10 May 2023

Perdaman builds A$6 billion urea plant in Western Australia

Perdaman Chemicals and Fertilisers (Perdaman) has started building its A$6 billion urea plant in the Pilbara region of Western Australia. Perdaman is a Western Australian-based multinational company with offices in New Delhi and Hyderabad, India.

The plant will create 2,500 jobs during construction and 200 jobs when operational. When completed, it will be the largest urea plant in Australia and one of the largest in the world.  

Largest-ever investment in the Australian fertiliser industry 

The Perdaman plant will convert natural gas from Woodside’s Scarborough Gas Project into an estimated 2.3 million tonnes of urea per annum. Urea is a form of fertiliser for food production. 

Perdaman’s investment is the largest ever made in the Australian fertiliser industry.  

‘We are excited to be constructing Australia’s largest-ever downstream manufacturing project, which represents a significant investment in Australia’s manufacturing sector,’ says Vikas Rambal, Chairman and CEO of Perdaman.  

‘This state-of-the-art facility will help to ensure that Australia has a secure and reliable source of high-quality urea, supporting our nation’s farmers and food producers.’ 

The urea plant is designed to minimise both industrial emissions and the carbon footprint of fertiliser production. Perdaman is committed to making the plant net carbon zero by 2050. It is implementing global best practices to reduce greenhouse gas emissions.

A pair of hands wearing blue industrial gloves holds a handful of hundreds of tiny, white balls of urea

Funding support from government 

The Australian Government provided significant funding for Perdaman’s urea plant. Through the Northern Australia Infrastructure Facility (NAIF), the project received:  

  • A$159 million to the Pilbara Ports Authority for a new multi-user wharf and facilities at the Port of Dampier
  • A$96 million to the Water Corporation to expand the Burrup seawater supply and brine disposal scheme that will connect to the Perdaman urea plant once built.

Export Finance Australia (EFA) will provide a A$269 million loan to the project, alongside NAIF and 12 other commercial lenders. EFA’s loan supports Perdaman’s plans to export fertiliser to Australia’s trading partners.  

The Western Australian Government also provided more than A$50 million for: 

  • road works
  • detailed design of a new Dampier Cargo Wharf
  • upgrades to seawater supply infrastructure.

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