ATOME’s Paraguay project reaches FID
By on May 07, 2026
$665 million facility to produce hydroelectric ammonia & fertilisers
Yara already committed to a 10 year, “take-or-pay” agreement covering 100% of output
Click to learn more. ATOME has reached FID for its Project Villeta, a renewable ammonia & fertilizer production facility in Paraguay. Source: ATOME.
ATOME has announced a successful Final Investment Decision for Project Villeta: its flagship, 260,000 tons-per-year, low-carbon fertiliser plant to be built in Paraguay. Construction is expected to commence shortly, with full production projected to commence by October 2029.
The $665 million project funding comprises $420 million of debt financing provided by leading international development finance institutions: IDB Group, the International Finance Corporation (IFC, a member of the World Bank Group), the European Investment Bank, FMO – the Dutch Entrepreneurial Development Bank, and Green Climate Fund. The remaining $245 million project equity investment is led by Hy24, together with IFC, KfW DEG, IFDK (Danish Government Development Fund), a European Fund for Sustainable Development+ guarantee under the EU Global Gateway strategy, Sudameris Bank (Paraguay’s second largest financial institution), and ATOME PLC itself.
ATOME sees the Villeta project as a commercial blueprint. By establishing a “de-risked, high-fidelity framework” for green project development, the aim is for Villeta to be replicated in similar global scenarios. Key to this blueprint is the backing of stakeholder partners for offtake (Yara) and engineering (Casale).
The facility itself will produce 260,000 tons per year of low-carbon calcium ammonium nitrate (CAN), fed by electrolytic hydrogen and excess hydropower from Paraguay’s national grid. You can take a virtual tour of the facility here.
Reaching FID at Villeta is a defining achievement for ATOME which originated, developed and will continue to manage the project through construction and operation. This bankable industrial platform is set to revolutionise the global agricultural sector. Villeta is only the beginning as ATOME rolls out its replicable blueprint, proving that the green transition doesn’t need subsidies to be profitable. It needs the right commitment, engineering and partners.
We are grateful to the President and Government of Paraguay and its people for their tremendous support and encouragement, as well as to our strategic partners, Casale, our Swiss EPC contractor, and our offtaker, Yara International, the Norwegian global fertiliser company.
CEO of ATOME, Olivier Mussat, in his organisation’s official press release, 23 Apr 2026
In today’s geopolitical context, sovereign, local fertilizer supply is strategic. With the Villeta project, ATOME has brought together a strong team, a committed ecosystem and a cost-competitive platform. This is anchored by Paraguay’s fundamentals, including abundant, low-cost renewable hydropower and a prime location at the heart of regional agricultural demand – alongside leading customers and tier-one partners. Hy24 is proud to lead the investor consortium in supporting ATOME to build a reference project for tomorrow’s sustainable, sovereign and competitive fertilizer industry.
Co-founder and CEO of Hy24, Pierre-Etienne Franc, in ATOME’s official press release, 23 Apr 2026
This is exactly the type of investment we want to pursue at Impact Fund Denmark. Investments that deliver attractive returns and long-term value creation. We are helping to build new, greener industries in a region with significant potential for growth and development, while also contributing to a marked reduction in dependence on fossil fuels.
CEO of Impact Fund Denmark, Lars Bo Bertram, in ATOME’s official press release, 23 Apr 2026
At Casale we have been a true believer of the importance and urgency to decarbonise fertilizer production and we are, therefore, very glad that this important project is finally becoming a reality, a small but very significant step into making the production of food sustainable. We are very proud to be the technology and project execution partner of such a landmark project, and to be able to contribute to its success story with our state-of-the-art designs for low carbon fertilizer production.
CEO of Casale, Federico Zardi, in ATOME’s official press release, 23 Apr 2026