RCS - ATOME PLC - Moody’s upgrades Paraguay to investment grade

AtomeAnnouncement

29/07/2024 15:45

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RNS Number : 2635Y  ATOME PLC  29 July 2024

29 July 2024

 

ATOME PLC

("ATOME", "the Company", or "the Group")

 

Moody's upgrades Paraguay to investment grade

 

Specific reference to positive impact of green fertiliser

 

 

ATOME (AIM: ATOM), the leading developer of international green fertiliser
projects, is pleased to note that Moody's Rating, the international rating
agency, has updated Paraguay to investment grade. Moody's specifically
highlighted green fertiliser as a positive material contributor to the future
economy.

 

Moody's upgrade

 

ATOME notes that, on 26 July 2024, Moody's, the internationally recognised
rating agency, significantly upgraded the Government of Paraguay's long-term
issuer and senior unsecured bond ratings to investment grade Baa3 from Ba1,
moving it to be on a par with India.

 

Moody's stated that the upgrade reflected a combination of factors
contributing to robust and sustained economic growth, which it expects to
continue. Moody's noted a track record of institutional reforms that has
improved its assessment of international and governance strength. The
Paraguayan economy grew by 4.7% in 2023.

 

Of particular relevance to the Company, Moody's emphasised the upside
potential for growth, including that arising from domestic green fertiliser
production. ATOME takes this as a supportive reference to the Company and its
flagship projects for Paraguay. The Company's flagship 145MW Villeta Project
in Paraguay is expected to be one of the largest renewable fertiliser
production facilities in the Western Hemisphere from start of production in
2027.

 

 

James Spalding, President of ATOME Paraguay, commented:

 

"This most welcome and deserved upgrade to Paraguay's international financial
standing further vindicates ATOME's strategic decision to select the country
as home to its first flagship projects.

 

"The fact that Moody's specifically mentioned green fertiliser production as a
driver of Paraguay's future financial growth underlines the importance of our
projects to the country.

 

"We are proud to be a part of the strong and vibrant economy of Paraguay and
look forward to finalising the financing and declaring FID for our first 145MW
flagship project in Villeta and commencing construction there by the end of
this year".

 

 

 

For more information, please visit https://www.atomeplc.com
(https://www.atomeplc.com) or contact:

 

 ATOME PLC                                  +44 (0) 113 337 2210
 Nikita Levine, Investor Relations
info@atomeplc.com

 FTI Consulting (Strategic Communications)  +44 (0) 20 3727 1000

                                          atome@fticonsulting.com
 Elizabeth Adams, Ben Brewerton

 

 

About ATOME

 

ATOME PLC is an AIM listed company targeting green fertiliser production with
445-megawatt of projects in Paraguay and a further pipeline of potential
projects in Central America.

 

The first project is at Villeta in Paraguay. It benefits from a 145MW
renewable power purchase agreement and 30 hectares of land in a tax free zone.
Front End Engineering Design studies have been completed and Heads of Terms
signed with Yara, the leading international fertiliser company for offtake of
all of Villeta's production. The Company is now negotiating the project
finance with a view to closing that and declaring FID before end 2024. There
is a further 300MW of renewable power reserved for ATOME in Paraguay.

 

In Costa Rica, The National Ammonia Corporation S.A. was formed in 2022 with
local partner Cavendish S.A. based in Costa Rica to develop green fertiliser
projects for the region. As well as straddling the Pacific and Atlantic
Oceans, Costa Rica is a democratic Central American country. In agriculture,
Costa Rica is the second largest supplier of pineapples in the world and is in
the top ten banana growers.

 

All power for ATOME is from 100% renewable sources and all chosen sites are
located close to the power and water sources and export facilities to serve
significant domestic and then international demand.

 

The Company has a green-focused Board which is supported by major shareholders
including Peter Levine, Schroders, a leading fund manager, and Baker Hughes, a
global technology company operating in the energy and industry sectors.

 

 

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