Mosaic Enters into Joint Venture to Pursue Saudi Projects

The Mosaic Company (NYSE:MOS) announced that it has entered into a joint venture with Ma’aden and the Saudi Basic Industries Corporation (SABIC) through which they will develop projects in Saudi Arabia.

As quoted in the press release:

The approximately $7 billion greenfield project, to be known as Wa’ad Al Shammal Phosphate Project, would be built in the northern region of Saudi Arabia at Wa’ad Al Shammal Minerals Industrial City, and would include further expansion of processing plants in Ras Al Khair Minerals Industrial City which is located on the east coast of Saudi Arabia. The joint venturewould develop a mine and chemical complexes that would produce phosphate fertilizers, animal feed, food grade purified phosphoric acid and sodium tripolyphosphate for sale to customers worldwide. The highly cost-efficient facilities are expected to have a production capacity of approximately 3.5 million tonnes of finished product per year. Operations are expected to commence in late 2016.

Mosaic President and Chief Executive Officer Jim Prokopanko said:

This cost-effective phosphate project would enable Mosaic to further diversify our sources of phosphates and gives us improved access to key agricultural countries. Our growing global reach further enables us to fulfill Mosaic’s mission, to help the world grow the food it needs, while delivering compelling shareholder value.

To view the whole press release, click here.