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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana PRE FEASIBILITY REPORT 1 | Page Pre-Feasibility Report For Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day by M/s Sand Chem India Ltd. At Plot No. – 43-44, Industrial Area, Dharuhera, Tehsil Rewari, District Rewari, Haryana Environment Consultant Vardan Environet (QCI and NABET/EIA/1619/RA 0037) Plot No. - 82 A, Sector- 5, IMT Manesar, Gurugram (Haryana) Contact no.-9971684812 Mail ID: [email protected]

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Page 1: M/s Sand Chem India Ltd. Existing Project for Capacity ...environmentclearance.nic.in/writereaddata/Online/... · M/s Sand Chem India Ltd is a firm started with the objective to get

M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana

PRE FEASIBILITY REPORT

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Pre-Feasibility Report

For

Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day

by

M/s Sand Chem India Ltd. At

Plot No. – 43-44, Industrial Area, Dharuhera, Tehsil Rewari, District Rewari, Haryana

Environment Consultant

Vardan Environet

(QCI and NABET/EIA/1619/RA 0037) Plot No. - 82 A,

Sector- 5, IMT Manesar, Gurugram (Haryana)

Contact no.-9971684812

Mail ID: [email protected]

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana

PRE FEASIBILITY REPORT

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Table of Contents

S.no. Chapters

Page no

1 Executive Summary 2-4 2 Introduction of the Project / Background Information 5-6

3 Project Description 7-16 4 Site Analysis 17-20 5 Planning Brief 22-22 6 Proposed Infrastructure 23-24 7 Rehabilitation & Resettlement Plan 25 8 Project Schedule & Cost Estimates 26-27 9 Analysis of Proposal (Final Recommendation) 28

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana

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1. EXECUTIVE SUMMARY

Project

M/s Sand Chem India Ltd is a firm started with the objective to get involved in the business of manufacturing & trading in organic chemicals viz. Formaldehyde. M/s Sand Chem India Ltd. is an existing unit of Formaldehyde manufacturing with the production capacity of 40 M.T per day since 1995 based on NOC/CTE. Now, industry comes under Capacity Expansion with the production from 40 M.T per day to 120 M.T per day. So, the proposal is for the existing project for Capacity Expansion of manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No.43-44, Industrial Area, Dharuhera, Tehsil Rewari, District Rewari, Haryana. The Company has been registered by MSME on dated- 28/08/2019 (attached as Annexure-I).The existing plant was established based on NOC/CTE vide File no.–HWPCB/NOC/95/2058 on Dated-07/02/1995 (attached as Annexure- II). The latest CTO was granted vides Application No.-6182172, Dated- 28/01/2019 (attached as Annexure- III).

Location The Existing project is located in 8100 sq.m of land and is situated at Plot No.-43-44,

Industrial Area, Dharuhera, Tehsil Rewari, District Rewari, Haryana. This is existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day. The land is itself in HUDA Industrial area.

There is no forest land involved in this 8100 sq.m of land. The geographical location of the Existing plant lies from Latitude- 28°12'45.54" N to Longitude- 76°46'36.15"E.

The Existing plant site is well connected with the rail and road connectivity. The Existing project site is about 0.4 kms from HUDA Industrial Area which is in SW direction, 3.9 kms from SH-28 (Rewari-Sohna Highway) which is in WSW direction and is 1 km from NH-8 which is in ESE Direction (Delhi- Jaipur Expressway),1.2 kms from NH71B in SSE Direction and is about 4.8 kms from SH-25 in ESE direction.

It is connected with the adjacent states and other parts of India as well, which facilitates transportation of goods, both inwards and outwards. This further facilitates the marketing of Formaldehyde all over India including Haryana, Punjab & Rajasthan and nearby industrial areas having plywood and Sunmica/decorative laminate industry.

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana

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Need for the project

The Formaldehyde is used by plywood and Sunmica laminated sheets manufacturers, who make adhesives like Urea Formaldehyde, Phenol Formaldehyde, Malamine Formaldehyde. Plywood Boards and Sun mica sheets market is growing very fast in India. The market is expected to continue to grow at the minimum rate of 10 to 15% per year.

