Zuari Industries plans Rs.5000 Crore Urea plant in Belgaum

Zuari Industries plans to set up 1.3 million tonne gasbased urea plant at Belgaum in Karnataka at a cost of Rs 5,000 crore by 2015-16 . The Dabhol- Bangalore gas pipeline project may supply the project with natural gas.

Zuari Industries also plans to set up a 1 million tonne DAP plant at Karwar in Karnataka with a capex of 750 crore.

Recently, Zuari also signed a gas-supply agreement with GAIL for 0.4 million tonnes urea plant at Zuarinagar. With fuel supply expected to start from January 2012, the company's annual urea production capacity will grow 10% to 441000 tonnes.

This is likely to attract an additional margin of 3,000 a tonne, which means an additional profit of Rs 12.6 crore. The company also has