Rashtriya Chemicals & Fertilizers (RCF) has asked for additional allocation of gas from Reliance

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Industries' KG D6 fields for future

projects, saying it may not be able to complete financial closure unless the fuel was committed.

The PSU firm also said fertilizer companies will require 20-million units of gas over the next 3-4 years as many would convert to using gas as feedstock instead of costlier naphtha.

"If we take a 3-4 year time horizon, then the industry will need 20 mmscmd (million standard cubic metres per day) of gas. And that gas has to be allocated now, otherwise no financial closure will take place," RCF Chairman and Managing Director, U S Jha, said.

"This would mainly be used for revamping and conversion of units from naphtha to gas," said Jha, who also serves as Director on the Board of Fertilizer Association of India.

Madras Fertilizers, Nagarjuna Fertlizers and GNFC among others were going for conversion to gas-based units, he said.

Fertilizer Secretary Atul Chaturvedi also, earlier this month, sought over 43 mmscmd of additional gas to convert all existing non-gas based units to gas, revive closed urea units and for setting up of expansion projects.

Fertilizer units and urea plants currently receive a total of 15.1 mmscmd of KG-D6 gas, of which RCF draws 2.7 mmscmd for its Trombay and Thal plants