During the last decade, India has built a very strong position as sun mica sheets and ply wood boards for domestic consumption and for Exports to South Asian countries & Middle East. Formaldehyde is used by ply wood and sun mica laminated sheets manufacturers, who make adhesives like Urea Formaldehyde and Phenol Formaldehyde products. So considering the above, the M/s Sand Chem India Ltd. has setup manufacturing unit of Formaldehyde with the capacity of production of 40 M.T per day and now comes under Capacity Expansion from 40 M.T per day to 120 M.T per day. Project Proponent The present proposal is for the Capacity Expansion of existing unit of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day which is being promoted by Mr. Anil Aggarwal, who is very experienced person. Process / Technology

The commercial production of Formaldehyde is manufactured from oxidation- dehydrogenation using a silver catalyst involving either the complete or incomplete conversion of methanol.

Methanol is vaporized and mixed with air and steam and it is then passed over a thin bed of silver catalyst at 650°C. Formaldehyde is formed by the dehydrogenation of methanol.

The heat required for the endothermic reaction is obtained by burning hydrogen content in the off gasses, produced from the dehydrogenation reaction. Manpower Requirement About 4-5 persons have been employed to the industry.

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana

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Water requirement

(i) Existing Requirement: Total water requirement is 20 KLD. For industrial purpose is 17.5 KLD, for Domestic purpose is 2 KLD & for green belt is 0.5 KLD. (ii) Capacity after Expansion Requirement:

Total water requirement will be 60 KLD. For industrial purpose will be 55 KLD, for Domestic

purpose is 3 KLD & for green belt is 2 KLD. Application for Groundwater abstraction has been filed to CGWA.

Power Requirement

Maximum power requirement for the plant is 245 KVA (Total Connected Demand). Average running load power requirement for the project is 226 KVA. The power is supplied from DHBVNL (Dakshin Haryana Bijli Vitran Nigam Ltd.).

1 DG set of capacity 125 KVA also exists as the backup power supply. Raw Material Requirement The only raw material is Methanol ( 99.9%) which comes in road tankers & stored in 334

KL underground 8 M.S tanks. Capital Cost of the project The fixed cost for the Existing project is 348.7 lacs which includes land, building and

plant& machinery and it will expands to 448.7 lacs including 100 lacs for Capacity Expansion.

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana

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2. INTRODUCTION OF THE PROJECT / BACKGROUND INFORMATION (i) Identification of Project & Project Proponent Project M/s Sand Chem India Ltd. is a firm started with the objective to get involved in the business of manufacturing & trading in organic chemicals viz. Formaldehyde. M/s Sand Chem India Ltd. is an existing unit of Formaldehyde manufacturing with the production capacity of 40 M.T per day since 1995 based on NOC/CTE. Now, industry comes under Capacity Expansion with the production from 40 M.T per day to 120 M.T per day. So, the proposal is for the existing project for Capacity Expansion of manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No.43-44, Industrial Area, Dharuhera, Tehsil Rewari, District Rewari, Haryana. The Company has been registered by MSME on dated- 28/08/2019 (attached as Annexure-I).The existing plant was established based on NOC/CTE vide File no.–HWPCB/NOC/95/2058 on Dated-07/02/1995 (attached as Annexure- II). The latest CTO was granted vides Application No.-6182172, Dated- 28/01/2019 (attached as Annexure- III).

Project Proponent The present proposal is for the Capacity Expansion of existing unit of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day which is being promoted by Mr. Anil Aggarwal, who is very experienced person. Process/Technology M/s Sand Chem India Ltd. has setup manufacturing unit of Formaldehyde at 43-44, Industrial Area, Dharuhera, Tehsil Rewari, District Rewari, Haryana. (i) Brief description of nature of project: M/s Sand Chem India Ltd. is an existing unit of Formaldehyde manufacturing with the production capacity of 40 M.T per day since 1995 based on NOC/CTE. Now, industry comes under Capacity Expansion with the production from 40 M.T per day to 120 M.T per day. The commercial production of Formaldehyde is manufactured from oxidation-dehydrogenation using a silver catalyst involving either the complete or incomplete conversion of methanol. As per EIA Notification dated 14th September, 2006, as amended on 25 June 2014, the project falls under activity ‘5(f)’ and the presence of interstate boundary of Rajasthan and Haryana within 5km (1.3 kms) from the project site in NNE direction makes the general

