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Production resumes at Waggaman plant

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World Fertilizer,

Incitec Pivot has announced that production at its Waggaman ammonia plant in Louisiana, US, has successfully recommenced following an incident announced on 18 February 2022, with the facility operating at nameplate capacity.

IPL estimates that the impact to earnings associated with the downtime at the plant to be approximately US$128 million (AUS$173 million) on an earnings before interest and tax (EBIT) basis and US$92 million (AUS$124 million) on a Net Profit After Tax (NPAT) basis. Approximately 75% of the impact on earnings will be in 1H22 financial results.

IPL’s Managing Director and CEO, Jeanne Johns said: “I would like to recognise the efforts of our dedicated workforce on the ground at the Waggaman plant for returning the plant to full production. Our ability to make the necessary repairs as quickly and safely as possible would not have been possible without all the support we received from our engineering, design, and construction partners who provided the appropriate materials, labour, and expertise.”

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The company delivered underlying EBIT growth of 18% compared to the pcp after adjusting for re-basing items which relate primarily to the closure of manufacturing at Gibson Island and the sale of Waggaman.


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