Bolivia issues engineering call for US$1.29bn petchem project

Bolivia’s state hydrocarbons company YPFB has launched bidding to advance development of the proposed US$1.29bn second ammonia and urea plant.

The work covers the pre-FEED (front end engineering and design) to determine the project’s technical, financial, economic, legal, social and environmental feasibility.

The contract’s specific objectives include a market study, identifying a location, selecting the best technologies, and drafting technical specifications for the bidding rules to be used in the next stage.

Offers for the 180-day contract are due June 7, according to procurement information available here using code PAC-132 (place in the Código PAC/PCM box of the search filter).

The current plant, known as PAU (pictured), is in Bulo Bulo, Cochabamba department, with capacity to produce 2,100t/d of urea and 1,200t/d of ammonia, and natural gas processing capacity of 1.42Mm3/d.

Last year, PAU produced 364,603t of urea and is forecast to produce 596,400t in 2023, and according to YPFB, PAU has reduced fertilizer imports by 99%, with 66,030t consumed domestically in 2022.

The state operator estimates that the new plant’s capacity will be double that of the existing one and consume 1Tf3 of gas over 20 years. It will increase supply to export markets such as Brazil, Peru, Paraguay and Argentina, and support new offtake abroad.

“An example of the demand and the opportunity is that we have Brazil, which is a consumer monster. There is ample market demand since 10 urea plants, such as PAU, would supply only the state of Mato Grosso,” YPFB head Armin Dorgathen said recently.

Characteristics of Bolivian urea (Source: YPFB)

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