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana

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condition applicable on the project which makes it category ‘A’ project. The project requires appraisal/approval at central level in the Ministry. (ii) Need for the Project and its importance to the country and or region. The Plywood Boards and sun mica sheets market is growing very fast in India. The market is expected to continue to grow at the minimum rate of 10 to 15% per year. During the last decade, India has built a very strong position as sun mica sheets and ply wood boards for domestic consumption and for Exports to South Asian countries & Middle East. Formaldehyde is used by ply wood and sun mica laminated sheets manufacturers, who make adhesives like Urea Formaldehyde and Phenol Formaldehyde products. So considering the above, the M/s Sand Chem India Ltd. has setup manufacturing unit of Formaldehyde with the capacity of production of 40 M.T per day and now comes under Capacity Expansion from 40 M.T per day to 120 M.T per day. (iii) Supply – Demand Gap The project is envisaged to meet the demand supply gap in the domestic market, as the gap is created due to increase in growth of Formaldehyde for meeting increased demand of PLYWOOD and SUN MICA industries. (iv) Imports V/s Indigenous Production Company is making its Raw Material / Packing material procurement from the domestic market in big quantities more than as compared to its Import Purchases. The Company in this manner and under statutory provisions and rules, is also utilizing the Import benefit policies allowed/ extended & allowed by the Govt. of India. (v) Domestic Market The Plywood Boards and sun mica sheets market is growing very fast in India. The market is expected to continue to grow at the minimum rate of 10 to 15% per year which makes the sufficient possibility to fulfill the domestic market demand. The Domestic supplies of the company will indirectly contribute to the growth of our nation.

(vi) Employment Generation (Direct and indirect)

About 4-5 persons have been employed to the industry. Direct and Indirect employment is also likely to be generated with the Existing project which is economically beneficial for the development.

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana PRE FEASIBILITY REPORT

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3. PROJECT DESCRIPTION

(i) Type of Project including interlinked and interdependent projects, if any: Formaldehyde is a main constituent for manufacturing valuable chemical like melamine, urea and phenolic resins. It also acts as biocides, preservatives and used in many household & common products including medicines, health & beauty aids. It is available in 37% aqueous solution. It is identified by some of its properties like molecular weight about 30.3, boiling point -118 °C, melting point at - 19 °C and density of 0.815 at -20 °C.

The Existing integrated facility is producing 40 M.T per day of Formaldehyde which now comes under Capacity Expansion from 40 M.T per day to 120 M.T per day.

The project is equipped with fully diversified processing facilities. The number of working days for the Existing project is 330 days. The Plant is operated 7 days in a week along with effective utilization of the resources.

(ii) Location (Map showing gene ra l location, specific location, and project boundary

and project site layout) with coordinates : The Existing project is located in 8100 sq.m of land and is situated at Plot No.43-44, Industrial Area, Dharuhera, Tehsil Rewari, District Rewari, Haryana. The land is already under the possession of project proponent.

There is no forest land involved in this Existing project land. The geographical location of the Existing plant lies from Latitude- 28°12’45.54” N to Longitude- 76°46’36.15”E. The Existing plant site is well connected with the rail and road connectivity. The Existing project site is about 0.4 kms from HUDA Industrial Area which is in SW direction, 3.9 kms from SH-28 (Rewari-Sohna Highway) which is in WSW direction and is 1 km from NH-8 which is in ESE Direction (Delhi- Jaipur Expressway),1.2 kms from NH71B in SSE Direction and is about 4.8 kms from SH-25 in ESE direction.

The nearest settlement is Dharuhera at a distance of 1 km (approx) in SE direction. Densely Populated Area is Dharuhera at a distance of 1 km in SE direction. The nearest major railway station is Khalilpur Railway Station at a distance of 11.8 km (approx) in WNW direction. Kumbhawas Mundhalia Dabri Halt Railway station at a distance of 12.6 kms in WNW direction & Icchapuri Railway Station at a distance of 13.1 kms in NNW Direction. Indira Gandhi International Airport, Delhi is at a distance of 44.5 kms (approx) in North- East direction.

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana PRE FEASIBILITY REPORT

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Project site falls in survey of India Toposheet no. H43W11, H43W12, H43W15, HW4316 Location map of the Project site is presented in Figure 1.

Figure 1: Location Map

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana PRE FEASIBILITY REPORT

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Figure 2: Google Earth Image showing 500 m radius study area

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana PRE FEASIBILITY REPORT

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Figure 3: Layout Plan of Sand Chem India Ltd.

