Funding boost for ATOME’s Villeta renewable ammonia-based fertiliser project in Paraguay
By on August 06, 2025
Click to enlarge. Update on ATOME’s Villeta project, from Decarbonising the global food chain (May 2025).
As part of its portfolio of renewable fertilizer projects, ATOME is developing a 245,000 tons per year calcium ammonium nitrate (CAN) in Paraguay, based on renewable hydrogen & ammonia. The project will be powered by about 145 MW of hydroelectricity, and is set to come online by 2027. ATOME has already secured an offtake agreement with fertiliser giant Yara for 100% of the produced fertiliser.
In February this year, a head of terms agreement was signed with low carbon hydrogen investor Hy24 to act as lead equity investor, with an investment of $115 million into the Villeta project. Two months later, the project signed an EPC contract with CASALE fixed at a sum of$465 million.
Adding to the list of funding support, the Viletta project has received $50 million in concessional funding from the Green Climate Fund. This is part of the Fund’s approval of $1.225 billion total to be allocated to a total of 17 projects globally.
The Villeta project has also received $135 million in senior debt from the European Investment bank. The funding allocation signals great momentum in the project with the CEO describing the funding as a “milestone in the project’s maturity and credibility”.
EIB is one of the largest providers of climate finance in the world and we are pleased to have EIB as one of the key supporters of this impactful, first-of-a-kind project.
The equity component of the project is coming through with target closing and IFD remaining at the end of September.
Olivier Mussat, ATOME CEO, quoted in Proactive Investors, 18 July 2025
I am very proud that this Board meeting has approved a record amount of new climate finance for developing countries. GCF’s USD 1.225 billion investment in these new projects will improve resilience and accelerate mitigation efforts in 36 countries around the world. At a time when collective climate action is more needed than ever, GCF is stepping up to deliver on its mandate. I am also pleased that the Board is moving ahead on regional presence, which will bring GCF much closer to developing countries.
Amb. Seyni Nafo, GCF Co-Chair in GCF’s official press release, 4 July 2025