Paraguay proposes fertilizer plant in Carmelo Peralta

Paraguay has proposed the installation of a fertilizer production plant in Carmelo Peralta, Alto Paraguay, to serve the Southern Cone. The initiative was presented during a gas integration workshop organized by the Latin American Energy Organization (OLADE).

The project is designed in phases. Initially, the plant would utilize natural gas from the Neuquén basin in Argentina, specifically from the Vaca Muerta formation. In later stages, the facility aims to transition to gas produced within the Paraguayan Chaco as national resource development progresses.

The strategic location in Carmelo Peralta leverages the connection between the Bioceanic Route and the Paraguay-Paraná Waterway to reduce transport costs. The project specifically targets the agricultural demands of Brazilian states such as Mato Grosso and Mato Grosso do Sul. This move seeks to address the region's heavy reliance on imports, as Southern Cone countries currently import approximately 92% of their nitrogenous fertilizers, costing roughly US$ 6.5 billion annually.