Agrium approves Texas nitrogen facility expansion
Agrium announced Tuesday that its board of directors has approved an expansion at its nitrogen facility in Borger, Texas.
The expansion project
will add a new urea production
unit of approximately 610,000 tonnes, of which approximately 100,000 tonnes will be Diesel Emission Fuel (DEF) grade urea.
DEF is used to reduce
nitrogen oxide (NOx) emissions in diesel vehicles. The project
will also increase the annual ammonia capacity for the facility by approximately 145,000 tons, bringing the total annual gross ammonia capacity to approximately 635,000 tons .
The total capital
cost of the project
is expected to be approximately $720 million.
Construction will fully commence in March 2014, with completion expected in the second half of 2015. During this construction
period, the Borger facility is expected to operate at normal production
"Agrium is one of the largest and lowest cost producers of nitrogen in the world," said Agrium CEO Chuck Magro. "The upgrade and expansion at the Borger facility will continue to grow our nitrogen footprint in this important agricultural region while providing a strong return on investment. The project will ensure the facilitys future longevity, while using the latest in environmental control technology."
The expansion project will also provide greater flexibility to meet changes in demand
by product and region and reduce
our reliance on existing ammonia distribution channels, he added.
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