Canadian Manufacturing

Agrium completes $720M expansion at Texas fertilizer plant

Potash firm ramping up urea production after three years of construction



CALGARY—Canadian potash company Agrium Inc. has commissioned a major expansion project at its fertilizer plant in Borger, Texas.

The company finished work on the facility’s new urea plant this January and has now begun producing the nitrogen-rich compound used mainly in the agricultural industry.

Agrium said it is currently ramping up production at the plant and expects to reach the site’s full operational capacity of 610,000 tonnes of urea by the end of this year’s second quarter.

“The successful completion of our first run of urea production from our Borger nitrogen expansion project continues to emphasize our commitment to operational excellence and creating shareholder value at Agrium,” Chuck Magro, the company’s president and CEO, said in a statement. “We look forward to bringing our reliable and high quality urea and [Diesel Exhaust Fluid] products to existing and new customers in this key agricultural region of the U.S.”

The plant cost approximately $720 million to build, though Agrium previously warned the final cost could creep up about five per cent due to changes to the project scope and timeline. The company started work on the project in 2014.

Potash industry heavyweights Agrium and PotashCorp agreed to a major merger deal in late 2016, which could close by the middle of this year.

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