PVFCCo UFC85/Formaldehyde Plant at Phu My

The UFC85/formaldehyde plant invested in by PVFCCo was planned for the Phu My fertilizer plant area in Ba Ria-Vung Tau Province, and can produce 15,000 tons of UFC85 or 25,000 tons of formalin per year. CAD contracted to supply equipment for Toyo (TTCL Vietnam) in this project.

Key points

• Investor: PVFCCo; site: Phu My fertilizer plant area, Ba Ria-Vung Tau Province.
• Annual capacity: 15,000 tons of UFC85 or 25,000 tons of formalin.
• The plant was planned to be operational after 16 months.
• Reference prices: about US$800 per ton of UFC85 and US$500 per ton of formalin.

Scale and schedule

Under the plan announced at contract signing, the plant was due to start operating after 16 months. Both products are used in producing urea grains and help harden the grains.

Why a domestic plant

Cao Hoai Duong, general director of PVFCCo, said all urea fertilizer plants in Vietnam had to import UFC85 or formalin from the Middle East. The overseas supply is not stable given many factors, including transportation distance, weather and price.

The UFC85/formaldehyde plant was therefore expected to help ensure a domestic supply of these materials for urea fertilizer production. The project is expected to contribute greatly to PVFCCo’s profits, as a ton of UFC85 sells for some US$800 and formalin for US$500. The plant also marks an important step for PVFCCo in chemical production and product diversification.