Extractive and land intensive industries never impact just one region or community. While affecting multiple regions through exploration, extraction, transport and refinery, petroleum also produces several by-products. A wide range of products including natural gas and plastics depend on petroleum as a primary material. Several products, all too well known in the region, are fertilizers produced from natural gas.
In 2011, Petrobras announced plans to allocate US$13.2 billion for Gas and Energy projects for the period ranging from 2011 to 2015, of which US$5.9 billion will be used to convert natural gas into urea, ammonia, melamine, methanol and other fertilizer products. One of the biggest factories is slated to be built in the middle of Palhal, located outside Linhares, Espírito Santo.
The Gas Chemical Complex (UFN IV) is just one of several major projects that Petrobras has invested in for the coming years as it anticipates a rise in gas and petroleum volume. The UFN IV Complex is planned to be up and running by June 2017. Some of the residents of Palhal have been offered money to relocate. Most of the inhabitants do not plan to move while others see no other choice, and many have been made lofty promises.