Patel Chem Specialities Limited , a leading chemical company, has taken a significant step towards expanding its operations by signing a major turnkey project agreement. The company has executed an Independent Turnkey Project Service Agreement with J & H Pharma Consultants for their Indrad Plant, valued at Rs 45.00 crores.

Project Details

The agreement outlines a comprehensive project scope for J & H Pharma Consultants. As per the contract, the consultant will be responsible for:

• Designing
• Engineering
• Procuring
• Constructing
• Testing

The project aims to deliver a fully operational facility to Patel Chem Specialities upon completion.

Project Location

The Indrad Plant is strategically located at:

• Survey No. 68 (old block/Survey No.44 Paikee 1 Paikee 1 adm. 15885 Sq. Meter)
• Block/Survey No. 91 (old block/Survey No.44 Paikee 1 Paikee 2 adm. 7088 Sq. Meter)
• Mouje Village, Taluka Talod

Financial Implications

The total consideration for this turnkey project is set at Rs 45.00 crores, highlighting the substantial investment Patel Chem Specialities is making in its infrastructure and capabilities.

Regulatory Compliance

In compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015, Patel Chem Specialities has duly informed the BSE Limited about this significant development.

Independence of the Consultant

J & H Pharma Consultants is not related to the promoter or promoter group of Patel Chem Specialities. The company has explicitly stated that this transaction does not fall under related party transactions, ensuring transparency and adherence to corporate governance norms.

This strategic move by Patel Chem Specialities underscores the company's commitment to growth and operational excellence. The turnkey project is expected to enhance the company's manufacturing capabilities and potentially contribute to its long-term business objectives.

Patel Chem Specialities Limited has achieved a significant milestone in its expansion plans, securing environmental clearance from the Ministry of Environment, Forest and Climate Change for its proposed pharmaceutical manufacturing project in Gujarat. The clearance, granted on September 5, 2025, paves the way for the company to commence operations at its INDRAD Plant in Mehsana district.

Project Details

The approved project involves the manufacturing of pharmaceutical Active Pharmaceutical Ingredients (APIs) and bulk drugs, including:

• Sodium starch glycolate
• Croscarmellose sodium
• Microcrystalline cellulose

The facility, with a total production capacity of 501 MT/month, will be located at New Survey No. 405, Village Indrad, Tal Kadi, Dist Mehsana, Gujarat.

Investment and Environmental Commitment

Patel Chem Specialities has earmarked a total investment of Rs 19.75 crore for this project. Demonstrating its commitment to environmental responsibility, the company has allocated:

• Rs 2.41 crore for environmental pollution control measures
• Rs 2.04 crore for annual recurring costs related to these measures

Employment and Corporate Environmental Responsibility

The project is expected to generate employment for 25 people, both directly and indirectly. As part of its Corporate Environmental Responsibility (CER), Patel Chem Specialities has allocated Rs 40 lakhs for various activities benefiting the local community.

Environmental Safeguards

Key environmental protection measures outlined in the clearance include:

1. Installation of Electrostatic Precipitator and wet alkali scrubber for the bio coal-fired boiler
2. Two-stage wet scrubber followed by acidic scrubber for controlling process emissions
3. Effluent treatment plant with primary, secondary, and tertiary treatment including RO
4. Development of a green belt covering 33% of the total plot area

Water Management

The project's total water requirement is set at 72.10 KLD, with 40 KLD of fresh water to be sourced from groundwater. The remaining 32.1 KLD will be met through recycled water, showcasing the company's focus on water conservation.

Conclusion

The environmental clearance marks a crucial step forward for Patel Chem Specialities Limited in establishing its presence in the pharmaceutical manufacturing sector in Gujarat. With the necessary approvals in place, the company is now positioned to proceed with the implementation of the project, adhering to the stipulated environmental norms and contributing to the region's industrial growth.