PRE-FEASIBILITY REPORT

Transcription

1 PRE-FEASIBILITY REPORT for Proposed Integrated Cement Plant of 4.00 MTPA Cement Plant with Captive Limestone mines, Thermal Power Plant, Desalination Plant and Jetty at Amreli District, Gujarat, India HEIDELBERG CEMENT INDIA LTD SEPTEMBER 2015

2 Proposed Greenfield Project of 4.00 M TPA Cement Plant TABLE OF CONTENTS 1. EXECUTIVE SUMMARY INTRODUCTION OF THE PROJECT/ BACKGROUND INFORMATION IDENTIFICATION OF PROJECT AND PROJECT PROPONENT BRIEF DESCRIPTION OF NATURE OF PROJECT NEED FOR THE PROJECT AND ITS IMPORTANCE TO THE COUNTRY AND OUR REGION DEMAND SUPPLY GAP IMPORT VS INDIGENEOUS PRODUCTION EXPORT POSSIBILITY DOMESTIC/ EXPORT MARKETS EMPLOYMENT GENERATION DUE TO THE PROJECT PROJECT DESCRIPTION TYPE OF PROJECT INCLUDING INTERLINKED AND INTERDEPENDENT PROJECTS, IF ANY LOCATION DETAILS OF ALTERNATE SITES CONSIDERED SIZE OR MAGNITUDE OF OPERATION PROJECT TECHNICAL DESCRIPTION RAW MATERIALS AND FINISHED GOODS RESOURCE OPTIMISATION/ RECYCLING AND REUSE ENVISAGED IN THE PROJECT AVAILABILITY OF WATER ITS SOURCE, ENERGY/ POWER REQUIREMENT QUANTITY OF WASTE TO BE GENERATED AND SCHEME FOR MANAGEMENTS/DISPOSAL SCHEMATIC REPRESENTATION OF THE FEASIBILITY DRAWING WHICH GIVE INFORMATION OF EIA PURPOSE SITE ANALYSIS CONNECTIVITY LAND FORM, LAND USE AND LAND OWNERSHIP TOPOGRAPHY EXISTING LAND USE PATTERN, WATER BODIES ETC EXISTING INFRASTRUCTURE SOIL CLASSIFICATION CLIMATE DATA FROM SECONDARY SOURCE SOCIAL INFRASTRUCTURE AVAILABLE PLANNING BRIEF PLANNING CONCEPT POPULATION PROJECTION LAND USE PLANNING ASSESSMENT OF INFRASTRUCTURE DEMAND AMENETIES/ FACILITIES PROPOSED INFRASTRUCTURE INDUSTRIAL AREA RESIDENTIAL AREA GREENBELT SOCIAL INFRASTRUCTURE CONNECTIVITY DRINKING WATER MANAGEMENT SEWERAGE SYSTEM Heidelberg Cements India Ltd Page i of ii

3 Proposed Greenfield Project of 4.00 M TPA Cement Plant 6.8. INDUSTRIAL WASTE MANAGEMENT SOID WASTE MANAGEMENT POWER REQUIREMENT AND SUPPLY/ SOURCE REHABILITATION AND RESETTLEMENT (R&R PLAN) POLICY TO BE ADOPTED IN RESPECT OF THE PROJECT AFFECTED PERSONS INCLUDING HOME OUSTEES, LAND OUSTEES AND LANDLESS LABORERS PROJECT SCHEDULE AND COST ESTIMATE DATE OF START OF CONSTRUCTION AND COMPLETION ESTIMATED PROJECT COST WITH ANALYSIS OF ECONOMIC VIABILITY OF THE PROJECT ANALYSIS OF PROPOSAL (FINAL RECOMMENDATION) FINANCIAL AND SOCIAL BENEFIT LIST OF TABLES Table 1 : Details of Facilities... 5 Table 2: Pollution Control Equipment for Cement Plant Table 3: Pollution Control Equipment for Power Plant Table 4 : Raw Material Requirements Table 5 : Mode of Transport of Raw Materials Table 6 : Connectivity of the Proposed Plant Site Table 7 : A Brief of Land Usage Planning Table 8: Project Cost LIST OF FIGURES Figure 1 : Growth in Cement Consumption... 7 Figure 2 : Major Cement Demand Drivers... 9 Figure 3 : The Regional Distribution of Cement Consumption Figure 4: Proposed Plant Location Figure 5: Mine Location Figure 6: Location of Various Entities Figure 7: Alternative Site Locations Considered LIST OF APPENDICES APPENDIX I APPENDIX II SCHEMATIC PLANT LAYOUT SURFACE TOPOGRAPHICAL PLAN OF PROPOSED MINE AREA Heidelberg Cements India Ltd Page ii of ii

4 1. EXECUTIVE SUMMARY Heidelberg Cement India (HCIL) Limited, a subsidiary of Heidelberg Cement Group, Germany presently has its operations in Central India at Damoh (Madhya Pradesh), Jhansi (Uttar Pradesh) and in Southern India at Ammasandra (Karnataka). The proposal of HCIL is to install a greenfield cement plant with a total Cement production capacity of 4.0 MTPA adjacent to the limestone mines near to village Rohisha,Balana and Vadhera in Jafrabad Taluk in the district of Amreli, Gujarat. The mining lease extends over an area of hectares of continuous land. Rotary kiln of approx TPD shall produce the required clinker for the cement production. Cement produced from the proposed plant shall be OPC (Ordinary Portland Cement) or PPC (Portland Pozzolana Cement) as per the market requirements. The plant shall also have the potential to manufacture PSC (Portland Slag Cement) in future. The proposed location of cement plant and limestone mines is adjacent to sea shore i.e., around 3 km from the cement plant location. Hence it is also proposed to install a captive jetty with a quay of approximate dimension of 300 x 30 m Imported coal and gypsum shall be received via the proposed captive jetty and both clinker and cement are proposed to be partly dispatched via the jetty In order to meet the electric power requirements of the plant, HCIL proposes to install a thermal captive power plant (CPP) of approx. gross generation capacity of 70 MW. CPP shall be located within the cement plant boundary itself. The water requirements of the project shall largely be met by installing a sea water desalination plant of approx. capacity 3500 m3/day. Underground bore wells shall also be constructed as an alternative source of water Employment Generation An approximate of personnel shall be under direct employment during the operation phase of the mines, cement plant, power plant, desalination plant and the captive jetty. Project Schedule and Cost Estimate The project is expected to be commissioned in months from the date of signing of main contract Total Capital Investment Cost is estimated to be Rs Crore. 2. INTRODUCTION OF THE PROJECT/ BACKGROUND INFORMATION 2.1. IDENTIFICATION OF PROJECT AND PROJECT PROPONENT Heidelberg Cement Group is a global market leader in aggregates and a prominent player in the fields of cement, concrete and other downstream activities, ranking as one of the world s largest manufacturers of building materials. The Group has its operations in 40 countries globally. Heidelberg Cements India Ltd Page 3 of 34