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana PRE FEASIBILITY REPORT

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Figure 4: Key Plan showing 10 km radius study area

iii) Details of alternate sites Considered and the basis of selecting the Existing site, particularly the environment consideration gone into should be highlighted. No alternate sites have been examined for the existing project, as it is located within the industrial area. (iv) Size and Magnitude of Operation M/s Sand Chem India Ltd. has setup manufacturing unit of Formaldehyde with the capacity of production of 40 M.T per day at Plot No.43-44, Industrial Area, Dharuhera, Tehsil Rewari, District Rewari, Haryana which now comes under Capacity Expansion from 40 M.T per day to 120 M.T per day. The fixed cost for the Existing project is 348.7 lacs which includes land, building and plant& machinery and it will expands to 448.7 lacs including 100 lacs for Capacity Expansion.

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana PRE FEASIBILITY REPORT

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(v) Project description with process details: (a schematic diagram/flowchart layout, components of the project)

Formaldehyde Manufacturing Technologies & Process: Raw Material :1 Methanol (CH3OH) :2 Silver (Ag) :3 Water (H2O) :4 Oxygen (O2 from atmosphere) Finished Product : Formaldehyde (HCHO) Step -1: Mixture Preparation In this stage, air is saturated with methanol and steam is added to the mixture. Blower P-101 aspirates atmospherical air through column C-107 and pumps it throughout the installation. Air is saturated with methanol in Column S-101. Methanol rate is adjusted to the desired value S-101. In C-102, air/steam rate is adjusted to values that depend on the desired characteristics of the Formaldehyde to be produced. Steam is produced by the installation and therefore it is not subject to external variations. Equipment & control system are highly developed , thus: Completely avoiding temperature oscillations of the catalyst. Avoiding stable air/ methanol and air/steam rates. Desired rates are easily and accurately achieved. Step -2: Reaction

Methanol –steam-air mixture from C-102 enters C-103 & comes into contact with the catalyst bed, where process reactions take place. Heat released in these reactions passed the mixture temperature to 6500C -7300C. Vapour leaving the catalyst bed are immediately cooled to less than 1500C. This reduces thermal decomposition of Formaldehyde to the minimum. The main reactions of the catalyst are: Methanol Dehydrogenation and hydrogen oxidation CH3OH = CH2 O + H2 H2 + ½ 0 = H20 The secondary reactions that take place are formaldehyde thermal decomposition and oxidation from Carbon Monoxide to carbon dioxide.

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana PRE FEASIBILITY REPORT

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Step -3: Condensation Mixture leaving the catalyst bed is formed by formaldehyde vapour & methanol vapours , steam and inert gas. The inert gas volumetric composition is: CO2 = 4.5% C0 = 0.1% 02 = 0.2% H2 = 16 % N2 + inerts rest Most of these vapours are condensed in column, C-103, where they counter currently washed by the same condensed liquid. Inert gases are washed with their water in column C-104, at the outlet of which formaldehyde and methanol quantities are negligible. Top temperature of tail gas scrubber column is kept under 250C regardless of cooling water temperature. Process itself provides required chilling.

Material Balance i) For Existing Capacity Material Balance for 40 Ton capacity of Formaldehyde – 37% 2 MolesCH3OH + ½ Mole O2 → 2 Moles HCHO + 1 Mole H20 + 1 Mole H2

(64) (16) (60) (18) (2)

Concentration of HCHO formed during reaction 78 grams of HCHO solution formed is having 18 grams of water Concentration of HCHO = (60/78 ) x 100 = 76.92 % Water requirement for 37% Formaldehyde = 76.92-37.0 = 39.92 % Water required for 40 Ton of Formaldehyde = 39.92/100 x 40,000 = 15968 kg ii) For Expansion Capacity Material Balance for 120 Ton capacity of Formaldehyde – 37% 2 MolesCH3OH + ½ Mole O2 → 2 Moles HCHO + 1 Mole H20 + 1 Mole H2

(64) (16) (60) (18) (2)

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana PRE FEASIBILITY REPORT

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Concentration of HCHO formed during reaction 78 grams of HCHO solution formed is having 18 grams of water Concentration of HCHO = (60/78 ) x 100 = 76.92 % Water requirement for 37% Formaldehyde = 76.92-37.0 = 39.92 % Water required for 120 Ton of Formaldehyde = 39.92/100 x 120,000 = 47904 kg

Process Waste: As per present scheme, domestic sewage generated 0.50 KLD treated in septic tank which is used for plantation. There is no discharge of waste water within or outside the premises, unit should maintain Zero Discharge Status. Hazardous Waste: Used oil from machineries/D.G. Set is carefully stored in HDPE drums in isolated covered facility. The used oil is sold to vendors authorized by Central Pollution Control Board for the treatment of the same. Suitable care is taken so that spills/leaks of used oil from storage could be avoided. Air Emissions and Control: All the exhaust gas emissions is channelized all through the process and is reused for various purposes like heating & remained chemical utilization. At the end, the remaining gas will be exhausted through a boiler. Emissions from production processes will contain exhaust gasses which shall contain only Nitrogen, Hydrogen, Carbon dioxide, Carbon Monoxide, VOC and traces of Formaldehyde and Methanol.

