Brazil’s Petrobras has denied a Reuters report that it is on the verge of selling its Nitrogen Fertilizer Unit-III (UFN-III) to Norway’s Yara International, according to Bloomberg, citing a statement by Petrobras that the information is “untrue” and that the sales process is still in the binding stage and has not reached the stage to receive proposals.
The earlier report was that Yara would pay less than $100 million for the facility and the deal would be announced within a few weeks.
Yara, however, along with EuroChem Group AG, Brazil’s chemical and fertilizer maker Unigel, and steel and iron ore producer Cia Siderugica Nacional SA, have been previously reported as being interested in the plant (GM Aug. 5, p. 36).
UFN-III, in Três Lagoas, in the state of Mato Grosso do Sul, has been under construction since 2011, and at last report was 81% complete. Upon completion, the unit will have a projected urea and ammonia production capacity of 3,600 m/d and 2,200 m/d, respectively. The buyer is expected to complete the plant.