en.Wedoany.com Reported - DNV, the independent energy expert and assurance provider, served as the lender's technical advisor for the green hydrogen-based fertilizer project in Villeta, Paraguay, supporting international lenders through technical due diligence and assisting the project in achieving financial close. Developed by ATOME with a total investment of $650 million, the project is one of the world's first industrial-scale green fertilizer plants financed on a non-recourse basis, with lenders relying solely on the project for repayment.
The facility is expected to produce approximately 260,000 tons of calcium ammonium nitrate (CAN) fertilizer annually. The project will utilize over 100 megawatts of electrolysis capacity, powered by Paraguay's abundant renewable hydropower, to produce green hydrogen, which will be converted into ammonia and then synthesized into CAN fertilizer. DNV's scope of work covers the entire value chain, including renewable electricity procurement, hydrogen production, ammonia conversion, and fertilizer synthesis, with specific tasks including technical due diligence, risk identification, design and construction review, and technical feasibility assurance in line with international best practices.
Brice Le Gall, Vice President and Regional Director for Southern Europe, Middle East, Africa, and Latin America at DNV Energy Systems, stated that the ATOME Villeta project demonstrates that industrial-scale green hydrogen and fertilizer production can be technically robust and economically viable under project financing schemes. His team provided evidence-based independent assessments to lenders, giving them the confidence to invest in one of the world's most advanced green hydrogen projects in an emerging market.
The project's lenders include the European Investment Bank (EIB), IDB Invest, the International Finance Corporation (IFC), and the Dutch entrepreneurial development bank FMO. DNV collaborated with a consortium of advisors including A&O Shearman, FERRERE, Argus Media, and ARCADIS.
Dr. Guillermo Matute, Head of DNV's Regional Hydrogen Team, noted that well-structured green hydrogen and its derivative projects can become bankable in the short term and attract major international lenders. Dr. Alberto Coralli, DNV's Project Manager for this initiative, added that similar projects in the power-to-X sector are expected to follow the same path.
The project aligns with Paraguay's strategy to leverage its renewable hydropower for high-value industries, helping to reduce dependence on fossil-based fertilizers, create local jobs, and lower lifecycle emissions in the agricultural supply chain.
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