Koch Nitrogen to construct new US urea facility

Koch Nitrogen is considering investing $1bn to build a new urea plant and revamp its existing manufacturing processes at its Enid site, in Oklahoma, US.

 

"Koch Nitrogen has selected three companies for the project, namely Black and Veatch, KBR and Stamicarbon."

The investment is expected to increase fertiliser production at the Enid facility by more than one million tonnes per annum.

 

Expected to begin in the fourth quarter of 2014, the construction of the new plant will include additional storage and improved loading facilities. The company is planning to implement its existing processes in stages from 2014-2016.

Koch Industries president and chief operating officer David Robertson said the investment the company is making through Koch Nitrogen underscores its confidence in the future of its overall fertiliser business and its commitment to customers for the long-term.

 

"In addition to the significant increase in capacity, this investment will serve to improve our operational efficiency and competitive position in North America," Robertson added.

The plant is scheduled to become operational in 2016. Koch Nitrogen has selected three companies for the project, namely Black and Veatch, KBR and Stamicarbon.

 

Black and Veatch will provide project planning, engineering and procurement services, while KBR will provide urea engineering and procurement services and Stamicarbon will provide urea synthesis and granulation technology.

Koch Fertilizer president Steve Packebush said as crop production increases throughout North America, the company is expecting an increasing demand for fertiliser from its customers.

"With this additional production, we'll be in a much better position to meet that demand," Packebush added.

 

Purchased by Koch Nitrogen in 2003, the Koch Nitrogen facility in Enid manufactures ammonia, UAN (liquid fertiliser) and granular urea.