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# Kazakhstan is planning to build a $1.3 billion urea plant near the Caspian port Kuryk

Publication Date: 07.03.2025, 16:00

The plant aims to produce up to 700,000 tons of urea annually, reducing the need for imported fertilizers and supporting the local agricultural sector.

Kazakh authorities are set to finalize an agreement within two weeks with Turkish construction firm ESTA Construction for the development of a new fertilizer production plant, as directed by Prime Minister Olzhas Bektenov. The investment in the project is pegged at $1.3 billion.

The plant’s designated site will be located near the port of Kuryk, along the Caspian Sea coast. The facility is expected to produce up to 700,000 tons of urea annually, significantly benefiting Kazakhstan’s agricultural sector by reducing the need to import fertilizers.

## **Kazakhstan’s fertilizer market**

Kazakhstan currently relies heavily on imported mineral fertilizers to support its agro-industrial complex, with annual requirements estimated at 2.5 million tons, predominantly consisting of nitrogen-based products like urea. Russia and Uzbekistan are the primary suppliers at present.

## **Economic impact**

The construction of the new plant is projected to generate approximately 1,000 jobs and sustain about 500 permanent positions post-completion. The initiative is anticipated to spur regional infrastructure development, including enhancements to the Kuryk port, new road constructions, and upgrades to the energy infrastructure. Experts forecast that the plant will contribute over 10 billion tenge in annual tax revenues, bolstering the regional economy significantly.

## **International collaboration**

ESTA Construction was selected for this project due to its extensive experience in large-scale industrial projects across the Middle East and Central Asia, particularly in sectors like oil and gas and chemicals. This collaboration is part of a broader strategy to enhance economic ties between Kazakhstan and Turkey under the bilateral economic partnership plan extending to 2027. Additionally, there are plans to export a portion of the fertilizer produced to neighboring Central Asian countries and China, further expanding the project’s scope.

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