Australia: CSBP gets funding for TAN expansion

CSBP Limited, a subsidiary of Wesfarmers Limited and part of the Wesfarmers Chemicals, Energy & Fertilisers division, announced last June that it had received Wesfarmers Board approval for $45 million to fund long-lead equipment orders and continued detailed engineering work for the company’s 260,000 tonnes per annum proposed expansion of its Kwinana ammonium nitrate production facility.

The proposed expansion would involve the construction of a new nitric acid plant and ammonium nitrate plant, and an upgrade of the existing prilling plant, initially increasing CSBP’s overall ammonium nitrate production to 780,000 tpa and enabling the company to meet forecast demand for explosive-grade ammonium nitrate from the growing Western Australian iron ore mining sector.

According to the company, the additional production capacity will exceed demand from the State’s explosives sector until approximately 2020, so that their ability to divert surplus product into CSBP fertilizer products will enable them to maximize production in the next years.

The project is expected to cost approximately $550 million and the expansion is forecasted to be completed in the first half of 2014.

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