Brunei will build a fertilizer plant worth 1.3 billion U.S. dollars to further diversify oil and gas downstream industries and boost local economy, local media reported Sunday.
The Brunei Fertilizer Industries Sdn Bhd (BFI) signed an agreement with Germany-based engineering and construction services provider ThyssenKrupp Industrial Solutions AG (tkIS) on Saturday, to set up an ammonia and urea plant, with total investment value at 1.8 billion Brunei dollars (1.3 billion U.S. dollars ), the report said.
The BFI plant is expected to start commercial production by the first quarter of 2021, which will produce 2,200 metric tonnes per day (mtpd) of ammonia that will be converted into 3,900 mtpd of quality granulated fertilizer (urea).
"BFI is excited to be signing the Engineering, Procurement and Construction Agreement with tkIS today, to pave the way for the construction of our own world-class fertilizer plant which will place Brunei Darussalam in the world map as a new and serious player in fertilizer production," Haji Bahrin, Brunei's Minister of Development and Chairman of BFI said.
The minister noted that the signing will open up many economic opportunities for the country and people, both directly and through the spin-offs that will be created, as the country presses ahead with its hydrocarbon- related activities.
This will "not only further diversify the country's hydrocarbon downstreaming strategy but also, and more importantly, enhance the strategic developmental benefits to the local economy," he said.
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