5 Heidelberg Cement India (HCIL) Limited is a subsidiary of Heidelberg Cement Group, Germany. The Company has its operations in Central India at Damoh (Madhya Pradesh), Jhansi (Uttar Pradesh) and in Southern India at Ammasandra (Karnataka). Presently, HCIL is involved in manufacturing the following various grades of cement at their existing installations: Ordinary Portland Cement (OPC)/ Portland Pozzolona Cement (PPC) Portland Slag Cement (PSC) Heidelberg Cements India is now proposing to install a Greenfield cement plant with production capacity of 4.0 MTPA at Amreli district of Gujarat, India BRIEF DESCRIPTION OF NATURE OF PROJECT The proposal of HCIL is to install a Greenfield cement plant with a total cement production capacity of 4.00MTPA. The proposed cement plant shall be located at village Balana adjacent to the limestone mines spread over villages of Rohisha, Balana and Vadhera. The obtained mining lease extends over an area of hectares of land. Mining reserve is estimated over an area of hectares. Usable reserves of 103 MT were estimated from the top of the surface which is +26m to 0 m from Mean Sea level (MSL). The limestone shall be mined with the help of surface miners and fed to a secondary crusher located at mines itself. From mines, crushed limestone shall be transported to cement plant with the help of overland belt conveyor. Rotary kiln of approx TPD shall produce the required clinker for the cement production. Cement produced from the proposed plant shall be OPC (Ordinary Portland Cement) or PPC (Portland Pozzolana Cement) as per the market requirements. The plant shall also have the potential to manufacture PSC (Portland Slag Cement) in future. The proposed location of cement plant and limestone mines is adjacent to sea shore i.e., around 3 km from the cement plant location. Hence it is proposed to install a captive jetty as part of the project to exploit the advantage of economic means of transport of bulk incoming and outgoing materials. A quay of approximate dimension 300 x 30 m is proposed to be constructed which shall be able to accommodate vessels and barges simultaneously both for incoming and outgoing materials. Imported coal and gypsum is envisaged to be received via the proposed captive jetty and transported to plant with the help of overland belt conveyors. All the other raw materials (besides limestone) required for cement production shall be procured from domestic third party sources and transported to the plant via road. Both cement and clinker are expected to be dispatched to markets via road or via sea route using the captive jetty. In order to meet the electric power requirements of the plant, HCIL proposes to install a thermal captive power plant (CPP) of approx. gross generation capacity of 70 MW. CPP shall be located within the cement plant boundary itself. The water requirements of the project shall largely be met by installing a sea water desalination plant. Underground bore wells shall also be constructed as an alternative source of water. The output capacity of desalination plant shall be approximately 3500 m 3. / Day. Desalination plant shall be located at the sea shore or in the vicinity of plant close to Heidelberg Cements India Ltd Page 4 of 34

6 the sea. The product water shall be transported to cement plant with the help of pipe lines to be laid along the overland belt conveyor gallery. A common approach road is being envisaged for access to the captive jetty and desalination plant from the cement plant. The details of facilities being proposed by HCIL are tabulated in Table 1 : Details of Facilities below: S. No Unit Description Proposed Capacity 1. Cement Production Capacity Captive Power Plant Capacity Approx.70 MW 3. Desalination Plant Capacity Approx m3/day 4. Captive Jetty Approx. 300 x 30 m 5. Housing Colony To accommodate around staff Table 1 : Details of Facilities Mines Limestone shall be mined using surface miners. The mined material shall be dozed and then loaded onto dumpers for further transport. The dumpers shall unload the material to a dump hopper feeding a secondary crusher (for size reduction of oversize material, if any) and then conveyed to the cement plant with the help of belt conveyors. Cement Plant: Five/ six stage preheater with inline calciner, rotary kiln and a modern state-of-the art cooler is envisaged to form heart of the cement plant which is the pyro-processing system. Vertical roller mills are envisaged for grinding of raw materials and coal / lignite. Vertical roller mill or roller press-ball mill combination is expected to be used for cement grinding. All the process equipments and dust transfer points are envisaged with dust collection equipments which shall reduce the emissions to <30 mg/nm³. Sewage treatment plant (STP) is envisaged to treat the sewage water being generated and the dry reject sludge shall be used fertilizer for green belt development. Captive Power Plant: Fluidized bed combustion technology is envisaged for boiler and turbine shall be bleed cum condensing type. Limestone powder shall be dosed into boiler to reduce the SOx emissions. Ash shall be the only solid waste generated from power plant. Fly ash shall be consumed within the cement plant. Portion of bed ash shall be utilized as bed material and portion shall be suitably disposed in mines. Sewage water from power plant shall be sent to STP located in cement plant premises. Effluents generated from power plant shall be collected and treated in a neutralization pit. Heidelberg Cements India Ltd Page 5 of 34

7 Captive Jetty: The captive jetty with approximate dimensions 300x30m is proposed to accommodate vessel (approx. size 10,000 to 20,000 DWT) and barges (approx. capacity 3,000 to 8,000 DWT) simultaneously. No solid waste shall be generated from captive jetty. All the transfer points are envisaged with dust collection equipments which shall reduce the emissions to 30 mg/nm³. The sand from dredging during project phase and during operation phase shall be used largely for construction purposes and the balance shall be suitably disposed of in mines. A suitable area shall be allocated for temporary storage of dredged sand before being disposed off. Desalination: Desalination plant of approx. capacity upto 3500 m³/day is being envisaged for meeting the water requirements of the project. Reverse Osmosis (RO) water shall be used for all purposes except for boiler requirements. For boiler, demineralised water (DM) shall be used. Reject water from treatment plant shall be dispersed back in sea. Housing Colony: Housing colony to accommodate around staff shall be envisaged in the vicinity of the cement plant area to accommodate the employees and their families. The housing colony shall also be provided with all amenities, school, park etc. Potable sewage treatment plant is envisaged for handling and treating the sewage generated. The water treated from the sewage treatment plants shall be utilized in green belt development, road wash, vehicle wash etc. The housing colony shall be provided with treated RO water for drinking and sanitation purposes and as an alternative water source the underground bore wells shall also be constructed. Approximately 30% to 35% of the total land area within the cement plant boundary shall be utilized for green belt development NEED FOR THE PROJECT AND ITS IMPORTANCE TO THE COUNTRY AND OUR REGION Cement is essential for growth of infrastructure in a developing country like India and the demand for the same has always exhibited a steady growth. India's cement industry is a vital part of its economy, providing employment to more than a million people, directly or indirectly. Ever since it was deregulated in 1982, the Indian cement industry has attracted huge investments, from both Indian and foreign investors, making it the second largest in the world. The industry is currently in a turnaround phase, trying to achieve global standards in production, safety, and energy-efficiency. India has a lot of potential for development in the infrastructure and construction sector and the cement sector is expected to largely benefit from it. Some of the recent major government initiatives such as development of 100 smart cities are expected to provide a major boost to the sector. Heidelberg Cements India Ltd Page 6 of 34

8 Expecting such developments in the country and aided by suitable government foreign policies, several foreign players have already invested in the country in the recent past. A significant factor which aids the growth of this sector is the ready availability of the raw materials for making cement, such as limestone and coal. A large number of new foreign players are also expected to enter the cement sector in the coming years, owing to the profit margins, constant demand, and right valuation. With help from the government in terms of friendlier laws, lower taxation, and more infrastructures spending, the sector will grow and will take India s economy forward along with it. The cement industry had always kept pace with the rapidly expanding Indian economy and had consistently grown at a CAGR (compounded annual growth rate) of around 8.7% for nearly a decade from year Even the global crisis of late 2008 did not trip up the growth and the industry kept up the pace of growth in 2009.The average ratio of cement demand growth to GDP (gross domestic product) growth had been 1.1 times. However, subsequently, the growth slowed down and the cement demand growth was at its slowest pace of around 6% CAGR in the last four years ( ). This is the slowest pace in last two decades for four consecutive years. It is believed that the growth has bottomed out in FY14 with the demand growth being lowest since FY02 even below the GDP growth. This is attributed to sluggish housing activity; steep cut in government's spending on infrastructure weak investment cycle FY02 FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 E Cement Consumption mio t % Growth FY16 E Figure 1 : Growth in Cement Consumption The trend of low cement demand is expected to reverse on back of stable and decisive new central government. The cement demand is closely linked to the overall economic growth, particularly the housing and infrastructure sector. With highest importance being given by central and state governments for development of infrastructure in country i.e., highways, rural road network, housing sector, canal network for irrigation etc. the demand of cement is expected to be increase in the years to come. The new government formed in India has emphasized the development of many cities into smart cities which includes the up-gradation and enhancement of new infrastructure, irrigation projects and housing colonies etc. In the recently launched budget, the corporate taxes have announced to be progressively reduced to encourage investment on new projects and industries. Over the past one year, many foreign investors have shown interest to invest in the Indian market. Hence, it is evident, that in the near future the Heidelberg Cements India Ltd Page 7 of 34

