UltraTech Cement has expanded its manufacturing capacity in Andhra Pradesh with a Rs 2,650 crore investment in a new integrated cement plant. The facility, Petnikota Cement Works, is located in Nandyal district and is designed to operate entirely on green energy.
The new plant has a clinker production capacity of 3.3 million tonnes per annum (MTPA) and a cement dispatch capacity of 3.6 MTPA. According to the company’s press release, the facility is expected to create 650 direct jobs and 2,000 indirect employment opportunities.
Construction began in May 2025, and the plant was commissioned within 14 months of its groundbreaking ceremony. Andhra Pradesh IT Minister Nara Lokesh highlighted the project's quick completion, calling it an example of the state's efforts to improve the ease of doing business.
The Petnikota Cement Works combines large-scale cement production with renewable energy and waste heat recovery systems. The plant is equipped with a 35 MW hybrid wind and solar energy system supported by battery storage.
It also has a 20 MW waste heat recovery system, which can convert heat generated during industrial processes into electricity. The facility is designed to run on 100 percent green energy without a captive thermal power plant.
According to Nara Lokesh, the plant does not use groundwater. Its water management approach and renewable energy infrastructure are intended to support more sustainable manufacturing operations.
The project is expected to strengthen UltraTech Cement's manufacturing presence in Andhra Pradesh while contributing to local employment and industrial development.
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Petnikota Cement Works also incorporates digital systems and automation to improve production, quality control, and logistics. These technologies are designed to streamline operations and support real-time monitoring.
The facility uses radio frequency identification (RFID)-based vehicle tracking and unmanned weighbridges to improve vehicle movement and logistics management. These systems can help reduce manual intervention and support smoother dispatch operations.
For quality control, the plant has a fully automated robotic laboratory with automatic sampling and analysis. It also features a cross-belt analyzer and an automatic hot meal analysis system to monitor materials and optimize production processes.
The combination of automation, renewable energy, and waste heat recovery makes the facility a significant addition to UltraTech Cement's manufacturing network.
The plant's commissioning also comes as Andhra Pradesh seeks to attract industrial investment and expand employment opportunities. With its production capacity, energy infrastructure, and automated systems, Petnikota Cement Works is positioned to support the company's operations while advancing its focus on efficient and sustainable cement manufacturing.
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