To control the air emissions from D.G. Set, stack height of 3 m is provided above the roof level of D.G. Set. Baby Boiler have been installed based on HSD fuel.

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana PRE FEASIBILITY REPORT

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Figure: 5 Process flow diagrams for Formaldehyde

(vii) Raw material required along with estimated quantity, likely source, marketing area of final products, mode of transport of raw material and Finished products. Raw Material requirement for production of Formaldehyde is Methanol (99.9%) (viii) Resources optimization/recycling and reuse envisaged in the project, if any, should be briefly outlined. M/s. Sand Chem India Ltd. optimize utilization of resources including Land, Fuel, Water and Electricity.

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana PRE FEASIBILITY REPORT

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(ix) Availability of Water its source, Energy/Power requirement and source Water requirement

(i) Existing Requirement:

Total water requirement is 20 KLD. For industrial purpose is 17.5 KLD, for Domestic purpose is 2 KLD & for green belt is 0.5 KLD.

(ii) Capacity after Expansion Requirement:

Total water requirement will be 60 KLD. For industrial purpose will be 55 KLD, for Domestic purpose is 3 KLD & for green belt is 2 KLD. Application for Groundwater abstraction has been filed to CGWA.

Power Requirement Maximum power requirement for the plant is 245 KVA (Total Connected Demand). Average running load power requirement for the project is 226 KVA. The power is supplied from DHBVNL (Dakshin Haryana Bijli Vitran Nigam Ltd.). 1 DG set of capacity 125 KVA also exists as the backup power supply. (x) Quantity of waste to be generated (Liquid and solid) and scheme for their management. Process waste As per present scheme, domestic sewage generated 0.50 KLD treated in septic tank which is used for plantation. There is no discharge of waste water within or outside the premises, unit should maintain Zero Discharge Status.

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana PRE FEASIBILITY REPORT

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4. SITE ANALYSIS (i) Connectivity

The Existing plant site is well connected with the rail and road connectivity. The Existing project site is about 0.4 kms from HUDA Industrial Area which is in SW direction, 3.9 kms from SH-28 (Rewari-Sohna Highway) which is in WSW direction and is 1 km from NH-8 which is in ESE Direction (Delhi- Jaipur Expressway),1.2 kms from NH71B in SSE Direction and is about 4.8 kms from SH-25 in ESE direction.

The nearest settlement is Dharuhera at a distance of 1 km (approx) in SE direction. Densely Populated Area is Dharuhera at a distance of 1 km in SE direction. The nearest major railway station is Khalilpur Railway Station at a distance of 11.8 km

(approx) in WNW direction. Kumbhawas Mundhalia Dabri Halt Railway station at a distance of 12.6 kms in WNW direction & Icchapuri Railway Station at a distance of 13.1 kms in NNW Direction. Indira Gandhi International Airport, Delhi is at a distance of 44.5 kms (approx) in North- East direction.

(ii) Land form, Land Use, Land Ownership

Total area of the existing project is 8100 sq.m of land. The land is already under the possession on M/s Sand Chem India Ltd.

(iii) Topography (along with map)

The site has been observed to be almost flat level in topography with an elevation of 291m

Figure: 5 Google Image of the Existing project site

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana PRE FEASIBILITY REPORT

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(iv) Existing Land use Pattern:

8100 sq.m of land is industrial for the existing project. No forest land is involved in the area identified for setting up of the existing project for Modernization of Manufacturing of Formaldehyde by M/s Sand Chem India Ltd. (v) Existing Infrastructure The Existing project is under the possession of project proponent.

Road links: The Existing plant site is well connected with the rail and road connectivity. The Existing project site is about 0.4 kms from HUDA Industrial Area which is in SW direction, 3.9 kms from SH-28 (Rewari-Sohna Highway) which is in WSW direction and is 1 km from NH-8 which is in ESE Direction (Delhi- Jaipur Expressway),1.2 kms from NH71B in SSE Direction and is about 4.8 kms from SH-25 in ESE direction.