9 cement demand shall further pick-up. According to CII studies, India s cement demand is expected to touch million tonnes per annum by 2025 Keeping the above in view and to take advantage of the growing demand of cement in the country, M/s. Heidelberg Cement proposes to install a state-of-art 4.00M TPA greenfield cement plant at village Balana, Amreli District in Gujarat. This shall help the country and the region in meeting the future demand of cement. Thus it can be assured that India and the region can maintain their self-sufficiency in meeting the requirements of cement and no import of cement from other countries or other regions within the country shall be required. Moreover, the project shall also exploit the advantage of being located adjacent to the western sea cost for economic transportation of materials. Accordingly, a captive jetty shall also be constructed as part of the project. This also opens up an opportunity to export cement which shall further advance the interests of Make in India initiative of new Central Government of India. The predominantly rural area around the proposed site of the project shall also be immensely benefited by generation of huge employment opportunities due to the project, better infrastructure in the region, potential for self-employment through ancillary units and facilities to support the project etc. This is expected to lead to economic up-liftment of the entire region and betterment of livelihood of the surrounding population. The installation of state-of-art and power efficient equipment, the installation of captive power plant, the usage of water ways as one of the modes of material transport, usage of high proportion of additives in cement etc. shall assure a low cost of production and a highly competitive plant. The spread of financial charges, fixed overheads etc. over a higher volume of production and sales shall help in achieving large scale economics. The usage of modern pollution control equipment, installation of sewage treatment plant as per requirement, usage of high proportion of additives, proposal to utilize surface mines instead of traditional blasting for limestone mines etc. shall contribute a lot in conserving, protecting and furthering the interests of environment conservation also DEMAND SUPPLY GAP The Indian cement industry is the second largest market after China accounting for about 8% of the total global production. It had a total capacity of over 360 m tonnes (MT) as of financial year ended Cement is a cyclical commodity with a high correlation with GDP. The cement market in India is expected to grow at a compound annual growth rate (CAGR) of 8.96 percent during the period In India, the housing sector is the biggest demand driver of cement, accounting for about 67 per cent of the total consumption. The other major consumers of cement include infrastructure at 13 per cent, commercial construction at 11 per cent and industrial construction at nine per cent. Heidelberg Cements India Ltd Page 8 of 34

10 13% 6% Housing Sector Infrastructure 17% 64% Commercial & Institutional Industrial Figure 2 : Major Cement Demand Drivers To meet the rise in demand, cement companies are expected to add 56 million tonnes (MT) capacity over the next three years. The cement capacity in India may register a growth of eight per cent by next year end to 395 MT from the current level of 366 MT. It may increase further to 421 MT by the end of A total of 188 large cement plants together account for 97 per cent of the total installed capacity in the country, while 365 small plants account for the rest. Of these large cement plants, 77 are located in the states of Andhra Pradesh, Rajasthan and Tamil Nadu. The Indian cement industry is dominated by a few companies. The top 20 cement companies account for almost 70 per cent of the total cement production of the country. The sizeable capacity additions in the last five years coupled with weak demand has resulted in a low capacity utilisation of around 71% in FY14, the lowest levels since The capacity utilisation levels started falling from FY11, wherein effective capacity grew by 19% against demand growth of around 6%. Effective capacity during FY10-14 grew 9.6%, around ~ 1.6x the growth in demand. While capacity utilization in FY14 was seventy one percent (75%), it is expected to grow upto eighty five percent (85%) by year Though overcapacity and slow demand growth would continue to be a damper in the near term, it is believed that, the pressure would ease with improved demand and slowing pace of capacity addition. Consumption is expected to grow at a 2-year CAGR (FY14-16) of 7.5%, higher than 5.3% growth in effective capacity addition. This would result in improvement in capacity utilisation factor. In fact it is expected that demand grow That 8 per cent would outpace supply additions at 6.7 per cent in FY16. Moreover, the per capita consumption of cement in India still remains substantially low at below 200 kg when compared with the world average which stands at about 573 kg in 2014.It is expected that the Indian per capita consumption of cement shall grow up to kg in Demand Supply Dynamics in Western Region of India The Indian cement industry generally considers 5 regions - North, East, South, West and Central for cement consumption in the country. The regional distribution of cement Heidelberg Cements India Ltd Page 9 of 34

11 consumption (Source: Cement Industries India Article) is as shown in Figure 3 : The Regional Distribution of Cement Consumption below: Central; 16% North; 17% East; 17% South; 31% West; 19% North East West South Central Figure 3 : The Regional Distribution of Cement Consumption Rajasthan is one of the states with largest cement manufacturing capacity while Maharashtra remains one of the highest consumers of cement in the middle western region of India. In Gujarat the current scenario leaves the market with 28% of surplus goods with a per capita consumption of 307 kg. Cement sales in Gujarat is expected to grow at a CAGR (Compound Annual Growth Rate) of nine percent (9%) for next three financial years. Infrastructure projects like up gradation of highways, metro rail, etc. are also boosting the demand for cement. Ahmadabad is the largest consumer of cement in Gujarat accounting for 26% of the overall sales in Gujarat followed by Surat (19%) The companies in the western region are expected to add 10 million tones per annum (18 per cent of the existing capacity) during FY14-FY16, and thus, the capacity utilisation in this region is expected to remain stable at the current level of 73 per cent. Gujarat is one of the states in India which benefit from a constant and a steady growth in the cement production and consumption. The total cement production facilities installed in the state uptofy14 is 25.5 million tones. The state ranks fifth in the country in cement production which is preceded in the ranking table by Maharashtra and followed by Madhya Pradesh (Sources: As per CMA India Statistical Data) IMPORT Vs INDIGENEOUS PRODUCTION India is self-sufficient to meet the demands of the cement market. The cement market with in the country is stable in terms of demand and supply with sufficient potential for increasing domestic capacity utilization and therefore no imports are foreseen. The excess demand in supply deficient states can be met with those of less demand/ excess supply state markets. The interstate trading discourages the requirements of imports Further, Indian consumers being relatively aware and quality conscious, the cheaper low quality cement available from some other countries have not been able to penetrate the market. Heidelberg Cements India Ltd Page 10 of 34

12 2.6. EXPORT POSSIBILITY The Indian cement industry has come a long way with regard to exporting. In FY , the industry was exporting only 0.16 million tons, but by FY the 10 million tons threshold had been crossed. Subsequently the manufacturers had struggled to keep up with domestic demand in India, which has been easier to capture. In the years that followed, there was a persistent downward trend in the export of cement and clinker, which was halted in the recent years due to low demand in the domestic market. Exports are only used as a balancing factor in India (mainly to balance low demand periods within the domestic market). Most of India s exports are from Western India (92.4 per cent of total exports, of which Gujarat holds a share of 76 per cent) and major export markets are Sri Lanka, Nepal, Africa and the Middle East. However, this trend is expected to change in the near future. In the coming years, India is expected to become one of the main exporters of clinker and gray cement to the Middle East, Africa, and other developing nations of the world. Cement plants near the ports, shall have an added advantage for exports and shall logistically be well armed to face stiff competition from cement plants in the interior of the country The proposed project of HCIL being located on the western coast with a captive jetty has enough possibility and potential to export. However, export is expected to be resorted to mainly during low domestic demand seasons DOMESTIC/ EXPORT MARKETS The project is largely intended to cater to the domestic market only. However, the potential to export is available due to its strategic location and the possibility shall be exploited during low domestic demand seasons. Domestically the project is expected to cater to markets of Gujarat, Rajasthan, Madhya Pradesh and Maharashtra. Further, the project shall also tap markets along the coastal belts of Maharashtra, Karnataka and Kerala. The markets have been identified based on location of other supplying clusters, demand-supply situation in these markets and also economic transportation distance, 2.8. EMPLOYMENT GENERATION DUE TO THE PROJECT An approximate of personnel shall be under direct employment during the operation phase of the Cement Plant, Power Plant, Desalination Plant and Captive Jetty. 3. PROJECT DESCRIPTION 3.1. TYPE OF PROJECT INCLUDING INTERLINKED AND INTERDEPENDENT PROJECTS, IF ANY The proposal of HCIL is to install a Greenfield cement plant of 4.0MTPA cement production capacity at Amreli district in Gujarat, India. The proposal also includes the following: i. Installation of approx.70 MW thermal captive power plant, to cater the power requirements of facilities being proposed. ii. Installation of captive jetty with approx. dimension of300x30 m, to handle the incoming and outgoing materials for the cement and power plant respectively. Heidelberg Cements India Ltd Page 11 of 34

