Petrobras announced the restart of ammonia production at its Nitrogen Fertilizer Factory (Fafen) in Sergipe on December 31. The resumption occurs against a backdrop of volatile global fertilizer markets, high prices, and geopolitical risks, making expanded domestic production strategically vital for Brazil’s industrial and agricultural supply security. The Sergipe unit has a daily capacity of up to 1.8 thousand tons of urea, while the associated Fafen Bahia plant can produce roughly 1.3 thousand tons daily. Operations at Fafen Sergipe were halted in March 2024 after its former operator, Unigel, declared the unit economically unfeasible.
Sources: Governo do Estado de Sergipe/ GlobalFert (*Translated by Ia Niani)