QatarEnergy and Koch Fertilizer signed 15-year urea supply agreement

QatarEnergy has entered into a significant long-term urea supply agreement with Koch Fertilizer, a prominent fertilizer producer and supplier based in the United States. The agreement, set to commence in July 2024, will facilitate the annual supply of up to 0.74 million tons of urea for a period of 15 years.

This partnership ensures that urea produced in Qatar will reach agricultural markets in the U.S. as well as other international destinations. The deal underscores the strategic intentions of QatarEnergy to bolster its presence in the global fertilizer market and to support agricultural sectors worldwide.

Saad Sherida Al-Kaabi, the Minister of State for Energy Affairs and the President and CEO of QatarEnergy, expressed enthusiasm about the new agreement, emphasizing the strengthened relationship with Koch Fertilizer. “This agreement marks a significant step in advancing synergy and cooperation and fostering mutual growth and value for both sides,” Al-Kaabi stated.

Echoing this sentiment, Mark Luetters, Senior Vice-President of Koch Industries and President of Koch Fertilizer, highlighted the longstanding partnership with QatarEnergy, which spans over a decade. “We are thrilled to cement our mutually beneficial relationship for years to come,” said Luetters. “The agreement aligns with Koch Fertilizer’s long-term vision and presents an exciting opportunity to better serve our customers.”

Koch Fertilizer, a subsidiary of Koch Industries, operates fertilizer production facilities in North America, Trinidad and Tobago, and Morocco, with additional distribution facilities across the U.S., Canada, Mexico, Brazil, Australia, and other markets.

Qatar is recognized as the world’s second-largest exporter of urea, with the state-affiliated Qatar Fertilizer Company (QAFCO) noted as the world’s largest integrated single-site producer of both urea and ammonia.

Source: TradeArabia