13 iii. Desalination plant of approx. Capacity 3500 m³/day, to meet the requirements of water for plant and personnel. iv. A housing colony to accommodate approx. 300 to 350 working personnel of cement plant, power plant, captive jetty and desalination plant and their families LOCATION The project is proposed to be located near village Balana in Jafarabad Taluk, Amreli District of Gujarat and is as shown in Figure 4: Proposed Plant Location Heidelberg Cements India Ltd Page 12 of 34

14 Figure 4: Proposed Plant Location Heidelberg Cements India Ltd Page 13 of 34

15 The cement plant is proposed to be located adjacent to the limestone mines and shall fall in Village Balana Limestone Mines The limestone mine is spread over villages of Rohisha, Balana and Vadhera adjacent to the existing 5 m wide asphalted PWD road from the junction of State Highway No. 90 (SH-90) at village Vadhera. This PWD road extends largely throughout the length of the mining area. Figure 5: Mine Location Cement Plant The proposed cement plant shall be located at Village Balana, Jafrabad Taluk, District Amreli, Gujarat state. The plant is located adjacent to a Hanuman temple, the co-ordinates of which are 20 50'45.5"N 71 16'59.8"E. The proposed plant site is presently approachable by an existing 5 m wide asphalted PWD road which links all the villages upto Dharbandhar with the State Highway No. 90 (SH-90) at village Vadhera. Heidelberg Cements India Ltd Page 14 of 34

16 Figure 6: Location of Various Entities Captive Power Plant The thermal captive power plant is envisaged to be located within the cement plant boundary Captive Jetty The proposed jetty area forms part of the coastal tract along the Arabian Sea and is proposed to be located straight across the cement plant at an aerial distance of around 3.1km from the cement plant. Presently there is no motorable access to the site of the proposed jetty and the same shall be developed by project. Coal and gypsum are expected to be the incoming materials which shall be received via bulk vessels of approx. capacity DWT. Clinker and Cement shall be the outgoing material which shall be dispatched via barges of approx. capacity DWT. An overland conveyor shall convey the incoming materials to plant site, while a belt/ pipe conveyor shall convey cement and clinker from plant to the jetty site. A common approach road in asphalt construction shall be envisaged by HCIL to provide hassle free movement of cement trucks and personnel and other material between plant and jetty De-Salination Plant Desalination plant is envisaged to be located adjacent to the sea shore near the location of captive jetty or in the vicinity of plant near to the sea. An 11kV substation shall be envisaged near the desalination plant premises to receive power from power plant via 11 kv transmission lines Housing Colony The proposed housing colony for the project shall be located in an area adjacent to the cement plant itself. The proposed colony is expected to accommodate around staff personnel DETAILS OF ALTERNATE SITES CONSIDERED Limestone being the primary raw material for the cement plant, the location of cement plant has to be adjacent to the limestone mines to enable economic handling and transport of the raw material. Three options were considered for locating the proposed cement plant around the limestone mines. The alternative sites considered are marked in the below map as A, B and C respectively. Heidelberg Cements India Ltd Page 15 of 34

17 Figure 7: Alternative Site Locations Considered The proposed site location A widely falls within village Rohisha. Out of the three villages of Rohisha, Balana and Vadhera, the relative density of population near the limestone mines is more in case of Village Rohisha Keeping this in view; it was decided not to locate the cement plant at Rohisha. The option C considered at/ near village Vadhera lies adjacent to the state highway. This location was not chosen due to two main reasons. Being adjacent to state highway, the incoming and outgoing vehicles, the parking area in front of the plant and other logistics would hamper the smooth movement of the traffic on the state highway. Secondly the distance from this location to proposed captive jetty would have been the longest. The option B which is in village Balana was chosen due to it not having any of the disadvantages of option A and B and also it would be centrally located to the limestone mine area SIZE OR MAGNITUDE OF OPERATION The clinker production of the plant is expected to be around 2.40MTPA and the cement production capacity will be 4.00 MTPA.HCIL proposes to manufacture OPC and PPC as per the market requirements. The plant shall also have potential to manufacture PSC The proposed capacity of captive power plant shall be approx. 70 MW to meet the requirements of electric power of all facilities being proposed. Proposed capacity of desalination plant shall be approx m3/day. This capacity shall be able to cater the requirements of plant and personnel PROJECT TECHNICAL DESCRIPTION Limestone Mines Approx. 3.5 million tonnes of limestone per annum will be produced by mechanized open cast method deploying surface miners. The mine will feed the linked 4 MTPA capacity cement plant adjacent to mines. Mining reserve is estimated over an area of hectares. Reserves were estimated from the top of the surface which is +26m to 0 m from Mean Sea level (MSL).It is envisaged only to utilize the deposit above MSL. Heidelberg Cements India Ltd Page 16 of 34

18 The reserve comprises of Limestone and Marl (Limestone with clay) together. Weighted average cut off considered for Limestone and Marl together is for CaO of 44% and above. Reserve from +26m to 0 m from Mean Sea Level (MSL) : -Geological Reserves: million tons (In-Situ Reserves) -Mineable Reserves: million tonnes (90% of Geological Reserves) -Usable Reserves: million tons (85% of Minable Reserves) -Mining life: 30 Years MTPA Limestone production The limestone deposit above MSL is 103 million tonnes (recoverable for production) with following composition table based on the boreholes drilling data from 53 boreholes that were drilled and analysed. Level Above MSL Usable LOI SiO2 Al2O3 Fe2O3 CaO MgO Reserve MT Limestone and marl have been considered as ore while the soil occurring above limestone and the interstitial clay has been considered as overburden. Mechanized process of limestone mining is envisaged to be carried out by surface miners. The mined materials shall be dozed and fed to a secondary crusher located at mines using dumpers. From the secondary crusher, the material shall be conveyed to the cement plant premises with the help of overland belt conveyor. The conveyed materials shall be received and stored in a storage yard located at the cement plant premises. The following machinery will be required for achieving the planned production target. Surface Miners Dumpers Dozers Loaders Water tankers Tractors Service Van for maintenance of HEMM in Mines Forks lift truck etc. A small workshop will be setup within the lease hold for day to day maintenance and repair of the mining machinery. Following mitigation measures would be taken to meet the environmental standards- Land degradation due to mining-excavated portion will be partly converted into rain water storage ponds. The remaining excavated portion will be backfilled & will be converted into green belt by planting suitable species of trees. Water environment-the mining operation will be kept confined above the ground water table. Therefore no dewatering will take place at the mine. Air environment due to surface mining- Suitable steps will be taken to keep the air pollutant within prescribed limits as per laid down standards. Heidelberg Cements India Ltd Page 17 of 34

19 Cement Plant A brief description of the proposed installation is given below: Process Description Limestone Crushing A limestone crusher of capacity upto 1600 tph shall be envisaged to crush the incoming materials from the limestone mines. The crusher shall be able to reduce the material size of limestone to approx. 80mm. Limestone Storage and Transport Crushed limestone from crusher shall be stacked with the help of a stacker of capacity upto2000 tph. The effective storage capacity of the stockpiles shall be upto2 x 40000MT. Reclaiming shall be carried out with the help of a reclaimer of capacity upto800 tph. Corrective Crushing Correctives such as iron ore, clay, bauxite, black cotton soil etc. shall be used to obtain the desired quality of clinker. Correctives shall be received through trucks and shall be dumped in dump hopper. Crusher shall be located above the ground and ramp shall be formed to access the dump hopper. A crusher of capacity upto100 tph is envisaged to crush the correctives. Crusher shall be provided with one dump hopper and a heavy duty apron feeder shall be installed for extraction. Corrective Storage The correctives shall be stacked with the help of stacker machines of capacity upto150 tph. The stacked materials shall be reclaimed using a reclaimer of capacity upto100 tph. The effective maximum capacities of the stockpiles for corrective shall be able to cater to 3 to 15 days of requirement of respective materials. The storage capacities shall be determined based on lead distance from source Raw Material Grinding The reclaimed limestone and correctives shall be reclaimed and further transported to the raw material hoppers. The raw materials shall be extracted from the hoppers and fed at required proportion with the help of weigh feeders into the raw mill which shall be either a vertical roller mill (VRM) or a roller press (RP). The required hot gases to dry the raw materials shall be extracted from preheater and hot air generator is expected to be used for start-ups. The ground material i.e., raw meal shall be collected in cyclones and bag filters and the same shall be conveyed through air slides and bucket elevators and shall be stored in a blending silo. Coal / Lignite Storage and Grinding Imported coal shall be received in sea vessels of approx. Capacity to 20000DWT. It is expected that the imported coal shall be of lump size less than 75 mm. The coal received Heidelberg Cements India Ltd Page 18 of 34

