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CHS and OCP plan $450M fertilizer plant

First U.S. phosphate facility in over 40 years aims to reduce import dependence and strengthen domestic supply.

CHS, OCP and government officials celebrate today's announcement of a proposed joint venture in Waggaman, Louisiana, to strengthen domestic fertilizer production in the United States. From left, Emily Domenech, executive director, Federal Permitting Improvement Steering Council; Faris Derrij, chair and CEO, OCP Nutricrops; Kevin Kimm, CEO, OCP North America; U.S. Deputy Secretary of Agriculture Stephen Vaden; U.S. Secretary of Agriculture Brooke Rollins; Louisiana Governor Jeff Landry; Jay Debertin, president and CEO, CHS ; Byron Lee, Jefferson Parish Council, District 3; and Matt Sokol, president and CEO, Cornerstone Chemical Company.
CHS, OCP and government officials celebrate today's announcement of a proposed joint venture in Waggaman, Louisiana, to strengthen domestic fertilizer production in the United States. From left, Emily Domenech, executive director, Federal Permitting Improvement Steering Council; Faris Derrij, chair and CEO, OCP Nutricrops; Kevin Kimm, CEO, OCP North America; U.S. Deputy Secretary of Agriculture Stephen Vaden; U.S. Secretary of Agriculture Brooke Rollins; Louisiana Governor Jeff Landry; Jay Debertin, president and CEO, CHS ; Byron Lee, Jefferson Parish Council, District 3; and Matt Sokol, president and CEO, Cornerstone Chemical Company.
CHS

CHS and OCP North America are building the first phosphate fertilizer plant in the United States since 1984 in Waggaman, Louisiana, with a $450 million investment that will produce over 1 million metric tonnes annually and reduce U.S. phosphate imports by more than 48%.

  • The joint venture facility will cost up to $450 million and produce more than 1 million metric tonnes of phosphate-based fertilizer yearly.
  • The U.S. currently imports approximately 40% of its phosphate-based fertilizer, and this plant could reduce that dependency by more than 48%.
  • The project is expected to create 60 permanent jobs in Jefferson Parish and 500 construction jobs, with a total employment impact of 924 positions.
  • Construction could take up to 24 months and the facility will be the first phosphate fertilizer plant built in the U.S. in more than 40 years.
  • The companies have applied for funding through the USDA's Fertilizer Investment & Expansion for Long-term Domestic Supply program.

CHS and OCP North America's proposed phosphate fertilizer production facility in Waggaman, Louisiana, will be the first such plant constructed in the United States since 1984. The joint venture will cost up to $450 million and produce more than 1 million metric tonnes of phosphate-based fertilizer each year.

The project addresses a growing concern for American agriculture. U.S. phosphate reserves are declining, and the country now imports approximately 40% of the phosphate-based fertilizer used by farmers. The new plant could reduce that import dependency by more than 48%.

“This is an exciting moment for American agriculture,” said Jay Debertin, president and CEO of CHS. “As a farmer-owned cooperative, we exist to help farmers succeed. Together with OCP North America, we have the opportunity to build the first phosphate fertilizer plant in the U.S. in more than 40 years.”

Under the agreement, OCP Group will supply phosphoric acid to the facility, drawing on its global phosphate expertise. Both OCP North America and CHS will distribute the finished products through their networks. CHS serves cooperatives, retailers and farmers across the country through its wholesale and retail crop nutrients operations.

The Waggaman location provides access to raw materials and transportation via the Mississippi River system.

Kevin Kimm, CEO of OCP North America, said the project represents a milestone in the company’s commitment to serving American agriculture. “Together with CHS, we aim to build lasting infrastructure that strengthens U.S. food security and delivers a reliable, domestically produced supply of the crop nutrients American farmers need.”

Once approved, the facility is expected to create about 60 permanent jobs in Jefferson Parish and 500 construction jobs. The companies estimate a total employment impact of 924 direct and services-support positions.

Construction could take up to 24 months, subject to project-related and funding approvals. The partners have applied for funding through the U.S. Department of Agriculture’s Fertilizer Investment & Expansion for Long-term Domestic Supply program.

Both companies have also committed to charitable giving in the greater New Orleans area. “OCP believes that where we do business, we have a responsibility to invest in the people and communities around us,” Kimm stated.

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