Perdaman Announces Gas Sale MOU with Woodside and World Class Urea Plant for Western Australia

Perdaman Chemicals and Fertilisers and Woodside Petroleum Limited  signed a memorandum of understanding for the supply by Woodside of gas to the proposed Perdaman Urea plant on the Burrup Peninsular in Karratha for a period of 20 to 25 years.

Perdaman’s planned Urea Plant will have a capacity of 2 million tonnes per annum and is estimated to cost US$3.3bn to build.

Key highlights of the project include:

  • The project will create in excess of 2,000 direct jobs during the 3-year construction phase and have a permanent staff of 200 to operate the plant on a non-fifo basis in Karratha
  • The plant will be Australia’s first urea export project supplying growing Asia Pacific demand
  • The project where possible will invest in the employment of local workforce
  • Perdaman has invested US$175m into the feasibility study to date


Perdaman Managing Director, Vikas Rambal said that the “dream of building a world class Urea plant in Western Australia is one step closer with our strategic partnership with Woodside. Perdaman view the development of downstream industries using the State’s gas resources as important to the ongoing creation of jobs, development of regional communities and positioning our State as a key supplier into the growth corridor of the world through Asia”.

“I would like to thank Woodside CEO, Peter Coleman, and the Board for their support of this world-class downstream project in Western Australia” said Mr Rambal.

Perdaman also thanked the Minister for Regional Development, the Honorable Alannah MacTiernan, and the State Government for their continued support of the Urea project and look forward to working together with them in partnership to complete the project and access the existing local infrastructure.

“Woodside is pleased to support the development of the Perdaman Urea project in the Pilbara Region which will create jobs and drive economic activity in the region and Western Australia” said Mr Coleman

Perdaman who was advised by EY Mergers & Acquisitions will now focus on working with the State Government on the approvals required, commence a process to finalise offtake and equity partners and complete project financing.

Michael Anghie / Stacey Holmnas
EY /
+61 8 9429 2334

Peter Klinger / Karen Brown
Cannings Purple
+61 411 251 540 / +61 413 080 956