20 shall be unloaded from the vessel with the help of grab cranes and transported to the plant with the help of overland belt conveyors. Provision of dump hopper with crusher and conveyors is considered to crush the coal/ lignite received via trucks domestically from Indian sources. The crusher shall be able to reduce the material size to 80mm. The received coal/ lignite shall be stacked using the stacker of capacity upto1000 tph capacity. The effective capacity of the raw coal/ lignite stockpile shall be upto2 x MT. The stored raw coal/ lignite shall be reclaimed with the help of reclaimer of capacity upto100 tph. The raw coal/ lignite shall be reclaimed and conveyed to raw coal/ lignite hoppers and then fed into the coal grinding mill. Vertical roller mill of capacity upto60 tph with inbuilt separator shall be utilized for drying and grinding of coal / lignite. The required hot gases to dry the raw materials shall be extracted from preheater and hot air generator is expected to be utilized for start-ups. The output of the mill shall be collected and conveyed to the fine coal bins. The fine coal/ lignite shall be metered and dosed to kiln and precalciner burners pneumatically via rotary weigh feeder type pumps. Pyro Processing Pyro-processing section of approx. capacity 7000 TPD is envisaged to consist of a rotary kiln with a five/ six stage preheater with inline calciner and a state of the art clinker cooler. Raw meal from the blending silo shall be conveyed via bucket elevators to the pre heater. The clinker from clinker cooler shall be conveyed with the help of deep pan conveyors to clinker silo. An off-spec silo is also being considered to store off-spec clinker. Provisions for future Waste heat recovery boilers shall also be considered in the layout and process design for preheater and clinker cooler exhaust. Clinker Bulk Loading A separate clinker silo shall be envisaged for clinker bulk loading for dispatch. Clinker shall be extracted with the help of telescopic chutes and transported to jetty via belt/ pipe conveyor (common for bulk cement and clinker). The bulk loading bin shall also be provided with a provision to load trucks for dispatch by roads. Additive Crushing Additives such as gypsum, fly ash etc. shall be used to obtain the desired grade of cement. The additive crusher is envisaged for materials like gypsum since material such as fly ash shall be fine. Even for gypsum, there are two possible sources of supply, which are imported and indigenous. Imported gypsum is expected to be received in sizes lower than 75 mm and hence no crushing is foreseen for imported gypsum. However, provision shall be made for crushing indigenous gypsum. A separate crusher of capacity upto100 tph is envisaged for the same. The crusher shall be located above ground and shall be provided with one dump hopper and a heavy duty apron feeder shall be installed for extraction. Heidelberg Cements India Ltd Page 19 of 34

21 Additive Storage The additives shall be stacked with the help of stacker machines of capacity upto 1000 tph. The stacked materials shall be reclaimed using a reclaimer of capacity up to 100 tph. The effective maximum capacities of the stockpiles for additives shall be able to cater to requirements of approx., 30 days. The fly ash shall be stored in RCC silos. Cement Grinding and Storage Clinker from the clinker silo shall be conveyed to the clinker hopper of the cement mill. The additives gypsum and fly ash shall be conveyed to the respective hoppers of the cement mill. From the hoppers clinker and gypsum shall be extracted using weigh feeders and the same shall be conveyed to the mills, whereas the fly ash being finer material the same shall be fed via solid flow meter and air slide. Three (3) no s of vertical roller mills / RP+BM of capacity upto220 tph shall be envisaged for cement grinding. Four (4) no s silos shall be considered for storing the cement. Cement Packing Cement shall be extracted from cement silos and shall be conveyed to packing plant with the help of air slides. Four (4) numbers of Rotary packers with capacity of upto240 tph each shall fill the cement bags. The packed bags shall be loaded into trucks with the help of the truck loaders of capacity upto2400 bags/hr. Provisions have been considered for big bag packing and dispatch also. Cement Transporting to Jetty Bulk cement from silos shall be extracted via air slides and shall be conveyed to bulk barge loaders via belt/ pipe conveyors. The bagged cement shall be loaded to the trucks and then the trucks shall transport the cement bags up to the jetty or the bags shall alternatively be conveyed via belt conveyors used for bulk cement. Pollution Control Equipment The below mentioned is the broad list of various types of pollution control equipments which are proposed to be envisaged. S. No Equipment Departments/ Locations Emission Values 1. Raw mill/ Kiln Bag filter <30mg/Nm³ 2. Clinker Cooler Electrostatic Precipitator <30mg/Nm³ 3. Coal Mill Bag filter <30mg/Nm³ 4. Cement Mill Bag filter <30mg/Nm³ 5. Dump Hopper Dust suppression system 6. Transfer Towers Nuisance bag filters <30mg/Nm³ 7. Material transfer points, storage bins/ hoppers/ silos Nuisance bag filters 8. Dust monitors, flue gas analyser Process stacks <30mg/Nm³ Heidelberg Cements India Ltd Page 20 of 34

22 Utilities Table 2: Pollution Control Equipment for Cement Plant Process Control The plant operation shall be through proven Automation systems. PlDs with closed loops systems are intact and PLC is in advanced modern system. Compressor shall be installed to meet the requirements of compressed air for plant equipments and bag filters. Two no s treated water storage tanks with necessary pumps shall be located within the cement plant premises for storage of water. Fire hydrant system along with fire protection system shall be envisaged for the protection of equipments and plant Quality Control Facilities and equipment are envisaged for quality control of the raw materials and final products for the proposed plant Electrical Systems The electric power for the cement plant is envisaged to be supplied from the proposed captive power plant. The generation voltage and frequency shall be 11 kv and 50 Hz respectively. The output medium voltage power from the power plant generators shall be fed to the central medium voltage distribution board located at the power plant itself. The generated power from the feeder shall be then fed to the equipments/ transformers/ power control center/ motor control center etc. as per the required voltage distribution. Lighting, Earthing and Lightening Protection shall be envisages as required. Fire Detection and Alarm System, Pressurization and Ventilation Systems, air-conditioning is also envisaged for the project Control and Automation Systems For effective control of various process variables, integrated and distributed microprocessor based, control & instrumentation system are being envisaged. The Distributed Control System (DCS) for the cement plant operation shall be located in the Central Control Room (CCR) for the cement plant. Necessary field process instrumentation devices, special instrumentation devices and sub control systems shall be envisaged to make sure the safe, hassle free operations and to effectively control all the process variables. Uninterrupted Power Supply (UPS) is envisaged to provide power back-up. EPABX telephone exchange, public addressing systems and warlike talkie systems working at allotted frequencies shall be envisaged. Heidelberg Cements India Ltd Page 21 of 34

