The Phu My Fertliser Plant is operated by PVFCCo. (Source: dpm.vn)

Hanoi (VNA) – The PetroVietnam Fertilizer and Chemicals Company (PVFCCo) on August 19 signed a Memorandum of Understanding with Japan’s UBE Industries Ltd (UBE) and Sojitz Corporation (Sojitz) to study the possibility of joining hands in building an Ammonia (NH3) production facility and derivatives from gas fields in south-eastern region.

Under the MoU, parties will carry out a feasibility study for the facility, which would be built in the south-eastern region with an estimated design capacity of 1,500 to 2,000 tonnes per day.

The factory would also be able to process derivatives from NH3, such as carbon dioxide (CO2). The factory aims to meet the rising demand for NH3 that is used to produce products like DAP fertiliser, rubber and petrochemical products.

When the factory is operational, the PVFCCo will double its NH3 market share.

The feasability research will last for six months.

PVFCCo has been operating the Phu My Fertiliser Plant safely and effectively since 2004 and is upgrading the capacity of the NH3 factory in the plant from 450,000 to 540,000 tonnes per year.-VNA