KASSEL, 05-Jun-2017 — /EuropaWire/ — Today (1 June 2017), K+S successfully completed the 30% share purchase of Al Biariq for Fertilizer Plant Co., Ltd (Al Biariq) in Saudi Arabia announced on December 19, 2016. With this purchase, K+S intends to participate in the growth in the Middle East, Africa and South Asia, particularly in the fertigation segment (= use of fertilizers in irrigating systems), and will be able to offer an even broader product portfolio in the future.
K+S produces potassium sulfate fertilizers (including KALISOP®) from natural deposits at the Werra site. The synthetically manufactured potassium sulfate (SOP water-soluble) by Al Biariq in Saudi Arabia provides a welcome addition to the K+S product range with a fully soluble potassium sulfate, which is primarily used in fertigation among other things for fruit and vegetables.
Al Biariq’s production facilities on the Red Sea have an annual capacity of 20,000 tonnes (SOP water-soluble), which is set to double to 40,000 tonnes in the near future.
K+S takes over the distribution and marketing of the fertilizers produced by Al Biariq. In addition, K+S has the opportunity to acquire another 30% of Al Biariq within the next two years.
The investment in Al Biariq in Saudi Arabia and the acquisition of fertilizer activities in China (Magpower) in January 2017 are directed to expand and strengthen the specialty business within the Potash and Magnesium Products business unit.
In the Potash and Magnesium Products business unit, 49% of the sales volume in 2016 accounted for the mineral fertilizer potassium chloride, 39% for fertilizer specialties and 12% for industrial products.
K+S is an international resources company. We have been mining and processing mineral raw materials for more than 125 years. The products we produce from them are used worldwide in agriculture, food and road safety and are important elements in numerous industrial processes. Potash and salt are integral nutrients for the megatrend of a constantly growing and increasingly prosperous global population striving for a higher standard of living. This will result in increasing consumption of mineral resources. We serve the resulting growth in demand from production sites in Europe, North America and South America as well as through a global distribution network. K+S is the world’s largest salt producer and one of the top potash providers worldwide. With more than 14,000 employees, K+S achieved revenues in financial year 2016 of about € 3.5 billion and an EBIT of € 229 million. Learn more about K+S at www.k-plus-s.com.
SOURCE: K+S AKTIENGESELLSCHAFT
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