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OSTCHEM

Production increased by 5.3% y/y

In January-March 2025, OSTCHEM nitrogen holding (part of Group DF) increased mineral fertilizer production by 5.3% compared to the same period in 2024, to 529.3 thousand tons. This was reported to GMK Center by the press service of Group DF.

Cherkassy Azot produced 394.8 thousand tons of products last quarter, while Rivne Azot produced 134.4 thousand tons.

The production structure changed in line with demand and imports: the share of ammonium nitrate and urea fell, while the most popular fertilizer, UAN, increased.

Ammonium nitrate production in the first quarter decreased from 246 thousand tons last year to 226.5 thousand tons, while urea production fell from 123.5 thousand tons to 116.7 thousand tons. UAN production increased from 123.8 thousand tons to 162.2 thousand tons. UAN production (produced only at Rivne Azot) amounted to 15.8 kt (10.8 kt in Q1 2024).

“OSTCHEM’s plants faced forced production stoppages due to drones entering the territory of our plants and destruction of external gas and energy infrastructure in Cherkasy and Rivne regions. Force majeure led to forced disruptions in fertilizer supplies… This was the most difficult season in our history, and we suffered huge losses due to emergency shutdowns and restarts. We will pass this test of strength. We will fulfill all fertilizer deliveries, no matter what it takes,” said Oleg Arestarkhov, Group DF’s Head of Corporate Communications.

In 2025, OSTCHEM nitrogen holding revised its strategy: the new priority is to reduce production risks by investing in energy independence. With electricity prices at an all-time high and risks persisting, the nitrogen business is forced to take steps to ensure the stability of its production chains and reduce energy consumption from outside.

In 2024, OSTCHEM’s plants reduced fertilizer production by 13% y/y. Cherkassy Azot produced 1.4 million tons of mineral fertilizers (+0% y/y) and Rivne Azot 407 thousand tons (-22% y/y) in the period under review.

OSTCHEM is a nitrogen holding of Group DF that unites the largest mineral fertilizer producers in Ukraine. It includes Rivne Azot, Cherkassy Azot, Severodonetsk Azot and Stirol (which are not operating and are located in the occupied territories).