(vi) Soil classification: The area is occupied by Indo-Gangetic alluvial plain of Yamuna Sub-Basin. Alluvium plains which forms a part of large Indo- Gangetic Quaternary basin comprises of thick sand and silty sand layers interbedded with silt and clay beds. The alluvium plains are of vital economic value as it supports the dense population of the district. The soils are mainly developed on alluvium under the dominant influence of climate followed by topography and time. The project site comes under Alluvial plain region. The major soil type of Rewari district is calcareous having lime nodules in surface horizon. Soils are tropical arid brown soils. The soils of the district vary in texture generally from loam to silt clay. It may vary with the site location. (vii) Climatic Data from secondary sources: Climate: Rewari, Haryana has a tropical steppe, semi-arid & hot climate characterized with very hot summers and very cold winters except during monsoon when moist air of oceanic origin penetrates into the district. The normal monsoon of the district is 489mm. Normal annual rainfall of the district is 553mm.

Average temperature Summer: The summer temperature can go up to 46 °C from May to July.

Autumn: In autumn, the temperature may rise to a maximum of 35°C. Temperatures usually remain between 15° to 26° in autumn. The minimum temperature is around 15°C.

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana PRE FEASIBILITY REPORT

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Winter: Winters are quite cool. Average temp. in winter during January remains 5-18°C.

Rainfall: The rainfall in the zone is caused by South-West monsoon. It starts in the month of July and extend upto the month of September. During this period the monsoon rainfall contribute about 88% of the total annual rainfall. The average annual rainfall is about 553mm. Humidity: In summer months of April, May and June which is the driest part of the year, the afternoon humidity comes down to 26% to 33% while the relative humidity during monsoon months goes up to 73% to 78%. Wind Speed/Direction: The wind direction in the area is mostly from North-West to South-East. During January to May, the winds are quite strong while July to October is calm months.

Table 1.1: Summary of climate condition

Maximum temperature 40-46°C in the month of May Minimum temperature 10-16°C in the month of January Relative humidity 73-78% (Max.) Rainfall Annual – 548-553 mm Wind Speed 5.0 m/sec.

Predominant Wind

From South to West Seismic data Zone – IV as per IS-1893 (part-I)

(viii) Biodiversity: The data of existing flora and fauna components in the study area has been collected through secondary sources. With the change in environmental conditions the vegetation cover as well as animal reflect several change in its structure, density and composition. The present study was carried out separately for floral & faunal community respectively. Flora: Tree species which are most commonly found in the area are Azadirachta indica (Neem) Acacia arabica (Babool), Ficus religiosa (Peepal), Emblica officinalis (Amla), Dalbergia sissoo (Shishum), Mangifera indica (Aam), Prosopis juliflora (Vilayati babool) etc. Fauna: Commonly found animal in the study area are Common mongoose (Herpestes edwardsi), Rat (R.rattus), Bull Frog (Rana tigrina), House crow (Corvus splendens), Common garden lizard (Calotes vesicolor) etc.

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana PRE FEASIBILITY REPORT

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Crops: The major crops of the district are Wheat, Paddy, barley, gram mustard, etc. The Sugarcane & Sunflower crops are also cultivated in the district to some extent. (ix) Socio-Economic Environment: Socio-economic status of the population is an indicator of development of the region. Any developmental project of any magnitude will have a bearing on the living condition and the economic bearing of the population in particular and the region as a whole. Similarly, the Existing project at Plot No.43-44, Industrial Area, Dharuhera, Tehsil Rewari, District Rewari, Haryana is having its share of socio-economic influence in the study area. The section delineates the overall appraisal of the socially relevant attributes. The data on socio-economic aspects in the study area has been carried out through the analysis of the secondary data available for the study area. As per 2011 Indian census record, Rewari (Haryana) had a population of 900,322. Males constitute about 474,335 of the population and females constitutes 425,997. Rewari (Haryana) has an average literacy rate of 80.99%, male literacy is 91.44%, and female literacy is 69.57%. (x) Other features: Rivers Sahibi River is at 3.6 km in WNW direction.

Interstate Boundary Presence of Interstate Boundary of Rajasthan- Haryana at a distance of 1.3 kms in NNE direction.

