KoYo Ecological Agrotech achieves on-spec fertilizer production

25 August 2010 08:17  [Source: ICIS news]

SINGAPORE (ICIS)--China’s KoYo Ecological Agrotech Group has achieved on-spec production at its 400,000 tonne/year synthetic ammonia and 450,000 tonne/year urea plants at Dazhou in Sichuan province, a company source said on Wednesday.

The two plants have been receiving stable supplies of feedstock natural gas from Sinopec since mid-January, when test runs had first begun, added the source.

“We are not worried about feedstock, as we have signed a long-term contract with Sinopec for the supply of natural gas. That is also the reason why we were able to achieve on-spec production in late August - as scheduled,” the source told ICIS in Mandarin.

The two plants are located in the Natural Gas Energy Utilization Area of Dazhou city, and their output would be supplied to the local Sichuan market, he added.

The company also has plans to build a 300,000 tonne/year urea plant, a 40,000 tonne/year melamine unit and a 100,000 tonne/year synthetic ammonia facility at the same site, said the source.

Construction was scheduled to begin in early 2011 and the project would be completed by the end of 2012, according to the source.

The project would be funded through the company’s cash reserves and also through bank loans, said the source.

The KoYo Ecological Agrotech Group manufactures, markets and distributes chemical fertilizers and products, and has several operations in China's Sichuan province.

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By: Dolly Wu
+65 6780 4359

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