23 Auxiliary Infrastructure A few of the notable auxiliary infrastructure expected to be provided for the proposed cement plant is as mentioned below: A Central Control Room (CCR) equipped with a Laboratory and a technical office shall be envisaged with the state of the art technological equipments and devices. A fully furnished admin building which is capable of accommodating all the administrative personnel of the plant shall be envisaged. A first aid clinic shall be provided. A Cement dispatch office shall be envisaged to facilitate the cement transport A common electrical and mechanical workshop to perform in house maintenance A weigh bridge to weigh the outgoing and incoming trucks A store house to maintain the inventory for machineries Required number of shift and sanitary units A canteen to serve food and beverages for the employees Adequate parking facilities shall be envisaged within the plant and truck parking spaces along with restrooms shall be facilitated outside the plant premises Captive Power Plant The Captive Power Plant of capacity approx. 70 MW is proposed to be envisaged to suffice the power requirement of the Cement plant, Housing colony, Captive Jetty and Desalination plant. The brief descriptions of each system are as mentioned below Boiler, Turbine, Generator and Accessories Two (2) numbers of fluidized bed combustion boilers of capacity upto 160 tph shall be envisaged for the proposed project. The boiler shall be equipped with super heaters, economizer and air preheaters. An electro static precipitator (ESP) shall collect the fly ash from the flue gases generated by the boiler. A common steel chimney shall be installed for both the boilers along-with the air pollution monitoring devices. Two (2) numbers turbine of gross generation capacityupto35 MW or single turbine of gross generation capacity upto 70 MW shall be installed for the proposed power plant. An air cooled condenser (ACC) shall be used to condense the steam from the outlet of the turbine Balance of Plant Coal Storage, Crushing and Transport The coal/ lignite required for the boilers shall be received from the captive jetty. The received coal/ lignite shall be stacked longitudinally with the help of the stacker of upto750 tph capacity. The stockpile effective capacity shall be upto2 x MT. The stacked materials shall be reclaimed with the help of reclaimers and conveyed to crusher which shall reduce the materials to suitable size satisfying the requirement of the Heidelberg Cements India Ltd Page 22 of 34

24 boiler. Crushed coal/ lignite shall be conveyed to the boiler bunkers with the help of belt conveyors. Limestone Handling System Dust collected in the Kiln/ raw mill bag filter shall be used in the boiler to capture sulphur in fuel and reduce the SOx emissions to the atmosphere. The dust shall be conveyed by either pneumatic pumps or bulk trucks to the limestone bin located in the power plant. Ash Handling System Fly ash collected in the air preheater, economizer and the ESP hoppers shall be collected and conveyed to the fly ash silo by dense phase pneumatic handling system. The collected fly ash shall then be conveyed to the cement mill hopper in the cement plant through trucks. The bed ash shall be cooled with the help of bed ash coolers and conveyed to bed ash silo by dense phase pneumatic handling system. Pollution Control Equipment The below mentioned is the broad list of various types of pollution control equipments which are proposed to be envisaged. S. No Equipment Departments/ Locations Emission Values 1. Boiler Electrostatic Precipitator <30mg/Nm³ 2. Transfer Towers Nuisance bag filters <30mg/Nm³ 3. Material transfer points, Nuisance bag filters bunkers/ hoppers/ silos Table 3: Pollution Control Equipment for Power Plant Utility Systems <30mg/Nm³ Compressor shall be installed to meet the requirements of plant equipments, instruments and bag filters. Separate set of compressors shall be considered for ash handling. The cooling tower make up, drinking, sanitation and auxiliary water requirements shall be met from treated water storage tanks located within the cement plant premises. Water required for boiler make-up shall be treated in a water treatment plant (RO+DM). Reject water collected from the treatment plant and boiler blow down shall be collected and treated in neutralization pit located in the CPP premises. Fire hydrant system along with fire protection system shall be envisaged for the protection of equipments and plant Electrical Systems The generation voltage and frequency shall be 11 kv and 50 Hz respectively. The output medium voltage (MV) power i.e., 11 kv from the power plant generators shall be fed to the central medium voltage distribution board located at the power plant premises. Heidelberg Cements India Ltd Page 23 of 34

25 A provision shall also be made to tap the power from main grid and feed it to the MV distribution board in which the generator terminal is feeding. The same shall act as an emergency backup and shall cater the power requirements during exigencies. The generated power from the feeder shall be then fed to the equipments/ transformers/ power control center/ motor control center etc. as per the required voltage distribution. Lighting, Earthing and Lightening Protection shall be envisaged as per requirement. Fire Detection and Alarm System, Pressurization and Ventilation Systems, air-conditioning is also envisaged for the project. Emergency power system shall include diesel generator, direct current supply system and UPS Control &Instrumentation Microprocessor based control system shall be programmed for sequential control of drives and supervision/control of various process variables as per Process requirements. Field instrumentation comprise of field sensors, transmitters etc., shall set up for monitoring of processes and safety of equipments UPS power supply shall be envisaged to the proposed CPP to cater the needs of the vital equipments in case of a sudden power failure. EPABX telephone exchange, public addressing systems and walkie-talkie systems working at allotted frequencies shall be envisaged Auxiliary Infrastructure A central control room shall be envisaged to control the plant operations remotely. A well-equipped lab shall be envisaged to regularly check the quality of water, quality of fuel etc. shall be envisaged. Security office, shift units and sanitary blocks shall be envisaged as required. No separate workshops/ store is being envisaged for the CPP, since the CPP is sharing the same boundary of cement plant the earlier mentioned shall be common for both Captive Jetty The captive jetty is envisaged to handle the incoming and outgoing materials. Quay of approximate dimension 300 x 30mtr is envisaged. Coal and Gypsum shall be the incoming materials to plant through jetty. The same shall be received via handy size vessels of approx. capacity to DWT and shall be evacuated using heavy duty bulk unloaders. The materials shall then be conveyed to cement plant with the help of belt conveyors. Cement and clinker shall be the outgoing material from proposed jetty. The same shall be loaded into the barges of approx. capacity 3000 to 8000 DWT using bulk loaders and / or cranes. Coal/ gypsum shall be transported to cement plant via overland belt conveyors. Cement/ clinker from cement plant shall be conveyed to captive jetty via belt/ pipe conveyor. Heidelberg Cements India Ltd Page 24 of 34

26 Approach road in asphalt construction is envisaged from cement plant to captive jetty along the conveyor gallery Desalination Plant To cater the water requirements of the Cement Plant, Captive Power Plant and the Housing Colony a desalination plant of approx. capacity 3500 m³/day shall be envisaged. The plant shall be installed near to the jetty. Sea water shall be extracted from sea by constructing intake wells. Pretreatment and filtration is envisaged prior to pumping the water to water treatment plant. Water treatment plant with sea water reverse osmosis (SWRO) plant and brackish water reverse osmosis (BWRO) plant is envisaged. Treated water shall be conveyed to tanks located in cement plant. Compressor shall be installed to meet the requirements of equipments and bag filters. Fire hydrant system along with fire protection system shall be envisaged for the protection of equipments and plant. A laboratory shall be envisaged for the testing of various parameters of water Electrical Systems Requirements of power shall be met from the captive power plant. A HT cable shall be laid from cement plant to desalination plant. A sub-station shall be installed within the plant boundary for the incoming line of 11kV from power plant. Received power shall be then fed to the equipments/ transformers/ power control center/ motor control center etc. as per the required voltage distribution. Lighting, Earthing and Lightening Protection shall be envisages as per requirement. Fire Detection and Alarm System, Pressurization and Ventilation Systems, air-conditioning is also envisaged for the project RAW MATERIALS AND FINISHED GOODS Estimated Requirements and Source Raw materials required for producing the required grades of cements shall be Limestone (more than 90%) and suitable correctives such as bauxite, iron ore, black cotton soil, clay and additives such as gypsum and fly ash. Fuel used shall be coal and / or lignite. The estimated raw material and fuel quantity for the total cement production of 4.00 MTPA is shown in Table 4 : Raw Material Requirements below: S. No Material Approx. Quantity in MTPA (Dry Basis) Source 1. Limestone 3.5 Balana Villiage, Gujarat 2. Corrective Local Sources 3. Corrective Local Sources 4. Corrective Local Sources Heidelberg Cements India Ltd Page 25 of 34

