Tribune News Network
Doha
QatarEnergy on Sunday announced that it had signed a long-term urea supply agreement with Koch Fertilizer, a leading US-based fertilizer producer and supplier.
The 15-year supply agreement, starting in July 2024, stipulates the supply of up to 0.74 million tonnes per annum (MTPA) of urea to Koch Fertilizer. Under this agreement, urea of Qatari origin will be supplied to the agricultural sectors of the US and other international markets.
Minister of State for Energy Affairs and QatarEnergy President and CEO HE Saad Sherida Al Kaabi said, “We are delighted to announce the signing of this long-term sales agreement with one of our valued partners, solidifying our longstanding relationship with Koch Fertilizer. This agreement marks a significant step in advancing synergy and cooperation and fostering mutual growth and value for both sides.”
On his part, Koch Industries Senior Vice President and Koch Fertilizer President Mark Luetters said, “QatarEnergy has been a cherished partner of Koch Fertilizer for more than a decade and we are thrilled to cement our mutually beneficial relationship for years to come. The agreement aligns with Koch Fertilizer’s long-term vision and presents an exciting opportunity to better serveour customers.”
This agreement highlights QatarEnergy’s strategy in establishing longstanding relationships with reliable leaders of the Fertilizers industry and its commitment to support the global agricultural sector.
Koch Fertilizer is a subsidiary of Koch Industries with fertilizer plants in North America, Trinidad and Tobago, and Morocco; and distribution facilities and terminals located in the US, Canada, Mexico, Brazil, Australia, and other international markets.
Qatar is the world’s second-largest global exporter of urea, with QatarEnergy’s affiliate, Qatar Fertilizer Company (Qafco) being the world’s largest integrated single-site producer of urea and ammonia.
In 2022, QAFCO inked a major agreement over the development of the Blue Ammonia project, the largest of its kind in the world, in Mesaieed Industrial City.
The project is set to produce 1.2 mtpa of Blue Ammonia, making it the largest of its kind and the industry’s first world-scale facility. Production is expected to commence in the first quarter of 2026, Al Kaabi said at the time of theannouncement.
The landmark project also adds to the energy company’s efforts in promoting renewable energy and carbon capturesolutions.
