Perdaman Industries (Chemical & Fertilisers) has signed a binding Heads of Agreement for the Engineering, Procurement, and Construction (EPC) work for its Urea Project in Karratha with 50/50 joint venture between Clough of Western Australia and Saipem of Italy.
Perdaman will invest a total of USD 4.5bn to develop the plant that will transform natural gas into urea, a widely used form of fertiliser for the production of food for the future generation. Perdaman has secured natural gas for 20 years from Woodside under the Gas Supply Agreement signed in November 2018. The Project has been strongly supported by The Western Australian Government, by giving it a state significant project status.
The facility will produce two million tons of urea per annum, estimated to generate more than USD 850M per annum in export earnings for Western Australia.
The Clough and Saipem joint venture will act as the lead contractor for the EPC work that includes a water treatment plant, a power plant (100MW), as well as urea storage, loading and unloading facilities. A closed conveyor will transport the urea 7km direct to Pilbara Ports Authority for shipping to local and offshore markets, with 50 to 100 shiploads expected per year.
