Yara and ATOME PLC sign Heads of Terms for sale of renewable Calcium Ammonium Nitrate (CAN) fertilizer

Yara has signed a Heads of Terms for offtake from Atome’s proposed 264,000t per year renewable calcium ammonium nitrate (CAN) project in Villeta.

Yara would market and sell the green CAN as part of the YaraBela product line, with the 145MW project scheduled to produce and export fertilizers derived from baseload renewable power from 2027.

The Front-End Engineering and Design (FEED) study was completed in the first half of this year and Atome is targeting a Final Investment Decision in the next few months.

“The entry into this strategic relationship with global crop nutrition leader Yara is a significant milestone for Atome on the path to realize our flagship Villeta Project which will be one of the largest renewable fertilizer production facilities in the Western Hemisphere,” commented Olivier Mussat, CEO of Atome

“Proving significant off-taker interest for our renewable product gives a clear path to the finalization of funding, FID and the commencement of work onsite at Villeta.”

The senior executive added the deal with the Norwegian major “provides the confidence for Atome to now accelerate the development of its project pipeline, including the 300MW Yguazu project in Paraguay and the 120MW Costa Rica projects”.

“Signing the Heads of Terms for the Villeta project is a first step to open the opportunity to further expand our portfolio with fertilizers produced with renewable energy in the Americas,” said Chrystel Monthean, EVP Americas at Yara.

“The fertilizers from Villeta will become part of a new portfolio called Yara Climate Choice, including fertilizers based upon renewable energy and carbon, capture and storage. The project’s in-land location could open logistical advantages for some of our growing markets in Mercosur."

By Richard Ewing, Deputy New Editor/Head of Ammonia at Profercy