Russia’s EuroChem to invest $30 mln in fertilizer plant in China

MOSCOW, Oct 23 (PRIME) -- Russian fertilizer producer EuroChem will invest nearly U.S. $30 million in the construction of a fertilizer plant in China, which will be launched in 2014, Director for Finance and Economy Andrei Ilyin told PRIME on Monday.

“Investments amount to nearly $30 million,” he said.

Earlier, the company said that the plant will be built jointly with Chinese potash fertilizer producer, Migao Corporation.

According to Ilyin, the plant will produce up to 60,000 tonnes of potassium nitrate and up to 200,000 tonnes of non-chlorine NPK fertilizers a year.

The plant will be focused on the Chinese market, where EuroChem is already selling more than 200,000 tonnes of specialized NPK fertilizers.

The company has not made a final decision on the construction of a $1.5 billion plant for the production of ammonia and carbamide in the U.S.

Ilyin said that the company must analyze the project’s prospects and profitability.

“There are numerous floating factors – the gas price, the workforce cost, and the balance of supply and demand on the market. We must analyze quite a lot of factors,” he said.

(31.8460 rubles – U.S. $1)

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