Category: Agricultural

CF Industries has delayed a planned multi-week maintenance turnaround at its Donaldsonville, Louisiana complex, the world’s largest ammonia production facility, in response to the supply disruption caused by the Strait of Hormuz closure, the producer announced in a press release. The company said the decision is expected to make approximately 100,000 tonnes of additional granular urea available to US customers during the spring application season. CF Industries added that it is also prioritising new sales to domestic customers over higher-priced export orders for the duration of the spring planting season.

SABIC Agri-Nutrients Company says that it has received approval from the Saudi Ministry of Energy to allocate feedstock required for the construction of its seventh plant in Jubail Industrial City. The new facility will produce approximately 1.2 million t/a of ammonia and 2.6 million t/a of urea, increasing the company’s urea production capacity from 4.8 million t/a to 7.4 million t/a; a 54% increase. This is expected to strengthen its position as one of the world’s largest producers and exporters of nitrogen-based nutrients, in line with its 2040 growth strategy.

Yara Australia’s Pilbara facility is expected to remain offline for around two months following a power outage at the site. The incident is understood to have damaged some systems at the facility and that repair work is now required. Initial assessments are indicating a prolonged curtailment of both ammonia and technical ammonium nitrate production.

Indian renewable energy developer InSolare Energy, in consortium with SCC Infrastructure, says that it has signed Green Ammonia Purchase Agreements (GAPA) with the Solar Energy Corporation of India (SECI) for the supply of 85,000 t/a of green ammonia under India’s National Green Hydrogen Mission 13 April. The agreements, executed through two separate special purpose vehicles, involve a total estimated investment of around $400 million, InSolare said in a statement.

Linde Engineering has been appointed to lead the engineering, procurement, and construction (EPC) of the WAH2 blue ammonia plant in Western Australia. This plant is expected to produce around 650,000 t/a of low carbon ammonia using natural gas feedstock and carbon capture technology. Project partner NH3 Clean Energy says that the project’s aim is not only to produce clean ammonia but to ship it as a greener commodity to Asian markets, aligning with global decarbonisation efforts, particularly for countries like Japan and South Korea that are in search of low-carbon fuel sources.

Saipem has been awarded a new urea license agreement by Mitsubishi Heavy Industries Ltd (MHI) for a new fertilizer plant in Turkmenistan. The contract entails the license for the use of Saipem’s proprietary Snamprogetti™ urea technology as well as related engineering services. The urea plant will have a capacity of 3,500 t/d. The new project follows the Garabogazkarbamid plant, commissioned in 2018 in Garabogaz, Turkmenistan, developed with the participation of Mitsubishi and Gap Insaat Yatirim ve Dis Ticaret AS, for which Saipem supplied the urea technology under a contract awarded in 2014 by MHI.

Abu Qir Fertilizers & Chemicals, Alexandria Fertilizers, Orascom Construction SAE, and Green Hydrogen Development Holding, a subsidiary of China’s United Energy Group (UEG), have signed a memorandum of understanding (MoU) to explore the development of a Mediterranean green hydrogen hub in Alexandria. The proposed project would centre on a large-scale green hydrogen facility powered by wind and solar, with output integrated into existing ammonia infrastructure in the region. Under the agreement, UEG and Orascom will lead feasibility studies covering 500 MW of renewable energy generation and green hydrogen production, while Abu Qir and Alexfert will assess integration into ammonia operations and support access to local infrastructure.

Zimbabwe’s sole domestic AN producer, Sable Chemical Industries Limited, is set to resume production in May following a capital injection from the Mutapa Investment Fund, according to local news platform The Herald on 24 March. The Kwekwe-based facility has been closed for approximately three years, with the government having launched a five-year roadmap aimed at reducing fertilizer imports.

India’s urea industry was running at approximately half capacity after force majeure declarations disrupted LNG flows through the Strait of Hormuz amid escalating Middle East tensions, according to local press reports. Petronet LNG Ltd, which operates India’s largest liquefied natural gas receiving terminal, declared force majeure after upstream suppliers cited their inability to deliver contracted volumes amid disruptions to cargoes transiting the Strait. The move triggered supply curtailments by state-owned gas distributors GAIL (India) Ltd, Indian Oil Corporation Ltd (IOC) and Bharat Petroleum Corporation Ltd (BPCL), which supply gas under RasGas contracts to fertiliser units across the country.

Kazakhstan’s KazMunayGas (KMG) and China National Petroleum Corporation (CNPC) have commenced the development of a urea project planned for construction in the country’s Aktobe region, Interfax reported 31 March.