27 S. No Material Approx. Quantity in MTPA (Dry Basis) Source 5. Corrective Local Sources 6. Gypsum 0.20 India/ Imported 7. Coal/ Lignite 0.67 India/ Imported 8. Fly Ash / Slag 1.40 CPP and nearby sources Table 4 : Raw Material Requirements Marketing Area of Final Products Cement produced is expected to be consumed within India. The project is expected to cater the markets of Gujarat, Rajasthan, Madhya Pradesh and Maharashtra. Further, the project shall also tap markets of Kerala and Karnataka coastal belt through the coastal route. Project also has provision to export cement through its own captive jetty or through nearby commercial ports Mode of Transport of Raw Materials Raw materials and fuel are expected to be received through various means to the proposed cement plant as shown in Table 5 : Mode of Transport of Raw Materials below: S. No Material Transportation Mode 1. Limestone Through OLBC from Mines 2. Fly Ash 3. Correctives Via Road 4. Gypsum Through Captive Jetty or Via Road 5. Coal Table 5 : Mode of Transport of Raw Materials Mode of Transport of Finished Goods Finished goods viz. cement and clinker are envisaged to be transported both via roads as well as via captive jetty RESOURCE OPTIMISATION/ RECYCLING AND REUSE ENVISAGED IN THE PROJECT Mining Plan shall be prepared prior to the plant operation to optimize the usage of limestone. The limestone from different pits shall be suitably blended, based on the requirement, to achieve desired quality as well increase the life of limestone mine. The process selected envisages re-cycling all the material collected in the pollution control equipment. All the water consumption units like cooling tower, circulating water systems, boiler etc. are designed to work under closed circuit and hence considerably reducing the consumed power and water. Heidelberg Cements India Ltd Page 26 of 34

28 Sewage from cement plant and power plant shall be collected and treated in STP for effective recycling. The treated water shall be used for green belt development, road spray etc., whereas solid rejects shall be used as fertilizer for plant vegetation. Ash and treated water from neutralization pit shall be recyclable products from power plant. Fly ash generated from captive power plant shall be effectively utilized in cement production. Bed ash shall be partly reused as bed material in boilers while the rest is expected to be consumed in the cement plant process. The sewage waste generated in the housing colony shall be collected and treated in modular STP for effective recycling. The treated water shall be used for green belt development, road spray etc., whereas solid rejects shall be used as fertilizer for plant vegetation. The sand from dredging during project phase and during operation phase shall be used largely for construction purposes and the balance shall be suitably disposed of in mines. A suitable area shall be allocated for temporary storage of dredged sand before being disposed of AVAILABILITY OF WATER ITS SOURCE, ENERGY/ POWER REQUIREMENT Water Power Water is one of the most vital requirements of the captive power plant. Cement plant also requires water for process spray, recirculation etc. Water shall also be required for the dust spray, sanitary facilities, drinking, road wash, gardening etc. of both cement and power plant. In addition to the above the water for drinking and sanitation of people in housing colony shall also be supplied. The total water consumption, considering all the above mentioned systems/ departments/drinking/ sanitation needs works out to be 3300 m³/ day. The entire water required shall be sourced from sea and also as an alternative water source underground bore wells shall be envisaged for part requirements. The maximum power demand is expected to be around 50 MVA. Captive power plant shall cater the power requirements of these facilities QUANTITY OF WASTE TO BE GENERATED AND SCHEME FOR MANAGEMENTS/DISPOSAL In Cement Plant The dust collected in the pollution control equipment shall be fed back to the process. Hence no solid waste shall be generated from the cement plant. Liquid waste such as waste water generated from sanitary blocks and offices shall be collected and treated in a sewage treatment plant located in the plant. The treated water shall be used for green belt development, road spray etc., whereas solid rejects shall be used as fertilizer for plant vegetation. The liquid wastes such as cooling tower blow down etc. shall be neutralized in the neutralization pit and the same shall be used for road wash, green belt development etc.. Heidelberg Cements India Ltd Page 27 of 34

29 In Power Plant Fly ash and Bed ash are the solid waste being generated in CPP. Fly ash generated shall be consumed with in the cement plant. Bed ash shall be partly reused as bed material in boilers while the balance shall be disposed off in mines. Liquid waste such as blow down water from the boilers, cooling towers and the effluents generated from the water treatment shall be collected and treated in neutralization pits. Treated water shall be used for road spray, dust suppression with in plant premises. Liquid waste such as waste water generated from sanitary blocks and offices shall be sent to STP cement and treated as described above Desalination Plant The reject water from the desalination plant shall be disposed back into sea Captive Jetty Dust collected at transfer points shall be fed back to the process. Hence no solid waste shall be generated from captive jetty. The sand from dredging during project phase and during operation phase shall be used largely for construction purposes and the balance shall be suitably disposed off in mines. A suitable area shall be allocated for temporary storage of dredged sand before being disposed off. No liquid waste is expected to be generated from captive jetty Housing Colony The only waste generated from the housing colony shall be sewage rejects. Sewage collected from sanitary blocks shall be treated in a potable sewage treatment plant. Treated water shall be used for plantation, road spray purposes SCHEMATIC REPRESENTATION OF THE FEASIBILITY DRAWING WHICH GIVE INFORMATION OF EIA PURPOSE The schematic representation of the plant layout is provided in Appendix I of this report. 4. SITE ANALYSIS 4.1. CONNECTIVITY The proposed cement plant shall be located at village Balana, Jafrabad Taluk, District Amreli, Gujarat state. The proposed plant site is presently approachable by an existing 5m wide asphalted PWD road which links all the villages upto Dharbandhar with the State Highway No. 90 (SH-90) at village Vadhera. Presently there is no motorable approach to the location of the captive jetty. A new road is proposed to be constructed between the plant and the jetty along the line of the conveyor transferring material to and fro from the captive jetty to the plant. The Heidelberg Cements India Ltd Page 28 of 34

30 connectivity of the plant is as shown in Table 6 : Connectivity of the Proposed Plant Site below: S. No Category Description 1. Nearest Major Towns / Places Una- 30 km; Diu - 40 km; Jafrabad 2.6 km; Rajula - 25 km; Pipava Port - 40 km 2. Nearest Railway Station Una 30 kms; Rajula 25kms; Amreli 80kms 3. Nearest Air Port Diu 40 kms; 4. Nearest Commercial Port Pipavav Around 43 kms; Table 6 : Connectivity of the Proposed Plant Site 4.2. LAND FORM, LAND USE AND LAND OWNERSHIP The land use of the area is primarily agricultural land use followed by waste land. About 40% of the total land for mine is government land while the remaining land is private land. The area identified for cement plant is entirely private land. The ownership of the land for the project fall with three villages, Vadhera (about 126 land parcels), Balana (37 land Parcels) and Rohisa (235 land parcels) TOPOGRAPHY The proposed area has topographical undulations across the entire stretch. Site leveling and terracing would need to be carried out to meet the requirements of various units. There is an elevated cliff of about 8m which separates the mine are from the sea coast EXISTING LAND USE PATTERN, WATER BODIES ETC The land use of the project area can be defined as: Agricultural: about 58-60% Agricultural Grazing/ Gauchar land: 8-10% Undeveloped Wasteland: 30-33% 4.5. EXISTING INFRASTRUCTURE There is no existing project infrastructure SOIL CLASSIFICATION The soil in the area is classified as coastal alluvium. These are formed by deposition products of weathering of rocks from higher elevation and deposit them in the low-lying areas. The alluvial soils are immature and have weak profiles. Heidelberg Cements India Ltd Page 29 of 34

31 4.7. CLIMATE DATA FROM SECONDARY SOURCE TEMPERATURE The proposed area falls under the coastal zone. The minimum temperature at the proposed site is 12 C and the maximum temperature is 45 Deg C RAINFALL Annual rainfall of around 550 mm is being recorded in the zone of the proposed plant area RELATIVE HUMIDITY Relative humidity of 60% to 70% exists in the zone of proposed plant area. This high range of humidity is experienced because of its vicinity to the coastal area Wind and Cyclone Hazard Risk Zone The proposed project site falls under very high damage risk Zone B (v=50m/sec) Seismic Zone The proposed project site falls under Zone III seismic zone SOCIAL INFRASTRUCTURE AVAILABLE As per the District Census Hand Book 2011 published by the Office of the Registrar General and Census Commissioner, India under the Ministry of Home Affairs, the following social infrastructures are available in the three villages of Balana, Rohisa and Vadera, Schools All three villages have a government primary school each. Rohisa has a private primary school as well. Vadera is the only village that has a government secondary school. In order to pursue education at the senior secondary level, students from Balana and Vadera villages have to travel a distance of 5 to 10 km while students from Vadera have to travel more than 10 km to the nearest facility. Health Facilities Rohisa and Vadera villages have a public health sub centre each. To avail health care at a hospital, patients from Balana and Vadera have to travel distance of 5 to 10 km while patients from Rohisa have to travel more than 10 km to the nearest health facility. Veterinary Facilities None of the villages have a veterinary facility. To avail veterinary care, the villagers from Balana and Vadera have to travel distance of 5 to 10 km while villagers from Rohisa have to travel more than 10 km to the nearest facility. Community Centres Rohisa is the only village amongst the three villages which has a community centre for the community. Heidelberg Cements India Ltd Page 30 of 34

