrations, among other responsibilities.
The project is scheduled to be executed over eight quarters and is expected to be commissioned in FY29. The contract is structured on a Build and Transfer (B&T) basis, meaning Ellenbarrie will not retain long-term ownership or operate the plant after its handover.
The order comes as India pushes ahead with its National Coal Gasification Mission, which aims to reduce import dependence and build domestic capacity for chemicals, fertilisers and other industrial feedstocks.
The government has set a target of gasifying 100 million tonnes of coal annually by 2030. Coal gasification is expected to support domestic production of ammonia, urea, methanol, hydrogen and other downstream chemicals.
For large-scale coal gasification facilities, oxygen and nitrogen are critical process inputs, making cryogenic ASUs a key part of the infrastructure. The expansion of coal gasification capacity could therefore create a sizeable pipeline of ASU projects for industrial gas companies with engineering and execution capabilities.
Ellenbarrie said the BHEL order expands its capabilities beyond its traditional merchant and onsite industrial gas operations and strengthens its position in large-scale ASU engineering.
Commenting on the development, Varun Agarwal, Joint Managing Director of Ellenbarrie Industrial Gases, said: "This order represents an important strategic milestone for Ellenbarrie as we strengthen our participation in India's emerging coal gasification ecosystem. While this is a Build and Transfer project, it recognises our capability to deliver large-scale cryogenic Air Separation Units for complex industrial applications.
"As India's coal gasification programme gathers momentum over the coming years, we believe our engineering expertise, execution track record and deep experience in industrial gases position us well to participate in this long-term growth opportunity. This will be the largest plant built by Ellenbarrie till date and takes us into an exclusive list of companies having the capability of building plants of more than 1000 TPD."
The company said the project will further broaden its engineering capabilities and add to its track record in executing technologically sophisticated ASU projects.