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SPIC plans transition to 100% natural gas for urea production

The cross-country pipeline by IOC and domestic gas supplied by ONGC through the pipeline have created an opportunity for SPIC to switch to cleaner fuel

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SPIC plans transition to 100% natural gas for urea production
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5 April 2024 5:27 PM IST

Chennai: Southern Petrochemical Industries Corporation Ltd announced on Friday its decision to utilize Natural Gas as the raw material in urea production to lower raw material expenses and enhance profitability.

The completion of the cross-country pipeline by Indian Oil Corporation Ltd (IOCL) and the provision of domestic gas by Oil and Natural Gas Corporation (ONGC) through the pipeline have created an opportunity for SPIC Ltd to switch to cleaner fuel sources.

SPIC will utilize domestic gas and re-gasified liquified natural gas (RLNG) in urea production through this pipeline. The company stated that it has become one of the anchor customers to benefit from the cross-country pipeline.

"We have successfully transitioned to 100 per cent natural gas for urea production. This transition is in line with our focus on environmental sustainability and reflects our responsiveness to government policies promoting cleaner fuel sources," said SPIC Ltd Chairman Ashwin Muthiah.

"We are committed to implementing carbon-neutral initiatives in our raw material usage and manufacturing processes, thereby contributing to global climate action goals," he added.

SPIC's move to entirely rely on Natural Gas demonstrates its dedication to reducing the environmental impact of its operations and advancing sustainability objectives, the company noted.

SPIC IOC ONGC Ashwin Muthiah 
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