QatarEnergy and Koch Fertilizer ink 15-Year urea supply pact

QatarEnergy announced a significant a 15-year urea supply agreement with a leading US-based fertiliser producer and supplier Koch Fertilizer.

The two entities have finalised a long-term urea supply agreement.

The deal details

Commencing from July 2024, the agreement outlines the provision of up to 0.74 million tons per annum (MTPA) of urea to Koch Fertilizer.

This high-quality urea, originating from Qatar, will cater to the agricultural sectors in the US and various international markets.

In a press statement, Mark Luetters, Senior Vice President of Koch Industries and President of Koch Fertilizer said, “QatarEnergy has been a cherished partner of Koch Fertilizer for more than a decade and we are thrilled to cement our mutually beneficial relationship for years to come.”

Industry significance

Qatar, as the world's second-largest exporter of urea, boasts QatarEnergy's affiliate, Qatar Fertilizer Company (QAFCO), which is renowned as the globe's largest integrated single-site producer of urea and ammonia.

This agreement underscores QatarEnergy's strategic focus on nurturing enduring relationships within the fertilisers industry and supporting global agricultural endeavours.

Saad Sherida Al-Kaabi, Minister of State for Energy Affairs in Qatar and President and CEO of QatarEnergy, emphasised the significance of this agreement, highlighting that it “marks a significant step in advancing synergy and cooperation and fostering mutual growth and value for both sides.”