Mitsubishi Corp. (MC) and GAP Instaat Yatirim ve Dis Ticaret AS (GAP) have reached an agreement with the government of Turkmenistan for the construction of a large-scale fertilizer plant in Turkmenistan. 

The project will be undertaken in collaboration with Mitsubishi Heavy Industries (MHI) for Turkmen state-owned company, Turkmenhimiya.

The plant, to be constructed in Garabogaz, northwest of the country along the Caspian Sea, will be the largest urea fertilizer plant in the country, with contracts amounting to some $1.3 billion. 

The complex will consist of an ammonia plant with production capacity of 2,000 tpd and a urea plant with production capacity of 3,500 tpd, as well as other related infrastructure and delivery facilities.

MC and MHI will be responsible for the design, manufacture, procurement and commissioning of the plant while GAP, which falls under Turkey’s largest conglomerate Calik Holding, will be responsible for allconstruction works including detail engineering and design. MC will execute this contract with the cooperation of Mitsubishi Corp. Machinery.

Turkmenistan has had steady economic growth in recent years due to its natural gas reserves, the fourth largest in the world. The Turkmen government is also actively seeking to enhance the value added component of natural gas products as well as expanding and diversifying exports and sales in the sector. 

The construction of this fertilizer plant is therefore consistent with that strategy, as it will enable the increase of fertilizer exports to countries around the world in response to growing agricultural food production, according to company officials.

Through this project, the partners are aiming to improve their presence in the oil and gas based chemical / fertilizer plant market in central Asia, Africa and the Middle East and expect to be awarded similar suchprojects in the future.