Saudi Arabian Mining Co. (Ma'aden) has signed an SR25.5 million contract with SNC-Lavalin and Jacob consortium for providing advanced engineering services for its Jalamid phosphate project and the Jubail fertilizer complex. The investment component of the two integrated projects would eventually reach SR7 billion, making it the first and the biggest of its kind in the Kingdom. Dr. Abdallah E. Al-Dabbagh, president of Ma'aden, and E.A. (Ed) Vogelgesang, vice president and general manager (Saudi Operations) of SNC-Lavalin Europe B.V. signed the contract on behalf of their respective organizations. Cesar R. Inostroza, director, technology, mining and metallurgy division (Montreal), and senior executives of Ma'aden witnessed the signing ceremony held at Ma'aden headquarters in the Ministry of Petroleum and Mineral Resources. Speaking after the signing ceremony, Dr. Al-Dabbagh said their feasibility study had established the viability of the Al-Jalamid phosphate project, which includes production of 4.5 million tons per year of phosphate concentrate at the Al-Jalamid mine and an integrated world class fertilizer complex to produce 2.9 million tons per year of diammonium phosphate (DAP) used as a fertilizer. It is located at Ras Az-Zawr in Jubail. Dr. Al-Dabbagh said molten sulfur and natural gas from within the Kingdom would be used as feedstock, together with the captive phosphate rock, making it a highly competitive integrated production facility within easy reach of the growing Asian markets. The plant's designs are based on the largest proven individual technologies that meet stringent world-class technology and environmental standards. The Ma'aden chief pointed out that a railway line linking the mine to the fertilizer complex was part of a larger infrastructure development effort spearheaded by the government-owned Public Investment Fund (PIF). Ma'aden had committed $500 million in the form of interest-free loan toward the construction of the railroad to guarantee favorable terms for transportation of the concentrate. The fertilizer production facilities planned at Ras Az-Zawr site north of Jubail Industrial City on the Gulf comprise three 4.1 million ton per year sulfuric acid plants, three 1.4 MTPY phosphoric acid plants, one 650,000 tons per year ammonia plant, and three 2.9 MTPY tpd DAP plants, as well as a dedicated port for Panamax-size ships.
