State floats Rs 10,600-Cr fertiliser firm to revamp Namrup plant, hold majority stake

Guwahati, April 24: The government, on Thursday, announced the formation of a new company — Assam Fertiliser & Chemical Company Limited — to revitalise the ageing Namrup fertiliser plant. Chief Minister Himanta Biswa Sarma said the project will see a total investment of Rs 10,600 crore.

The equity structure for the new entity will include a 40% stake from the state government, 11% from Brahmaputra Valley Fertiliser Corporation Limited (BVCL), 18% each from National Fertilisers Limited and Oil India Limited, and 13% from Hindustan Urvarak & Rasayan Limited (HURL).

“BVCL will continue to operate alongside the new company, and a decision on a possible merger will be taken within the next five to six years. The Centre has assured continued support to BVCL so it remains operational,” Sarma told the press.

The Chief Minister also confirmed that Prime Minister Narendra Modi has greenlit the long-pending Guwahati Ring Road project. A key component of this initiative is a new bridge connecting Narengi and Purva, expected to significantly ease traffic flow and boost regional connectivity.

“The state government will contribute over Rs 1,000 crore towards the project, including 50% of the land acquisition cost, waiver of forest royalties, and GST refunds to the executing agency. The Centre will support the project with Rs 3,000 crore in Viability Gap Funding (VGF),” he said.

PM Modi is scheduled to visit Assam on September 8 to inaugurate several infrastructure and cultural projects. A major highlight will be the launch of the Rs 4,200 crore bio-refinery set up by Numaligarh Refinery Limited, a milestone in India’s push towards biofuels and renewable energy.

Sarma also announced that the state will celebrate the birth centenary of Bharat Ratna Dr Bhupen Hazarika with year-long events across Assam. The Prime Minister has accepted the state’s invitation to attend the inaugural celebration in Guwahati as Chief Guest.

“We have also proposed the issuance of a commemorative coin in honour of Bhupen Hazarika, and have written to the Finance Minister and the RBI,” Sarma said, adding that all North East ministers will be invited to join the centenary organising committee.

Highlighting private sector investment, Sarma said Assam has signed Memorandums of Understanding (MoUs) worth Rs 50,000 crore with the Adani Group under the Advantage Assam initiative. The new Guwahati airport, built by the Adani Group, is expected to be inaugurated in October, with work on the Aerocity project to begin on the same day.

The Chief Minister also provided updates on key connectivity projects. The Guwahati–Silchar New Greenfield Highway, being developed at a cost of Rs 25,000 crore, is progressing rapidly. In upper Assam, work has begun on the Numaligarh–Gohpur tunnel to provide critical all-weather connectivity.

“These initiatives signal our commitment to building a modern, connected, and economically vibrant Assam,” Sarma said.