GAIL Fuels Fertilizer Revival with ₹1,070 Cr Equity Push into Talcher JV

GAIL (India) Ltd. has announced a significant equity investment, subscribing to 1.07 billion shares in Talcher Fertilizers Ltd. (TFL)—a strategic move to revive India’s first coal gasification-based urea plant in Odisha. The investment, valued at ₹1,070 crore, reinforces GAIL’s commitment to energy diversification and domestic fertilizer production.

 

TFL is a joint venture between GAIL, Coal India Ltd (CIL), Rashtriya Chemicals & Fertilizers (RCF), and Fertilizer Corporation of India Ltd (FCIL). Each of the three primary partners—GAIL, CIL, and RCF—holds an equal stake of 31.85%, while FCIL retains 4.45%. The total project cost is estimated at over ₹11,600 crore, with equity contributions proportionate to shareholding.

 

The Talcher project aims to produce 1.27 million tonnes of urea annually using indigenous coal through gasification technology—reducing import dependency and supporting India’s self-reliance goals in agriculture and energy.

 

Key Highlights:

GAIL to subscribe to 1.07 billion equity shares in TFL

Investment worth ₹1,070 crore, aligned with 31.85% JV stake

Supports coal gasification-based urea production in Odisha

In Boosts Atmanirbhar Bharat mission in fertilizer manufacturing

Strengthens GAIL’s role in energy-integrated infrastructure

 

This move not only enhances GAIL’s downstream portfolio but also marks a pivotal step in India’s push for cleaner, coal-based fertilizer production.

 

Sources: Talcher Fertilizers Ltd, Press Information Bureau, Economic Times