Sanmit Infra to start construction of bio-CNG plant
Sanmit Infra Ltd, a company specializing in the supply of petroleum products and biomedical waste management, is in the process of establishing a biogas or bio-CNG plant as part of the SATAT scheme. Following approval from the Sanmit Infra board of directors in a recent meeting, the company anticipates commencing work on the bio-CNG plant in the near future.
The bio-CNG initiative is integral to the company’s broader strategy of expanding its business operations over the next 2-3 years. Sanmit Infra envisions that the bio-CNG project will contribute to national efforts in achieving climate change goals, reducing dependence on imported natural gas and crude oil, and saving significant foreign exchange.
Additionally, the production of bio-CNG will act as a safeguard against fluctuations in international crude oil and gas prices, promoting self-sufficiency within the country.
As part of its expansion plans, the company aims to establish bulk storage facilities for direct bitumen imports from Gulf countries. Over the next 2-3 years, Sanmit Infra intends to implement various expansion initiatives, including expanding bitumen operations and diversifying sales in the biomedical waste disinfection system nationwide. The location of the bio-CNG plant is yet to be disclosed.
In Q2FY24, Sanmit Infra reported a net profit of Rs 1.05 crore, with a total income of Rs 18.91 crore and EBITDA of Rs. 1.97 crore. The EBITDA margin for Q2FY24 increased to 10.4 percent from 4.3 percent in Q2FY23. For H1FY24, the company disclosed a net profit of Rs 1.57 crore, total income of Rs. 52.47 crore, and EBITDA of Rs. 3.22 crore.
The SATAT scheme, launched by the government in 2018, aims to establish compressed biogas production plants or bio-CNG plants and ensure their availability in the commercial automotive sector, significantly reducing pollution levels. The scheme also seeks to promote entrepreneurship, bolster the rural economy, and generate employment opportunities.
