Melbourne-Incitec Pivot Ltd. said June 26 it intends to conduct a feasibility study to consider the construction of a $700-$800 million coal gasification plant in Indonesia to supply feedstock to three existing ammonia and urea plants. The study is to be complete in first quarter 2008. Incitec says the three facilities have not been able to produce at capacity due to a natural gas shortage. Current annual production is put at 300,000 mt/y, versus capacity of 1.7 million mt/y. Incitec would provide the coal gas in exchange for an ammonia and urea offtake agreement. The coal gas would supply two state-owned facilities of PT Pupuk Iskandar Muda and one owned by PT Asean Aceh Fertilizer.
Transparency Across the Fertilizer Value-Chain