Road Connectivity State Highway SH-28 is at a distance of 3.9 kms in WSW direction. National Highway NH-8 is at a distance of 1 kms in ESE Direction. NH71B is 1.2 kms in SSE direction. State Highway SH-25 is at a distance of 4.8 kms in ESE direction.

Nearest Settlement Dharuhera is at a distance of 1 km (approx) in SE direction.

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana PRE FEASIBILITY REPORT

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5. PLANNING BRIEF

(i) Planning concept As per EIA Notification dated 14th September, 2006, as amended on 25 June 2014, the project falls under activity ‘5(f)’ and the presence of interstate boundary of Rajasthan and Haryana within 5km (1.3kms) from the project site in NNE direction makes the general condition applicable on the project which makes it category ‘A’ project. The project requires appraisal/approval at central level in the Ministry. (ii) Employment & Population projection About 4-5 manpower has been employed to ensure smooth working of the plant. Direct and Indirect employment will also be generated from the Existing project during operation. The summary of direct employment estimate for the project is given in the table below: Table 1.2: Manpower Requirement

S.no. Description Manpower

1 Plant Manager 1

2 Environment health safety Officer(EHS) 1

3 Chemist 1

4 Utility/Maintenance 1

5 Electrician 1 Total 5

(iii) Land Use Planning The Existing project is set up in an area of 8100 sq.m. The land use break up is as follows-

Table 1.3: Land Breakup details S.no. Type Of Use Area in sq. m.

1. Working Area & Admin Building 1100.84 sq.m

1 Green Belt Area 5309.53 sq.m

2 Open Land & Passage 1689.63 sq.m

TOTAL LAND 8100 sq.m

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana PRE FEASIBILITY REPORT

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(iv) Assessment of Infrastructure demand

The following plants, machinery Existing for the project is given in the below table:

S.no. Machines & Equipment Quantity

1 Boiler 1 2 Intermediate Tank 4 3 Control Panel 2 4 R.O Plant 2 5 D.G Set 1 6 Cooling Tower 2 7 Reactor Room 1 8 Evaporator 1 9. Blower 1 10 Column-1 1 11 Column-2 1 12 Reactor /Condensor 1 13 Super Heater exchanger 1 14 Transformer 1

(v) Amenities/Facilities Facilities like canteen, rest rooms and recreation facilities will be provided in the Existing project. No other additional facilities are existing.

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana PRE FEASIBILITY REPORT

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6. EXISTING INFRASTRUCTURE (i) Total Area: Total Plot area of M/s Sand Chem India Ltd. is 8100 sq.m. Residential Area: There is no residential area falls under the existing project site. (ii) Green Belt : Total land area of the existing project is 8100 sq.m. The greenbelt has been developed at the site whose area is about 5309.53 sq.m. Adequate green belt provision as per MoEFCC guideline has already been considered for existing project development. Further, unpaved areas, if any, within the plant boundary is provided with grass cover which will also improve the plant aesthetics. (iii) Social Infrastructure Vardaan Hospital, Durga Temple, YES Bank Ltd. Dharuhera, Alamgirpur (archaeological site), Police Station- Dharuhera , Post Office- Kharkhara, Aviraj World School , Jain Public chool , Govt. College- Kharkhara have been recognized nearby. (iv) Connectivity

The Existing plant site is well connected with the rail and road connectivity. The Existing project site is about 0.4 kms from HUDA Industrial Area which is in SW direction, 3.9 kms from SH-28 (Rewari-Sohna Highway) which is in WSW direction and is 1 km from NH-8 which is in ESE Direction (Delhi- Jaipur Expressway),1.2 kms from NH71B in SSE Direction and is about 4.8 kms from SH-25 in ESE direction. The nearest settlement is Dharuhera at a distance of 1 km (approx) in SE direction. Densely Populated Area is Dharuhera at a distance of 1 km in SE direction. The nearest major railway station is Khalilpur Railway Station at a distance of 11.8 km (approx) in WNW direction. Kumbhawas Mundhalia Dabri Halt Railway station at a distance of 12.6 kms in WNW direction & Icchapuri Railway Station at a distance of 13.1 kms in NNW Direction. Indira Gandhi International Airport, Delhi is at a distance of 44.5 kms (approx) in North- East direction.

