Ma'aden inks deal to build Saudi phosphate plant

JV with The Mosaic Company & SABIC for plant at King Abdullah project

NEWS, Projects, Ma'aden

The Saudi Arabian Mining Company (Ma’aden) has signed a heads of agreement with The Mosaic Company and SABIC to develop jointly a fully integrated, world-class phosphate production facility in Saudi Arabia at King Abdullah project for the development of Waad Al Shamal Mineral Industrial City.

Ma'aden, Mosaic and SABIC will own 60%, 25% and 15% of the joint venture respectively.

The phosphate project at King Abdullah project for the development of Waad Al Shammal Mineral Industrial City will include a new mine and a processing plant complex in the north region of Saudi Arabia, as well as further processing plants at Ras Al Khair Mineral Industrial City in the eastern province. The estimated cost of the project is SR26bn. The two sites will be linked by the existing North-South Mineral Railway.

Production at the new facilities is expected to commence in late 2016 with a total production capacity of approximately 16 million tonnes per year.

The facilities will produce as finished products approximately three million tonnes of phosphate and compound fertilizer (DAP/MAP and NP/NPK) and 440,000 tonnes of phosphate downstream products including purified phosphoric acid (PPA) used in the food industry, sodium tri-polyphosphate (STPP) used in detergent manufacturing, and Di-calcium Phosphate & Monocalcium Phosphate (DCP/MCP) used in the manufacturing of animal feed.

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