Maaden signs major agreements with US firms Alcoa, Mosaic

Maaden signs major agreements with US firms Alcoa, Mosaic
The agreements were signed at the Saudi-US CEO Forum in Riyadh on Saturday.
Updated 21 May 2017

Maaden signs major agreements with US firms Alcoa, Mosaic

Maaden signs major agreements with US firms Alcoa, Mosaic

RIYADH: Saudi Arabian Mining Company Maaden has signed “landmark” memorandums of understanding (MoU) with the US-based companies Alcoa and Mosaic, according to a statement.
The agreements, signed at the inaugural Saudi-US CEO Forum in Riyadh, will help tap the Saudi mining sector’s significant potential, it was announced.
Maaden and Alcoa announced that they would assess the feasibility of an expansion of a smelting capacity in Saudi Arabia. They previously developed an aluminum production complex in Ras Al-Khair Industrial City.
Since it was formed by the partners in 2009, the Maaden-Alcoa joint venture complex has made a contribution of approximately $4 billion to Saudi Arabia’s gross domestic product (GDP), the statement said. The joint venture supports 3,500 direct jobs and 12,000 indirect jobs. If the expansion were to proceed, primary aluminum capacity could be increased by 600,000 metric tons annually and result in over 3,000 high quality direct and indirect jobs.
Maaden and Mosaic announced an MoU to further highlight and commemorate the partnership between the two mining and fertilizer businesses. The MoU contemplates several areas of potential collaboration in the phosphate business in Saudi Arabia. Mosaic, Maaden and their partner SABIC have already invested about $8 billion in developing the project.
Maaden is advancing a third project for the manufacture of phosphate fertilizers in the Kingdom. The project, which is anticipated to be implemented in phases starting production early in the next decade, envisions adding up to an additional 3 million tons per year of production capacity with a total investment estimated to be $6.4 billion.
The project is subject to the completion of definitive studies and obtaining necessary board approvals and consents. Estimated benefits from the project include a GDP contribution of about $2.4 billion and total employment of 7,000, many of which would be high quality jobs.