32 5. PLANNING BRIEF 5.1. PLANNING CONCEPT The proposed project shall be Greenfield installation POPULATION PROJECTION As per the 2011 Census data, the total population of Balana village was 1701 with 867 males and 834 females respectively, while the total population of Rohisa village was 5604 with 2887 males and 2717 females and Vadera village was 4442 with 2247 males and 2195 females. During the construction phase, it is envisaged that at peak period the number of labour would be 3000, while during the average period the number would be around In the operational phase, it is expected that an approximate number of personnel shall be provided direct employment in the cement plant, power plant, desalination plant and the captive jetty. Out of these employees, it is expected that around staff would be housed at the housing colony which would be located in the vicinity of the cement plant area LAND USE PLANNING The quantum of usage of land and the proposed green belt area are clearly mentioned in the proposed plant layout. Brief details are provided below: S. No Usage Category Approximate Quantum in Ha 1. Limestone Mines Cement Plant (Including area for stock piles) Power Plant Desalination Plant Green Belt Area 35 Table 7 : A Brief of Land Usage Planning 5.4. ASSESSMENT OF INFRASTRUCTURE DEMAND The main additional infrastructure requirement envisaged for the project is housing colony along with social infrastructure such as recreational facilities, shopping facilities for daily needs etc. First aid facilities would also be required. Canteen and first aid facilities at plant would be required. All the above facilities are planned to be provided as part of the project. The existing road infrastructure is considered adequate for connectivity and transport logistics and no new connecting roads are planned. Heidelberg Cements India Ltd Page 31 of 34

33 5.5. AMENETIES/ FACILITIES A few of the notable auxiliary infrastructure expected to be provided for the proposed cement plant is as mentioned below: A housing colony with facility to accommodate 300 to 350 staff personnel. The housing colony shall also be provided with social infrastructure such as shopping facilities for daily needs, recreational facilities etc. Guest house is also envisaged for visitors. A first aid clinic shall be provided at the cement plant. Required number of shift and sanitary units A canteen to serve food and beverages for the employees Adequate parking facilities shall be envisaged within the plant and truck parking spaces along with restrooms shall be facilitated outside the plant premises. 6. PROPOSED INFRASTRUCTURE 6.1. INDUSTRIAL AREA The industrial complex is expected to consist of a cement plant, a captive power plant, a desalination plant and a captive jetty. A dedicated electro-mechanical workshop to meet the maintenance requirements of the project is also envisaged. Ware houses shall be envisaged as per the requirements of the plant to maintain the necessary inventory for hassle free operations. A fully equipped laboratory with the state of the art technology shall be envisaged to monitor and control the quality. In addition to that canteens, gate houses, sanitary blocks, shift units etc. shall be envisaged as auxiliary infrastructure RESIDENTIAL AREA The residential area/ Housing colony are proposed to be located in vicinity to the plant area at a distance of approximately 1 km from the plant towards the eastern side of the plant as denoted in the Figure 6: Location of Various Entities GREENBELT Approximately 30% - 35% of the total cement and power plant boundary shall be envisaged with green belt area SOCIAL INFRASTRUCTURE HCIL has well defined CSR policy to Carryout social development and welfare measures in the surrounding villages. Under CSR activity, HCIL shall initiate community development projects, in the fields of health, education and environmental preservation, in the study area around the plant as is done in their existing units. Heidelberg Cements India Ltd Page 32 of 34

34 6.5. CONNECTIVITY The existing 5 m wide road connecting the State Highway No. 90 (SH-90) at village Vadhera and subsequently to National Highway shall use for vehicle movements. A new approach road shall be constructed between the cement plant and the proposed captive jetty DRINKING WATER MANAGEMENT The drinking water for the entire cement plant, captive power plant, captive jetty area and housing colony shall be supplied from the desalination plant utilising sea water. Underground bore wells shall be constructed as an alternative source SEWERAGE SYSTEM The sewage from the cement plant, power plant shall be collected and conveyed to the common sewage treatment plant and then the same shall be treated. A modular type sewage treatment plant is envisaged for the housing colony. The output from the STP shall be effectively used for the green belt development and road/ vehicle washing purposes INDUSTRIAL WASTE MANAGEMENT The production of cement shall be based on completely dry process; hence no process solid waste will be generated from the plant. The water used for boilers and cooling towers (both of cement plant and power plant) will be working in a closed circuit and shall experience only drift and evaporation losses and generate very minimal quantity which shall be rejected as blow down. The boiler and CT blowdown of CPP shall be collected and treated in neutralization pit. Hazardous wastes like spent oil from the construction equipment, DG sets etc., generated in small quantities during construction/ operation phases would be appropriately stored, handled and disposed of. The sand from dredging during project phase and during operation phase shall be used largely for construction purposes and the balance shall be suitably disposed off in mines. A suitable area shall be allocated for temporary storage of dredged sand before being disposed off SOID WASTE MANAGEMENT The dust collected in the pollution control devices in the cement plant shall be recycled back to the process. No other solid waste shall be generated from the cement plant. The only solid wastes generated in the power plants are fly and bed ash. The fly ash generated is conveyed to the cement plant and 100% utilization of the same in the cement production process shall be envisaged. Bed ash shall be partly reused as bed material in boilers while the rest is expected to be consumed in the cement plant process. The sewage generated in various parts of the complex shall be collected and treated appropriately in STP as mentioned in the earlier parts of the documents. The sand from dredging during project phase and during operation phase shall be used largely for construction purposes and the balance shall be suitably disposed off in mines. A suitable area shall be allocated for temporary storage of dredged sand before being disposed off. Heidelberg Cements India Ltd Page 33 of 34

35 6.10. POWER REQUIREMENT AND SUPPLY/ SOURCE The maximum power demand is expected to be around 50MVA. The entire plant relies upon the captive power plant of approx. gross generation capacity70 MW for its power requirements. 7. REHABILITATION AND RESETTLEMENT (R&R PLAN) 7.1. POLICY TO BE ADOPTED IN RESPECT OF THE PROJECT AFFECTED PERSONS INCLUDING HOME OUSTEES, LAND OUSTEES AND LANDLESS LABORERS Land will be purchased directly from the land owners on will buyer willing seller basis. Adequate compensation based on mutual negotiations will be paid for the land, standing crop and any other infrastructure affected by the procurement of land. 8. PROJECT SCHEDULE AND COST ESTIMATE 8.1. DATE OF START OF CONSTRUCTION AND COMPLETION The cement project is expected to commission within thirty six to forty eight (36-48) months from contract signing date. Captive jetty, desalination plants shall also be started simultaneously and completed within the above schedule ESTIMATED PROJECT COST WITH ANALYSIS OF ECONOMIC VIABILITY OF THE PROJECT Estimated project cost for all the facilities being proposed by HCIL is INR 2710 Crores. S. No Description Price (In Crores) 1. Cement Plant Captive Power Plant Desalination Plant Captive Jetty Housing Colony 67 TOTAL PROJECT COST 2710 Table 8: Project Cost 9. ANALYSIS OF PROPOSAL (FINAL RECOMMENDATION) 9.1. FINANCIAL AND SOCIAL BENEFIT The Social benefits would be in the form of Corporate Social Responsibility (CSR) activities that would be initiated by HCIL for the welfare of the communities residing in the villages of Balana, Rohisa and Vadera. A Needs Assessment Study to plan and implement the CSR activities would be undertaken during the Social Impact Assessment study of the project area. Heidelberg Cements India Ltd Page 34 of 34

36 APPENDIX I: PROPOSED PLANT LAYOUT Heidelberg Cements India Ltd Page 35 of 34