Mangalore Chemicals and Fertilisers Ltd Successfully Implements Ammonia Energy Improvement Project

Mangalore Chemicals and Fertilisers Ltd Successfully Implements Ammonia Energy Improvement Project

Mangalore Chemicals and Fertilisers Ltd., (MCF) announced the successful implementation of the Ammonia Energy Improvement Project on Friday, November 4. The company of over half a century has thus attained energy efficiency on a par with modern plants. Established in the early 1970s, the MCF is the only manufacturer of urea and complex fertilizers in Karnataka catering to farmers’ requirements in Karnataka, Kerala, Tamil Nadu, Andhra Pradesh, and Telangana.

The project was implemented at a capital cost of over ₹400 crore and is expected to deliver significant improvement to the bottom line. It switched over to liquified natural gas (LNG) as the raw material for urea production from naphtha in December 2020 after it began receiving the gas from Kochi. With the government policies further mandating urea manufacturing companies to reduce the energy norms further from December 2025, the company converted the vintage plant to a highly energy-efficient one on par with modern plants to comply with the mandate of the Department of Fertilisers to achieve the Target Energy Norm.

While ammonia production would increase by 25%, energy consumption would get reduced by about 12% after the commissioning. The MCF expects an improvement in operating margins with a further reduction in energy consumption from the present 5.5 giga calories per tonne. It would also have a positive impact on environment in the long run.