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Notore plans N156bn investment in new fertiliser plant

By on March 21, 2012

Notore Chemical Industries Limited, Nigeria’s leading fertiliser, agro-allied chemicals and seeds development group, plans to invest over $1bn (N156bn) in the construction of a new fertiliser plant.

The planned investment is part of the company’s expansion programme to meet national fertiliser demand.

This is coming on the heels, the company’s successful investment of $600m (N90.9bn) to revamp the National Fertiliser Company of Nigeria, which it bought in 2006.

With the reactivation successfully completed and production fully on stream, the company appears focused on a variety of expansion schemes in the areas of new product blending, seed development and agric extension services.

Speaking on the expansion and diversification plans in the nearest future during an interactive session with journalists in Lagos on Tuesday, the Managing Director, Notore Chemical Industries, Mr. Jite Okoloko, said plans had reached an advanced stage to get the company listed on the Nigerian Stock Exchange.

According to him, the company intends to raise funds from the capital market to build another plant, which will be of higher productive capacity than the current plant.

However, he said the new plant would also be located within the Onne production complex.

Nigeria’s fertiliser consumption capacity is put at 3.5 million metric tonnes per annum, whereas only about one million metric tonnes are currently being consumed, according to an industry report.

Industry operators put current local productive capacity at less than one million metric tonnes per annum. Of this, Notore currently produces 500,000 metric tonnes of fertiliser per annum with plans to take the production volume to 750,000 before the end of the year.