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The 3,430-ton-per-day ammonia facility in Bahía Blanca, set for startup in 2029, will require extensive pressure vessels, heat exchangers, and reformers—all specifying clad materials for high-temperature and corrosive service.
Buenos Aires – July 23, 2026
Pampa Energía has reached a final investment decision on a $2.7 billion ammonia-urea fertilizer complex in Bahía Blanca, Argentina, with KBR selected to provide its Purifier® ammonia technology. The plant will produce 3,430 tons per day of ammonia and 2.1 million tons per year of urea, making it the largest single-train ammonia plant and the largest urea facility in Latin America.
The project is being developed by Fértil Pampa, a wholly owned subsidiary of Pampa Energía, Argentina's largest energy company. Tecnimont has been awarded the EPC contract valued at approximately €1.3 billion ($1.5 billion), with Argentine construction firm SACDE handling site construction. Completion is expected in 41 months, with operations targeted for the end of 2029.
Ammonia and urea production involves high-temperature, high-pressure, and corrosive process streams, creating significant demand for clad plates across multiple unit operations:
Primary Reformer: The reformer, where natural gas is converted to syngas at temperatures exceeding 900°C, requires specialized alloys and clad materials for tube supports and manifold systems. Inconel 625 or 825 clad plates are commonly specified for the reformer outlet headers and transfer lines where creep resistance and oxidation protection are critical.
High-Temperature Shift Converters: Operating at 300-400°C, these vessels convert CO to CO₂ using steam. The combination of elevated temperatures and condensate corrosion risk often dictates the use of SA516 Gr.70 backing with 316L or 304L stainless steel cladding on internal surfaces.
Ammonia Synthesis Loop: The synthesis converter operates at 150-300 bar and 400-500°C—among the most demanding conditions in the chemical industry. Clad tube sheets with precision-drilled holes and strict flatness tolerances are essential for tube bundle support in the converter and downstream heat exchangers. Inconel 625 cladding is frequently specified for the high-temperature sections where hydrogen attack and nitriding are concerns.
Urea Synthesis: The urea reactor operates at 180-200°C and 140-250 bar with highly corrosive ammonium carbamate, which is particularly aggressive toward many alloys. Clad plates with titanium, zirconium, or specific stainless steels (e.g., 316L UG, 25-22-2) are required for the reactor, stripper, and carbamate condenser. The choice of cladding material directly impacts equipment reliability and lifespan.
Urea Granulation Units: The granulation drums and related equipment require clad materials where process streams contact carbon steel surfaces, with stainless steel 316L or 304L cladding typically specified for corrosion protection.
Common material combinations for ammonia-urea projects include SA516 Gr.70 with 316L stainless steel for general process equipment, SA516 with Inconel 625 for high-temperature zones, and titanium-clad plates for urea reactor internals where ammonium carbamate corrosion is most severe. Specifications typically require compliance with ASME SA-264 (stainless steel clad), ASME SA-265 (nickel alloy clad), and NACE MR0175 for sour service applications where applicable.
Under the contract, KBR will provide technology licensing, a basic engineering design package, and proprietary equipment for the ammonia plant. The facility will occupy an 80-hectare site within the Bahía Blanca Industrial Complex, adjacent to Pampa's existing power generation assets, with direct access to gas pipelines, high-voltage transmission lines, water intake systems, and a deep-water export port.
The complex includes two parallel ultra-low energy (ULE) urea trains with a combined capacity of 6,000 metric tons per day, each with its own granulation unit. Maire's Nextchem will provide advanced urea technology through its Stamicarbon subsidiary, with KT Tech supplying the primary reformer for syngas production.
Jay Ibrahim, President of KBR Sustainable Technology Solutions, said: "We are excited to work with Pampa Energía, Argentina's leading energy company, SACDE and Tecnimont and support them in their quest for enhancing regional food security. KBR's proven and scalable ammonia process technologies are a preferred choice amongst customers worldwide. They enable plants to operate with optimum energy-efficiency while delivering maximum yield."
Alessandro Bernini, CEO of MAIRE, commented: "This award marks our entry in Argentina, further diversifying our geographical footprint, and highlights our ability to integrate Tecnimont's recognized project execution capabilities alongside Nextchem's technology portfolio to deliver large-scale industrial projects worldwide. We are proud to contribute to the development of this strategic fertilizer complex in the region, which will support the monetization of natural gas reserves in the domestic downstream sector, and also strengthen the country's fertilizer production."
The project is Argentina's first new urea fertilizer facility in approximately 25 years. It is driven by the need to monetize natural gas from the Vaca Muerta shale formation—one of the world's largest shale gas reserves—and reduce reliance on fertilizer imports. Brazil, which imports 7-8 million tons of urea annually, is expected to be the main export market.
The plant will create more than 3,500 direct jobs at peak construction, along with significant indirect employment throughout the supply chain. The project is also seeking benefits under Argentina's RIGI investment incentive regime and Buenos Aires Province's REPIE program.
The project has reached final investment decision, with a 41-month construction timeline. Operations are expected to commence by the end of 2029.
Fugo Tech is a manufacturer of clad plates and machined components for pressure vessels and heat exchangers. Core products include clad tube sheets, clad dish heads, and baffle plates. Complementary materials cover titanium, nickel alloy, and stainless steel. ISO 9001 and PED certified. www.fugo-tech.com | sales@fugo-tech.com.
Fugo Tech is focused on the manufacturing of clad metal plate and distributes the Stainless Steel, Titanium, Nickel Alloy, Zirconium and other non-ferrous metal pipes, fittings, and flanges.
