Algerian group Asmidal (a subsidiary of Sonatrach) and mining firm Manal have signed an agreement with Chinese companies Wuhuan Engineering and Tian'An Chemical to launch a joint venture for an integrated phosphates project with an investment budget of USD$7 billion.
The new company is called Algerian Chinese Fertilizers Company, with 56 percent of the shares owned by the Algerian party and the remaining 44 percent owned by the two Chinese firms.
This is the first integrated mining and fertilizers production project in Algeria, with a target of an annual production capacity of 5.4 million tons of fertilizers. It will include the development and exploitation of the phosphate deposit of Bled El Hadba mine and Djebel Onk mine, both located in the province of Tébessa, the chemical transformation of phosphates in Oued Kébérit in the province of Souk Ahras, the manufacture of fertilizers in Hadjar Soud in the province of Skikda, as well as dedicated port facilities at the Port of Annaba.
After the completion of the project, the company will eventually produce 5.4 million tons of fertilizer per year. The project is expected to generate some 12,000 jobs during the construction phase, and 6,000 direct jobs and 24,000 indirect jobs once the project starts production.
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