Consortium led by Nova Engevix won three lots of UFN-3 in Três Lagoas, a strategic Petrobras project to reduce Brazil’s dependency on imported fertilizers
Petrobras has taken another step to bring to fruition one of the most symbolic industrial projects in the fertilizer sector in Brazil. Nova Engevix, in partnership with the Chinese company PowerChina, won contracts totaling R$ 1.8 billion in the resumption of the Nitrogen Fertilizer Unit 3, the UFN-3, in Três Lagoas, Mato Grosso do Sul.
According to information published by Forbes Agro, based on Reuters, the contracts include executive project, construction, and commissioning of essential systems for the plant’s operation, including the granulated urea handling system, power and steam generation, main substation, and molten urea and granulation units.
The resumption occurs after Petrobras approved, on April 13, 2026, an investment of about US$ 1 billion to complete the factory, whose commercial operation is expected to start from 2029.
-
Brazilian Industrial Complex to Double Biodiesel Production Capacity by 2027 with $1.2 Billion Investment, Currently Produces 900 Million Liters Annually
-
As Millions Receive Bolsa Família, Brazilian Companies Struggle to Fill Jobs as 80% Report Hiring Challenges
-
Natura Warns of Up to 10% Revenue Drop Due to Product Shortages, Weak Brazilian Demand, and Franchise Adjustments
-
Brazilian Entrepreneur Expands Automotive School to 48 Locations, Acquires Electric Car Company to Lead Technical Training in Latin America
Project halted since 2015 returns to the center of Petrobras’ strategy
The UFN-3 is not just any plant. The project had been halted since 2015 and returned to the center of Petrobras’ strategy at a time when Brazil is trying to reduce its external dependency on fertilizers.
The factory was planned to produce 3,600 tons of urea per day and 2,200 tons of ammonia per day, volumes considered strategic to supply agricultural regions such as Mato Grosso, Mato Grosso do Sul, Goiás, Paraná, and São Paulo.
In practice, the location in Três Lagoas places the unit close to some of the main consumer hubs of Brazilian agribusiness. This reduces logistical costs, increases supply security, and strengthens the national supply chain.
Nova Engevix takes on three of the 11 lots of the resumption
Nova Engevix, a company of the Nova Participações group, leads the consortium with 60% participation. Alongside PowerChina, the company is responsible for three of the 11 lots tendered by Petrobras for the completion of UFN-3.
The contracts were signed on June 25, 2026, in Três Lagoas, according to a publication by Nova Engevix on LinkedIn. The company reported that the project is expected to be completed between the end of 2028 and the beginning of 2029.
The planned services include critical areas of the plant, such as energy, steam, electrical substation, granulation, and urea handling, essential steps to transform the structure into an operational unit.
Fertilizers have become a topic of industrial sovereignty
Petrobras’ decision goes beyond an industrial project. Brazil is an agricultural powerhouse but still heavily depends on imported fertilizers to sustain its production.
Therefore, the resumption of UFN-3 has gained strategic importance. According to a statement by Petrobras’ Director of Industrial Processes and Products, William França, to Reuters, this plant alone could reduce Brazilian urea imports by 12%. Combined with other units, the reduction could reach 35%.
This movement is connected to the reactivation of other Petrobras fertilizer units in Paraná, Bahia, and Sergipe, forming a broader strategy to increase national production.
Três Lagoas returns to the map of major industrial investments
With the resumption of UFN-3, Três Lagoas regains a significant position on the map of major industrial projects in the country. The city, which already has a strong presence in the pulp, logistics, and energy sectors, once again hosts a major project impacting agribusiness.
The investment is also expected to boost engineering, construction, industrial assembly, specialized services, and local suppliers. Although the total number of jobs still depends on the mobilization schedule, projects of this magnitude usually generate demand for technical, operational, and administrative labor.
The resumption also reinforces Petrobras’ presence in a segment that had lost ground within the company in recent years. Now, with global pressure on supply chains, fertilizers are once again treated as a strategic area.
From abandoned project to key piece for agribusiness
UFN-3 symbolizes an important turnaround. What was once seen as a stalled asset, with incomplete structure and uncertain future, now returns as a key piece for the national supply of nitrogen fertilizers.
Petrobras plans to start commercial operations in 2029, after completing the engineering, construction, assembly, commissioning, and operational testing stages.
If the schedule progresses as planned, the factory could help Brazil reduce exposure to international fluctuations in prices, freight, and fertilizer supply.
In the end, the victory of Nova Engevix in the R$ 1.8 billion contracts is not just another won bid. It marks the resumption of a billion-dollar project, halted for over a decade, that can place Petrobras back at the center of an essential discussion for the country: producing more fertilizers within Brazil to support one of the largest agribusiness forces in the world.
