Cairo-Orascom Construction Industries said June 25 that Sorfert Algerie, a joint venture between OCI and the Algerian state-owned oil & gas company Sonatrach, has signed an agreement with Uhde GmbH to design, develop, and construct a world class fertilizer complex located in the industrial zone of Arzew, near three major Algerian ports on the Mediterranean coast, for a total value of EUR 1.17 billion + US$160 million. The complex will consist of an ammonia/urea production unit of 1.1 million mt/y and a second ammonia production unit with a capacity of 0.77 million mt/y. The first unit is expected to start operations end 2010, and the second unit will start operations six months later. OCI Algeria, OCI’s Construction Group subsidiary and one of Algeria’s largest construction contractors, is expected to perform all onshore works on the new complex. Sorfert was incorporated in early 2007 as a joint venture between OCI (51 percent) and Sonatrach (49 percent). “We are extremely proud of our partnership with Sonatrach and its management team. The project is now on track to be Algeria’s largest fertilizer producer and geared to be a major exporter on the Mediterranean,” said OCI CEO Nassef Sawiris. In addition to its investment in Sorfert, OCI is the largest shareholder in Egyptian Basic Industries Corp., which is currently constructing a state-of-the-art ammonia plant in Egypt with a production capacity of 0.7 million mt/y. The EBIC plant is scheduled to start operations in mid 2008.
Transparency Across the Fertilizer Value-Chain