Maharashtra-based Octaga Green Power & Sugar Co has proposed to set up a 40,000 litre per day distillery to produce anhydrous alcohol and rectified spirit. Pune-based Alfa Laval (India) will execute the distillery project for the company.

The basic details of the Rs.150 crore project are:

• Segments: Distillery (40,000 litres per day) and Power plant (17.5 MW)
• Location: Karnoor village, Kagal taluka, Kolhapur district, Maharashtra
• Project Cost, Debt-equity ratio: Rs.150 crore, 40:60
• Phase-wise development: Phase I (alcohol plant), Phase II (power plant), Phase III (MEG plant)
• Raw material: Distillery (molasses and grains), Power plant (agro products like corn and sorghum)
• Full commissioning: May/June 2006
• Source of raw material: Karnataka (sugarcane)
• Sale of power: Karnataka

(Note: MEG or mono ethylene glycol is an important raw material for production of plastics.)

Contract: Alfa-Laval (India)'s scope of work includes engineering of the complete plant with equipment supply for the fermentation process, and automation of the complete plant. The contract, valued at Rs.5 crore, will be executed by May/June 2006. The capacity of the 40 klpd plant is expandable to 60 klpd.