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Russia to talk ammonia supplies via Ukraine with UN as part of grain deal, says Putin

Russia to talk ammonia supplies via Ukraine with UN as part of grain deal, says Putin

International Desk

MOSCOW: Moscow will work with the United Nations on resuming the supply of ammonia via the Tolyatti-Odessa pipeline as part of the grain deal, Russian President Vladimir Putin said at a meeting with Chairman of the RSPP (Russian Union of Industrialists and Entrepreneurs) Commission on Mineral Fertilizers Production and Trading Dmitry Mazepin on Wednesday, reports TASS.

Togliattyazot is set to supply ammonia, Mazepin said, adding though that the Ukrainian side is putting forward a number of political issues on the resumption of transit. "We hoped the issue would be solved since the grain deal continued. But I would like to inform you that the Ukrainian side is putting forward a number of political questions, in which we are not up to snuff, making us unable to operate," he said.

"The parameters, figures and volumes there are clear. The benefit for all participants of the process is also clear," Putin replied. "We will also work with the UN, with colleagues from the organization. Let’s see how that pans out. You know my position, I am not against it," he noted.

Mazepin noted that once the grain deal was concluded in July 2022, a memorandum was inked, suggesting that the countries under the auspices of the UN would support the unblocking of the Tolyatti-Odessa ammonia pipeline and the delivery of ammonia produced at Togliattyazot.

That said, Uralchem plans to commission Russia’s first port for ammonia shipment in Taman by the end of 2023, which will enable the opening of an alternative supply route. According to Mazepin, the company’s investments are expected to total 50 bln rubles ($824 mln). Currently Russia’s ammonia exports depend on ports in other countries, he noted.

"We would like to plug this gap. We are working together with the Industry and Trade Ministry, the Administration of the Krasnodar Region, and all agencies. But we would still like to ask you, as part of the grain deal, to help temporarily open and ensure in Odessa the unloading and transportation of ammonia that may also run to developing countries, including Africa," Mazepin said.

Mazepin also said that the US trader Transammonia was ready to act as a buyer of ammonia from the Togliatti plant in order to transport it through Ukraine, purchasing it at the Russian-Ukrainian border.

On February 24, Tolyattiazot suspended the transit of ammonia through the Tolyatti-Odessa pipeline due to the situation in Ukraine.

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