Tanzania plans to construct a $1.5 billion fertilizer plant in Mtwara after sorting out land issues, the country’s Energy Permanent Secretary Justin Ntalikwa has said.
He said that the government has already assigned the land for the development to the Helm AG company from German .Ntalikwa also confirmed that the previous owners of the 989 acres of land had been compensated.
The local authorities have already begun the first process of upgrading infrastructure at the Mtwara site. The plant will use natural gas as their main raw material to produce about 3,900 tons of urea and 2,200 tones of ammonia. The natural gas will be harvested from Mtwara and other southern regions of the country.
Ferrostaal Industrial Projects of German, Haldor Topsoe AS of Denmark and Fauji Fertiliser Company Ltd of Pakistan together with the state owned Tanzania Petroleum Development Corporation (TPDC), will jointly own 20 per cent of fertilizer plant.
In an interview the CEO of Topsoe, Mr. Bjerne Clausen said that he is very proud and honored to be part of the joint venture. Topsoe will deliver engineering design, proprietary hardware, catalysts, licensing and additional services.
The Tanzania Petroleum Development Corporation (TPDC) has already begun necessary steps to register Tanzania Mbolea and Petrochemical Company as a joint venture firm to enable Ferrostaal, Fauji and Haldor Company to implement the project.
The plant is expected to begin its operations in 2020 and will provide 5000 direct and indirect jobs during the construction and operation period. The plant is expected to boost the national economy with the agricultural sector benefiting the most.
Helm Ag is one of the largest independent marketing enterprises; it is also a multi-functional company that specializes in fertilizers, active pharmaceutical ingredients, pharmaceutical and medical products, crop protection and chemicals: feedstock and derivatives.It has a great reputation and the company best suited to handle the project.