Casale Signs Definitive $465 Million EPC Contract for World’s First Large-Scale Green Fertilizer Plant in Villeta, Paraguay

Casale, a global leader in the technology, engineering, and construction of ammonia and fertilizer plants, proudly announces the signing of a definitive $465 million Engineering, Procurement, and Construction (EPC) contract with ATOME PLC. This groundbreaking agreement marks the initiation of the world's first green fertilizer plant in Villeta, Paraguay, set to produce zero-carbon fertilizers on a large scale using entirely renewable energy.
The Villeta project, with its flagship project in Paraguay will produce 260,000 tonnes of zero-carbon fertiliser per year using 100% renewable baseload power, significantly advancing decarbonisation of agriculture and food value chains in the Mercosur region. Once constructed, the Villeta Project will service a developed and ready market in the heart of the largest food-producing region in the world, meeting critical demand for low-carbon fertilisers from the agriculture and food sectors.

Olivier Mussat, CEO of ATOME, stated:

“ATOME is delighted to announce the signing of our EPC Contract with Casale, on time and on track to our project schedule. This underscores our ability to deliver final agreements and marks another milestone achieved as we advance to reach FID for the Villeta Project towards the end of H1 2025. Casale is a world leader in ammonia and fertiliser engineering, and I have every confidence in the team as the right partners to deliver our flagship project in Paraguay, the first green fertiliser facility of its kind.”

“ATOME is addressing significant existing and projected demand for greener alternatives to fossil-fuel-produced fertiliser. Our Villeta Project will be our pathfinder as we continue executing on our wider pipeline of projects to build the leading green fertiliser development platform.”

Federico Zardi, CEO of Casale, also commented:

"We at Casale are immensely proud to be an integral part of ATOME’s world-first green solid fertiliser Villeta project in Paraguay. For over a decade, Casale has been advancing the development of CO₂ emissions-reduction technologies in fertiliser production. Through these technological advancements, we are delivering an extremely optimized design at Villeta, setting a precedent for sustainable fertiliser production at costs that are competitive with, or even lower than, conventional 'grey' fertilisers, paving the way to a sustainable agricultural future.”

“This partnership reaffirms our role as pioneers in the industry, consistent with our historical trajectory and DNA. It is an honour to work alongside a company that is as committed to innovation and sustainability as we are, and we are confident in ATOME’s ability to execute on this project, successfully scaling and leading this first green fertiliser platform."

The EPC contract, a fixed-price lump-sum agreement conditional upon the Final Investment Decision (FID), embodies the strong commitment of both companies to meticulous project execution. This arrangement ensures that production will commence within 38 months following the FID, aligning seamlessly with ATOME’s timeline for the project start-up and the initiation of green fertilizer sales projected for 2028. The ongoing project finance discussions are well-aligned for an FID by mid-2025, with construction anticipated to start in the summer.

The Villeta site benefits from a 145MW renewable power purchase agreement and is situated in a tax-free zone, enhancing both sustainability and economic advantages. With a total estimated cost of US$625 million, the project involves a strategic collaboration with industry leaders such as Yara, Hy24, AECOM, Natixis, IDB Invest, and ANDE. This partnership not only underscores the collective drive to innovate but also solidifies the project's foundation in leveraging outstanding technical expertise and global industry leadership.

The engagement of Casale, a Swiss-based leader in ammonia and fertilizer technologies and specialist in engineering and construction, aligns with ATOME’s strategy to partner with top-tier technical experts to pioneer this unprecedented green fertilizer initiative. This landmark project exemplifies the synergy of innovation, entrepreneurship, visionary leadership, and a solid engineering foundation, reflecting the highest standards in project execution. Both ATOME and Casale are deeply aligned in their vision, objectives, culture, and collaborative relationship, ensuring a unified approach to achieving a sustainable agricultural future.

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https://www.londonstockexchange.com/news-article/ATOM/definitive-epc-contract-signed-with-casale/16976563