Partnerships

Ma'aden's business units will operate through separate subsidiaries to facilitate strategic partnerships and each will have its own Board and management. Through existing agreements SABIC and Alcoa each provide the benefit of their world class technical, and operational experience giving input and know-how in the engineering design phases of the Phosphate and Aluminium projects and during the project execution and operational phases of the projects. The partners will also provide expertise with respect to the sale and marketing of Ma'aden's products reflected in off take agreements and flexible marketing arrangements that enable Ma'aden to develop its own marketing resources over time.

The Saudi Basic Industries Corporation (SABIC) is one of the world's leading manufacturers of chemicals, fertilizers, plastics and metals, supplying these materials to other companies, who use them to make the products on which the world has come to depend.

Ma'aden entered into the Phosphate Project Shareholders' Agreement in 2007 to establish a joint venture vehicle, Ma'aden Phosphate Company (MPC), 70 per cent owned by Ma'aden and 30 per cent owned by SABIC. Since then the MPC team developed the Al Jalamid - Ras Al Khair Diammonium Phosphate operation which began initial production in 2011.

Alcoa is the world leader in the production and management of primary aluminum, fabricated aluminum and alumina combined, through its active and growing participation in all major aspects of the industry. Alcoa serves the aerospace, automotive, packaging, building and construction, commercial transportation and industrial markets, bringing design, engineering, production and other capabilities of Alcoa's businesses to customers. Alcoa is a 25.1% joint venture partner in the aluminium project following an agreement signed in December 2009.

Ma'aden and Sahara Petrochemical Company concluded an agreement on March 2011 to produce caustic soda and dichloride ethylene through Sahara & Ma'aden Petrochemical Company; which is owned by each of Sahara and Ma'aden (50%) for each. It is scheduled to finish building the project in Jubial Industrial City at the end of 2012. The production capacity of this project is (250,000) tons annually of concentrated caustic soda and (300,000) tons annually of dichloride ethylene.