Southern Ca Mau Province-based Ca Mau Nitrogenous Fertilizer Plant under the National Petroleum and Gas Group (PVN) has churned out the first batch of Vietnamese-made urea fertilizer for the local market.
The $800 million plant with annual capacity of 800,000 tons is expected to meet 40 percent of domestic demand, enough for farming activities in the Mekong Delta - Vietnam’s key agricultural region.
It will help save around $400 million spent on urea fertilizer imports for the country every year, said Prime Minister Nguyen Tan Dung.
The plant, a part of the $1.4 billion Ca Mau Gas-Power- Fertilizer complex covering 62 hectares in U Minh District in the southernmost location of Vietnam, succeeded in the trial run of the plant to produce the first product on November 24, 2011.
Earlier, PVN, as the largest shareholder of PertroVietnam Fertilizer and Chemicals Corp (PVFCCo), had failed in persuading PVFCCo’s shareholders and PVN’s strategic partner Oman Oil Co to acquire 49 percent of the plant.
PVFCCo, the operator of Phu My Fertilizer Plant, took the helm at the plant in 2009, providing manpower, taking charge of management, and distributing products of the fertilizer project nationwide.
The 2 fertilizer plants are projected to meet 70 percent of the country’s demand.
PVN and two joint venture companies, Vu Han Designing Co and China Import-Export Co, began construction of the plant in late July 2008.