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana PRE FEASIBILITY REPORT

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(v) Water Requirement

i) Existing Requirement:

Total water requirement is 20 KLD. For industrial purpose is 17.5 KLD, for Domestic purpose is 2 KLD & for green belt is 0.5 KLD.

ii) Capacity after Expansion Requirement:

Total water requirement will be 60 KLD. For industrial purpose will be 55 KLD, for Domestic purpose is 3 KLD & for green belt is 2 KLD. Application for Groundwater abstraction has been filed to CGWA.

(vi) Drinking Water Management Potable Drinking water is provided. Domestic water requirement which include drinking water is envisaged as 3 KLD from its own R.O System. (vii) Water Treatment System As per present scheme, domestic sewage generated 0.50 KLD treated in septic tank which is used for plantation. There is no discharge of waste water within or outside the premises, unit should maintain Zero Discharge Status. (viii) Power requirement & Supply / Source Maximum power requirement for the plant is 245 KVA (Total Connected Demand). Average running load power requirement for the project is 226 KVA. The power is supplied from DHBVNL (Dakshin Haryana Bijli Vitran Nigam Ltd.). 1 DG set of capacity 125 KVA also exists as the backup power supply

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana PRE FEASIBILITY REPORT

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7. REHABILITATION & RESETTLEMENT PLAN No agricultural land and habitation is present in the land and there is no displacement involved. Hence, no Land Acquisition, Resettlement and Rehabilitation is envisaged for this project.

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana PRE FEASIBILITY REPORT

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8. PROJECT SCHEDULE & COST ESTIMATES

(i) Project Schedule:

The construction of the project has already been done and the existing plant was established based on CTE & CTO from HSPCB. The latest CTO was granted vides Application No.-6182172, Dated- 28/01/2019. The Expansion will be done after EC receipt. (ii) Total Project Cost The fixed cost for the Existing project is 348.7 lacs which includes land, building and plant& machinery and it will expands to 448.7 lacs including 100 lacs for Capacity Expansion & further including electrical installation requirement and inclusive of cost of land as presented in the table below:

Total Fixed Cost Cost (Rs. in lakhs)

Land 21.45

Building 27.89

Plant & Machinery 163.00

MFA(Furnitures & Fixtures) 1.49

Vehicles 50.73

Computers 0.30

Tankers 83.67

Software 0.24

Capacity Expansion Cost 100.00

Total 448.7 Table 1.5: Total Cost

Profit and Cost Benefit Analysis Profit and cost benefit analysis can be estimated as the Raw Material cost per kg of product

Methanol Consumption per kg product = 0.500 kg Price of Methanol = Rs 20 per kg

Cost of Formaldehyde Mfg.= Rs 20 x 0.500 = Rs 10.00 per kg Sale price of Formaldehyde = Rs 12 per kg Gross Contribution per kg = Rs 2 per kg

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana PRE FEASIBILITY REPORT

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Processing Charges per kg = Rs. 1.5 Daily Profit per kg = Rs 0.5( 0.5x 40,000=20000 ) Monthly Profit = 20000 x 30 (days) = Rs 6 lacs The manufacturing of Formaldehyde is economically viable.

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M/s Sand Chem India Ltd. Existing Project for Capacity Expansion of Manufacturing of Formaldehyde from 40 M.T per day to 120 M.T per day at Plot No. 43- 44, Industrial Area, Dharuhera , Tehsil Rewari, District Rewari, Haryana PRE FEASIBILITY REPORT

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9. ANALYSIS OF PROPOSAL (Final Recommendation) Formaldehyde is used by ply wood and Sunmica laminated sheets manufacturers, who make adhesives like Urea Formaldehyde and Phenol Formaldehyde products. The commercial production of Formaldehyde is manufactured from oxidation- dehydrogenation using a silver catalyst involving either the complete or incomplete conversion of methanol. The project is envisaged to meet the demand supply gap in the domestic market, as the gap is created due to increase in growth of Formaldehyde for meeting increased demand of PLYWOOD and SUN MICA industries. The Plywood Boards and Sun mica sheets market is growing very fast in India. The market is expected to continue to grow at the minimum rate of 10 to 15% per year which makes the sufficient possibility to fulfill the domestic market demand. The Domestic supplies of the company will indirectly contribute to the growth of our nation. So considering above, M/s Sand Chem India Ltd. has setup manufacturing unit of Formaldehyde with the capacity of production of 40 M.T per day at plot no.-43-44, Industrial Area, Dharuhera, Tehsil Rewari, District Rewari, Haryana which now comes under Capacity Expansion of Formaldehyde from 40 M.T per day to 120 M.T per day.

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