RCF signs gas supply agreement with Reliance

MUMBAI: PSU major Rashtriya Chemicals and Fertilisers (RCF) on Thursday announced signing of an agreement with Reliance Industries for supply of KG basin gas to its fertiliser units at Trombay and Thal near here.

The agreement will help RCF to restart its urea plant at Trombay which would produce 3.30 lakh tonnes of the fertiliser per annum. Gas supply to Thal would replace costly naphtha and bring down the cost of urea production, the company said in a release here.

Under the agreement, Reliance would supply 2.1 million standard cubic meters per day (MSCMPD) of gas to Thal and 0.95 MSCMPD of gas to Trombay unit. According to the press note, a separate agreement for transportation of gas was signed with Reliance Gas Transportation Infrastructure Ltd.

The agreements were signed by Manoj Priya, Director (technical), RCF and P M S P Prasad and Shri Dhadda of Reliance in the presence of RCF Chairman and Managing Director U S Jha and top officials of Fertiliser Ministry.