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VERACRUZ, MEXICO: Mexico’s Pemex will spend up to $475 million to buy and revamp a fertilizer production plant in the eastern state of Veracruz, Mexico that will allow it to produce up to 990,000 tonne of urea annually.
According to Pemex, the deal between Pemex subsidiary PMI and Minera del Norte subsidiary Agro Nitrogenados would allow the company to supply 75 per cent of national demand for urea. The company said that would replace over $400 million worth of annual imports of urea, which is widely used in fertilizer as a source of nitrogen.
Ammonia, made from natural gas and one of the main inputs in fertilizer production, will be supplied by Pemex’s petrochemical complex, located 28 kilometre from the Agro Nitrogenados plant in Cosoleacaque, Veracruz.
© Reuters News
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