Saudi Firm Ma’aden Awards $2.25bn Of Work On Phosphate Project

The contracts were awarded to Canadian and Asian companies concerning its new phosphate mining and production project.

Saudi Arabian Mining Company (Ma’aden) has awarded three contracts worth a combined SAR8.46 billion ($2.26 billion) to Canadian and Asian companies concerning its new phosphate mining and production project, it said on Monday.

The project in Waad al-Shimal City in the north of the country is a joint venture between Ma’aden, Saudi Basic Industries Corp and Mosaic.

Canada’s SNC Lavalin and China’s Sinopec Engineering Group have won a SAR2.86 billion deal to build a power plant and a sulphuric acid plant which has a production capacity of 4.9 million tonnes, Ma’aden said in a bourse filing.

South Korea’s Hanwha Engineering & Construction Co won a contract to build a phosphoric acid plant worth SAR3.5 billion. The plant will have a production capacity of 1.5 million tonnes.

China Huanqiu Contracting & Engineering Corp Co won a contract to build an ore beneficiation plant worth SAR2.08 billion with a production capacity of 5.3 million tonnes.

The projects are due to be completed in 2016, Ma’aden said.

Ma’aden aims to close fundraising for its $7 billion phosphate project before the end of the year, a timetable reiterated in Monday’s statement.