Chambal Fertilisers Begins Commissioning of Ammonium Nitrate Plant at Kota

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Chambal Fertilisers and Chemicals Limited has initiated commissioning activities for its Technical Ammonium Nitrate plat at Kota, with intermediate production starting mid-may 2026 and full HDAN production expected by end-May 2026

PRICE-SENSITIVE TRIGGER

Event: Commissioning of New Manufacturing Plant

Type: Operational Milestone / Capacity Addition

Impact: Positive

Immediate Effect: Indicates nearing revenue generation from the new plant, strengthening capacity and product portfolio

What Happened ?

Chambal Fertilisers and Chemicals Limited announced that commissioning activities are underway for its Technical Ammonium Nitrate (TAN) plant at its existing site in Gadepan, Kota (Rajasthan).

Production of intermediate products will begin in mid-May 2026, followed by full-scale production of High Density Ammonium Nitrate (HDAN) by the end of May 2026.

key highlights

Project Commissioning & Production Timeline:

  • Project: Technical Ammonium Nitrate (TAN) plant
  • Location: Gadepan, Kota, Rajasthan
  • Components:
    • Weak Nitric Acid (WNA) plant
    • Ammonium Nitrate Solution (ANS) Melt
  • Production timeline:
    • Intermediate production start: May 15, 2026
    • Final HDAN production: By May 31, 2026
  • Output: Prilled High Density Ammonium Nitrate (HDAN)
  • Strategic importance: Expansion into industrial explosives raw material segment

Note:

Ammonium nitrate is widely used in mining and infrastructure sectors, offering diversification beyond fertilizers

Risk Analysis

Key Risks

  • Delays in stabilization of plant operations
  • Demand variability in industrial explosives sector
  • Raw material cost fluctuations
  • Regulatory and safety compliance requirements

Worst Case Scenario

  • If plant commissioning faces delays or demand weakens, expected revenue contribution may be deferred

Risk Level: Medium

Company Commentary
  • Commissioning activities progressing as planned
  • Production to commence in phased manner
  • Strengthens manufacturing footprint at existing site
  • Supports diversification into new product segment

Official Exchange Filing: Chambal Fertilisers and Chemicals Limited

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