Assam to export methanol

Assam government will sign a memorandum of understanding (MoU) with an industrial group for an investment of Rs 15,000 crore in the state.

This was disclosed by Chief Minister Himanta Biswa Sarma while addressing a press conference.

Claiming that more industrial groups are coming to the state for investment due to basic strength, the Chief Minister said: “Industrial groups come to those places which have payment capacity. With the rising GDP of Assam, industries are coming up to the state.”

He said the 700 TPD methanol plant of Assam Petrochemicals Ltd (APL) will be inaugurated by Prime Minister Narendra Modi virtually from a function at Sarusajai Stadium on April 14.

After so many years, the government started investing in the industrialisation growth of the state. In all these projects, we have central PSUs as partners. Central PSU like NLC and OIL are with us as partners, he further said.

From mid-April, the state will start exporting methanol to Bangladesh, Bhutan and Nepal. Prime Minister Modi will inaugurate the methanol plant of the state-run APL at Namrup in Upper Assam’s Dibrugarh district on April 14.

The APL, the first company in the country to set up a methanol plant using natural Gas as feedstock, is an Assam government undertaking with 51% shares of the company held by the Assam government and 49% of shares held by Oil India Limited (OIL), incorporated in April 1971.

At present, 100 TPD methanol and 125 TPD formalin plants located at Namrup are fully functional under the company.

APL initiated an expansion programme on October 3, 2017, for the installation of a 500 TPD methanol plant at Namrup and a 200 TPD formalin plant at Boitamari in Bongaigaon district at a project cost of Rs 1,709 crores.

The 500 TPD methanol plant at Namrup has been successfully installed and the trial runs have been conducted for raw methanol production with the lean natural gas (99% in methane) supplied by Oil India Limited from the gas fields in Assam and transported by Assam Gas Company Ltd (AGCL), another state PSU.

The 200 TPD formalin project is expected to be commissioned in November this year for which the feedstock will be the methanol produced from the 500 TPD methanol plant to be commissioned.

The expansion project of 500TPD methanol and 200 TPD formaldehyde plant at a total cost of Rs 1,337 crore is almost complete and Assam can soon export these chemical products to Bangladesh.

“But the date from which we will start exporting will depend on the chief minister. We are seeking his appointment in this regard,” Deka also said.

“The process of export of methanol would start via Dawki in Meghalaya to Sylleth district of Bangladesh by road. Later we will use water transport to send the consignments to Bangladesh,” Deka further said.

A feasibility study was already conducted by a joint group comprising chemical importers from Bangladesh and APL officials.

Initially, the officials agreed to have a G2G (government to government) intervention for the certification of chemical products by an accredited laboratory acceptable to both countries. They also agreed to set up a lab testing facility for streamlining the chemical export process between the two countries in due course of time.

The officials agreed to have a G2G (government to government) intervention for the certification of chemical products by an accredited laboratory acceptable to both countries. They also agreed to set up a lab testing facility for streamlining the chemical export process between the two countries.

Apart from Bangladesh, we will also start exporting methanol to Bhutan and Nepal after the inauguration of the plant.

Tags: APL, Assam, Exports, Methanol