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Assam to export methanol to Bangladesh, Nepal and Bhutan

by Kalpana Pandey
April 11, 2023
in News, Asia, Liquid Bulk
Reading Time: 3 mins read
A A
Methanol plant

“There was no big investment in the public sector in Assam in the last decade. The APL is a big investment of the state government. In the last two or three years, our first big investment was in NRL. We increased the stake to 26 percent in NRL. The next investment is APL,” the Chief Minister said.

“The third big investment is the city gas linking project. The cabinet will clear the project,” he said.

“Our fourth big investment will be a 4,000 MW solar power project,” he also said.

“From the Namrup plant, methanol will be exported to various states and several other neighbouring countries. In this project, Assam government has 51 per cent and OIL has 49 per cent investment,” he 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 quantity of methanol to be exported can be ascertained only after signing the agreement. However, we are getting adequate requisition from Bangladesh for methanol,” said Rajnish Gogoi, managing director, APL.

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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,” said Bikul Chandra Deka, chairman, APL.

“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 now,” Deka said.

“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,” Deka said.

“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.

Tags: AssamMethanol fuel
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Kalpana Pandey

The Maritime Gateway Editorial Team delivers trusted news, analysis, and insights on shipping, ports, logistics, supply chains, and global trade, backed by industry expertise and editorial review.

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