FERT. RESTRUCTURING

closed

The objectives of the Fertilizer Sector Restructuring Project are to: (a) assist the government in implementing a Statement of Fertilizer Sector Policies; (b) support an industry-wide investment program; (c) identify the scope for improved efficiency in marketing and distribution; and (d) assess the industry's environmental impact and standards, and prepare an environmental management program. The components are: (a) building a new ammonia/urea facility at Gresik, with a capacity of 1,350 tons per day (tpd) of ammonia and 1,400 tpd of urea, to provide low-cost ammonia to existing operations and to supply low-cost ureas in East Java, and modernization of Gresik's existing plants; (b) undertaking optimization investments in four fertilizer plants to realize productivity gains, energy savings, environmental improvements and product diversification; and (c) supporting preparation of a marketing and distribution study and of an overall fertilizer industry assessment of environmental impacts, including identification of long-term objectives for environmental improvement and an action program to ensure that the industry meets appropriate standards.