Koch Takes OCP’s Stake in Jorf Fertilizers
US-based Koch Ag & Energy Solutions (KAES) has acquired a 50% stake in Jorf Fertilizers Company III (JFC III) from Moroccan phosphates and fertilizer giant OCP and at the same time established a 50:50 joint venture with OCP.
“The closing of this acquisition marks Koch’s first substantial investment on the African continent,” said Brad Razook, executive vice-president of Koch Industries and CEO, resources. Financial terms of the transaction, which closed on Jun. 30, were not revealed.
JFC III owns and operates a 1.1 million t/y phosphate-based fertilizers plant. The facility is located within the Jorf Fertilizer Complex – said to be the world’s largest phosphate fertilizer production platform – and has a “unique relationship” with OCP’s broader operations at the site.
“The venture builds on Koch’s long-standing relationship with OCP and a shared vision to expand phosphate offerings globally,” said Scott McGinn, Koch Fertilizer executive vice president. “We are excited to grow Koch Fertilizer from a predominately nitrogen producer and distributor by offering a larger suite of phosphate products to our customers.
JFC III’s production will be marketed by OCP and Koch Fertilizer. The companies will also collaborate on the supply of ammonia and sulfur to OCP and leverage their logistical capabilities for shipping fertilizers from Morocco.
Author: Elaine Burridge, Freelance Journalist
