• Asia Potash plans a $1.6 billion fertilizer production complex in Algeria

• The project will process phosphate deposits and produce ammonia, urea, and compound fertilizers

• Algeria holds over 4 billion tons of phosphate reserves as it seeks to diversify beyond oil and gas

Chinese group Asia Potash International Investment has expressed interest in building an integrated fertilizer production complex in Algeria with an investment of $1.6 billion, the Algerian Investment Promotion Agency (AAPI) said in a statement on September 25.

During a meeting with AAPI officials, a delegation led by group chairman Zheng Youye explained that the project will focus on developing phosphate deposits in the east of the country and producing ammonia, urea, and compound fertilizers, relying mainly on natural gas for industrial operations.

Both parties also discussed the project’s economic viability and its alignment with Algeria’s national strategy for developing and exploiting mineral resources. They agreed to continue coordination through additional videoconference meetings to review technical aspects and implementation mechanisms with the relevant sectors.

Algeria has large phosphate deposits located in Djebel Onk and Bled El Hadba in the east, with reserves estimated at more than 4 billion tons of raw ore. The North African country, which is working to diversify its economy beyond hydrocarbons, had already signed in March 2022 a joint venture agreement between state-owned Asmidal and Mana and Chinese firms Wuhuan Engineering and Yunnan TIAN’AN Chemical to develop an integrated mining and fertilizer project at the Bled El Hadba deposit.