Three Partners Plan Saudi Phosphate Plant

U.S. fertilizer maker Mosaic plans to team up with Saudi Basic Industries Corp. (SABIC) and the Saudi mining firm Ma’aden to develop a phosphate production complex in northern Saudi Arabia. The estimated $7 billion joint venture would include a mine and a chemical complex making phosphate fertilizers, animal feed, food-grade phosphoric acid, and sodium tripolyphosphate. The operation is expected to open in late 2016 with about 3.5 million metric tons per year of finished-product capacity. Mosaic would contribute design, construction, and operations expertise plus up to $1 billion. In exchange, it would get a 25% ownership stake and would market about 25% of the venture’s output. Ma’aden and SABIC are already partners in a phosphate fertilizer complex on the Persian Gulf.