Ma'aden's Phosphate business currently consists of Ma'aden Phosphate Company, a joint venture with SABIC in which Ma'aden owns 70% and SABIC 30%, and the Al Khabra Project which is wholly owned by Ma'aden. Ma’aden is marketing directly its equity portion of DAP/MAP production.
Ma'aden Phosphate Company (MPC)
MPC exploits the phosphate deposit at Al Jalamid in the North of Saudi Arabia and utilises local natural gas and sulphur resources to manufacture Diammonium Phosphate (DAP) at processing facilities at Ras Al Khair on the Arabian Gulf coast. These facilities have the flexibility to also produce Monammonium Phosphate (MAP). The DAP produced by MPC is sold primarily into the international markets. Surplus ammonia from the operation is exported or sold domestically. MPC commenced initial production of DAP on the 17th June 2011.
MPC operates at two primary sites:
The Al Jalamid site comprises the phosphate mine, beneficiation plant and supporting infrastructure and encompasses an area of approx. 50 sq. km. Mine production is around 11.6 Mtpy of ore and the beneficiation facilities can produce an estimated 5 Mtpy of flotation concentrate on a dry basis. Ma'aden's measured phosphate resources at Al Jalamid stand at 534 Mt. Substantial investment has also been made in industrial infrastructure at Al Jalamid including a power plant, potable water production, treatment and distribution facilities, roads and telecommunications supports the mining and beneficiation operations. The phosphate concentrate is transported by rail from Al Jalamid to Ras Al Khair for processing.
Ras Al Khair is 90km north of Jubail in Saudi Arabia's Eastern Province and is the location of MPC's integrated chemical and fertilizer facility and related infrastructure. The phosphate concentrate transported by rail from Al Jalamid is processed in the fertilizer production facility consisting of a phosphoric acid plant, a sulphuric acid plant, an ammonia plant, a DAP granulation plant, a co-generation and desalination plant, as well as other infrastructure.
At full capacity MPC will produce approximately 3 Mtpy of granular DAP, plus a surplus of approximately 0.4 Mtpy of excess ammonia.
Ma’aden is studying a significant expansion of its phosphate operations following completion of a pre-feasibility study on a project to mine in the Umm Wual area 40 kilometres northeast of Turaif.
In February 2012 the Council of Ministers approved the establishment of Wa’ad Al Shammal at which Ma’aden will establish seven large world class plants and associated facilities.
The total production capacity of these plants will be around 16 million tonnes per year and will include phosphate concentrate, sulphuric acid, phosphoric acid, dicalcium and monocalcium phosphate used in animal feed, purified phosphoric acid used in food industries, and sodium tripolyphosphate used in manufacturing detergents and for industrial purposes. Other new plants to produce ammonia and phosphate based fertilizers complimenting the industries at Wa’ad Al Shammal will be constructed at Ras Al Khair in the Eastern Province to be near port facilities.