State-owned Gail India and Trualt Bioenergy will set up 10 compressed biogas (CBG) plants with an investment of more than USD 72 million.
The two companies have entered into a joint venture agreement for setting up the plants, according to a joint statement on Wednesday.
The statement said the joint venture, to set up 10 compressed biogas (CBG) plants, will be 51 per cent owned by Trualt and the rest of the equities to be held by Gail.
The two partners will invest in excess of USD 72 million which will be funded through a combination of debt and equity, the companies said.
Incorporated in 2021, Bengaluru-based Trualt through its subsidiary Leafiniti Bioenergy has been operating the country's second largest CBG plant since 2021.
The proposed plants under the joint venture are expected to process over 600 million kilogrammes of organic waste like agricultural residue, sugarcane press mud, and spent wash -- waste generated during ethanol production-- to produce over 33 million kg of CBG, nearly 20 million kg of solid fermented organic manure and over 30 million kg of liquid fermented organic manure per annum, the companies said.
Each plant will have a capacity of 10,000 kg per day, resulting in a daily production of 100,000 kg of CBG.