Petrobras has reportedly ended a contract with the Unigel Group for the production of fertilizers, Grupa Estado reported. According to the state-owned company, the custom industrialization commitment (Tolling) concluded at the end of last year was not met within the June 27 deadline.
Petrobras plans to reorganize its operations in the fertilizer segment in line with its 2024-2028 Strategic Plan. In a statement on its website, the company said it continues to analyze a definitive, profitable, and viable solution for the supply of fertilizers to the Brazilian market.
Petrobras in May said it expects to make a final decision on its Araucária Nitrogenados (ANSA) fertilizer factory in Paraná in mid-2024, with plans to have the facility back in operation in mid-2025 (GM May 3, p. 30).
Unigel, the struggling Brazilian chemical and fertilizer maker, obtained approval in May from a majority of creditors, including Pacific Investment Management Co. (PIMCO), for its out-of-court restructuring plan, according to Bloomberg (GM May 24, p. 1).