Russia-Ukraine war may boost Bolivia’s hydrocarbons industrialization plan

The Russian invasion of Ukraine may add new impetus to Bolivia’s export-oriented hydrocarbons industrialization strategy, in particular the development of fertilizer production capacity.

On Friday, Russia’s industry and trade ministry recommended that fertilizer producers halt exports due to logistical issues, a decision that could impact countries in South America, such as Brazil which is the world’s principal importer of the product.

Fertilizer production in Bolivia currently comes from state hydrocarbons company YPFB’s Bulo Bulo ammonia and urea plant, which along with covering local demand, also exports to neighboring countries, principally Brazil.

Read Bolivian urea sales exceed US$ 50 million in three months of production

Apart from the potential to drive further output at Bulo Bulo, with capacity to produce 1,200t/d of ammonia and 2,100t/d of urea, the war in Europe could spur advancement of other fertilizer projects in the Andean nation.

One such undertaking is state hydrocarbons industrialization company EBIH’s near term plans for a granulated fertilizer plant.

The proposed facility would be built at the Santivañez industrial park in Cochabamba and boast annual effective capacity of 60,000t.

Previously, the industrialization company signed a memorandum of understanding with the Cochabamba department government to acquire the land for the plant.

Meanwhile, EBIH’s long-term plans envision a second ammonia and urea complex, visualization studies for which are underway.

EBIH’s project roadmap also includes plants to produce geomembranes, hydrocarbon refrigerant gases, olefins, aromatic compounds and methanol, and a biogas generation facility.

EBIH’s existing operation consists of a plant (pictured below) in El Alto, outside capital La Paz, that produces polyethylene pipes and accessories for natural gas and water distribution.

Credit: EBIH