The Union Cabinet has approved the proposal to provide land on lease to Hindustan Urvarak & Rasayan Limited (HURL).
The Cabinet has also given nod to provide the Concession Agreements & Land Lease Agreements for the revival of Gorakhpur & Sindri units of Fertilizer Corporation of India Limited (FCIL) and Barauni unit of Hindustan Fertilizer Corporation Limited (HFCL) by HURL.
Besides, the government has also approved plan to authorize Inter-Ministerial Committee (IMC) to approve Substitution Agreements and approve other agreements, if any to be signed between FCIL/HFCL and HURL for the three projects at Gorakhpur, Sindri and Barauni.
The revival of Gorakhpur, Sindri and Barauni units of FCIL/HFCL will ensure substantial investment in the fertilizer sector. These units will act as anchor customer to Jagdishpur-Haldia Pipeline (JHPL) gas pipeline being laid for development of critical infrastructure in Eastern India. This will create job opportunities in the region and also boost the economy of the eastern region/state. The revival of fertilizer unit will also augment indigenous production of urea thereby enhancing self-reliance in urea.