Investment Board Nepal (IBN) is planning to call a tender to build a urea plant under a private-public partnership model in Dahlkebar, Dhanusha, in southeast Nepal, according to the Katmandu Post. The newspaper reports the tender is expected in the next few months after a committee, under the leadership of a member of the National Planning Commission, reviews a feasibility report prepared by a consortium of consulting firms and approved by IBN.
The committee is expected to make recommendations and advise whether the government would need to provide viability gap funding for the project. Reportedly, three feedstocks are under consideration: natural gas, electrolysis, and coal, with natural gas appearing to be the lower cost option with a cost of $665 million and a per mt production cost of $268/mt.