Tata Projects Forays into Chemical Sector

Tata Projects Limited (TPL), known for its pioneering contributions in the oil, gas, and hydrocarbon sector, marks a significant milestone with the successful acquisition of the Nitric Acid Expansion Project of Deepak Fertilisers and Petrochemicals Corporation Ltd. (DFPCL).

The nitric acid expansion project, situated at DFPCL’s Dahej plant in Gujarat, entails the provision of comprehensive engineering, procurement, and construction management (EPCM) services, alongside Front End Engineering Design (FEED) responsibilities for offsites and utilities.

Central to the project’s scope is the expansion of the nitric acid plant, encompassing a 900 TPD weak nitric acid plant, 2X225 TPD concentrated nitric acid plant, and associated offsites and utilities, including storage and loading/unloading facilities. Licensors for the project include M/s Casale for Weak Nitric Acid and M/s KBR for concentrated nitric acid.

Rajiv Menon, President and COO, Energy and Industrial Business, Tata Projects mentioned, “The journey of Tata Projects has been quite noteworthy in recent years, evolving from its notable presence in Onshore Terminals to venturing into core process refinery units. The DPFCL acquisition further strengthens our resolve to be a diversified and technology driven EPC company. The Nitric Acid Complex project demonstrates our ability to engage in varied contracting models and reinforces our commitment to the Customer First Approach”.

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“The partnership with TPL marks another significant milestone in DFPCL’s journey in the specialty chemical segment. This nitric acid plant is designed to optimize both capital and operational expenditure while prioritizing energy efficiency and environmental sustainability with minimal NOx emissions.  With this partnership, we have aligned ourselves with the escalating demands of our customers across the rapidly growing pharma, steel, solar, and agri-industry sectors, where India is emerging as a prominent manufacturing hub,” added Arun Vijay, President, Projects, DFPCL.

Nitric Acid serves as an excellent building block chemical for multiple sectors, encompassing fertilizers, specialty chemicals, and mining chemicals.  DFPCL is one of the leading players in the Indian nitric acid market, with a market share of over 45%. Currently, the total nitric acid production capacity (CNA + WNA) is 1,120 KTPA, which is projected to increase to approximately 1,600 KTPA post-expansion, solidifying DFPCL’s position as one of Asia’s largest merchant Nitric acid players.

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Drawing on the forty years of robust experience in nitric acid and demonstrated proficiency lean manufacturing and managing intricate supply chains, DFPCL is committed to delivering high-quality products to its customers.

As per the press release, having commenced on 19th February, 2024 and scheduled for mechanical completion by September 30, 2025, the project’s contract is structured as a FEED Plus EPCM Open Book Value contract convertible to LSTK later. Rajiv further added that with a firm focus on safety, predictable delivery, and accountability as the core value the brand aims to enhance production capacity and efficiency, while reducing environmental impact and operational cost.