Oslo-Yara International ASA has signed an agreement with the National Oil Corp. (NOC) of Libya with the intention of establishing a joint venture for the production and marketing of mineral fertilizer. The planned joint venture will be owned 50 percent by each partner and will comprise the ammonia and urea plants located in Marsa el Brega in Libya, presently owned by NOC. The intention is to finalize the negotiations and to establish the new company by the end of 2007. NOC and Yara have decided to further develop the existing production capacity at Marsa el Brega, and to develop a strategic cooperation for the potential development of further fertilizer projects in Libya. The existing plants in Marsa el Brega produce approximately 700,000 mt/y of ammonia – of which approximately 150,000 mt are available for sale – and 900,000 mt/y of urea. NOC will supply natural gas and services to the new company. It is intended that Yara will contribute towards a further upgrading of the production assets, including building new world-scale fertilizer plants, and will be appointed the marketer for the export of products from the Marsa el Brega site.
Transparency Across the Fertilizer Value-Chain