Petrobras commits $13.9 billion strengthening its Sergipe Nitrogen Fertilizer Plant

Petrobras plans to invest more than $13.9 billion in the northeastern Brazilian state of Sergipe, with the recently restarted Fafen-SE (Sergipe Nitrogen Fertilizer Plant) serving as a key component of the initiative. The company said the investment program is expected to generate approximately 28,000 direct and indirect jobs across the state.

During a visit to the Fafen-SE facility in Laranjeiras on May 29, Brazilian President Luiz Inácio Lula da Silva was briefed on the spending plan. Petrobras said more than $11.9 billion of the total investment will be directed toward the Sergipe Deep Waters (SEAP) oil and gas development project, while the remaining funds will support fertilizer operations and the decommissioning of shallow-water offshore platforms.

The Fafen-SE plant resumed ammonia production in December 2025 and restarted urea production in January 2026, restoring Petrobras’ fertilizer manufacturing activities in Sergipe. The facility produces ammonia as well as prilled and granulated urea, with a production capacity of 1,800 metric tons per day of urea, enough to meet roughly 7% of Brazil’s national demand.

The restart has created 530 direct jobs and approximately 1,500 indirect positions, according to Petrobras. For Brazil, which remains the world’s largest fertilizer importer, the return of domestic urea production provides additional supply security and helps reduce exposure to volatility in international fertilizer markets.

Source: World Fertilizer