Saudi Arabian Mining Co. (Ma’aden), Riyadh, and its African subsidiary, Mauritius-based fertilizer distribution group Meridian Group, have opened a fertilizer terminal equipped with blending facilities in Malawi in southeast Africa.
The new terminal at Liwonde in Malawi’s southern region is strategically located on the rail line connecting the country to the deep-sea Indian Ocean port of Nacala in Mozambique, enabling “high access” to Ma’aden’s fertilizer products across central and southern Africa, the Saudi Press Agency reported on Nov. 22, citing Ma’aden’s Senior Vice President of the Phosphate Business Unit Hassan Al-Ali.
The new facility has 40,000 mt of storage capacity and is equipped with 2,400 mt/d of blending capacity, and annual bagging capacity of 10 million bags, and total production capacity of 360,000 mt/y, according to the report.
Ma’aden expects the Liwonde fertilizer terminal to contribute to the growth of its exports to Africa as “it will provide access to a steady supply of high-quality fertilizer to over 5 million small-holder farmers in Malawi and Zambia,” and “subsequently, will improve food security on the African continent.
The Saudi company acquired an 85 percent stake in the Meridian Group in September 2019 for an enterprise value of $140 million in an all-cash deal (GM Sept. 6, 2019). Meridian operates across Malawi, Mozambique, and Zimbabwe, supplying fertilizers, seeds, and grain. In 2019, its fertilizer distribution volume totaled around 500,000 mt/y. The acquisition was Ma’aden’s first international acquisition.