BEHRE DOLBEAR TECHNICAL ADVISOR TO THE MA'ADEN PHOSPHATE PROJECT

The Ma'aden Phosphate Company’s (MPC) phosphate project in Saudi Arabia operation is one of the

world’s largest fully integrated phosphate fertilizer producers, and cost approximately $5.5 billion to

develop. Behre Dolbear has been the Technical Advisor since 2006 for a consortium of banks that are the

lenders to the project. Behre Dolbear initially conducted a detailed technical analysis of the project for the

lenders before the loan agreements were consummated. When construction began, Behre Dolbear was

responsible for monitoring the project for the lenders, including the construction progress and capital

budget, and for certifying the completion and sustainable production tests required in the loan agreements.

Behre Dolbear will continue to be responsible for monitoring the project for the lenders throughout the

life of the loans which have a term of 14 years.

Behre Dolbear was also responsible to the lenders for monitoring the construction progress of the railway

that transports phosphate concentrate from the mine to the industrial site where the concentrate is

converted into fertilizer, and the port located at the Ras Al Khair industrial site that exports the fertilizer

products. The Railway is operated by the Saudi Arabian Railway, and the port is operated by the Saudi

Ministry of Transport’s Sea Ports Authority (SEAPA). The three combined projects cost over $10 billion.

The phosphate project included the development of a phosphate mine, a beneficiation plant, and ancillary

facilities at Al Jalamid in northwestern Saudi Arabia. The surface mine produces approximately 12

million tonnes per year of mine ore, and 12 million tonnes per year of waste, using blast-hole drills,

hydraulic shovels, trucks, and ancillary equipment. The ore will be delivered to a beneficiation plant

being constructed adjacent to the mine. The beneficiation plant will process the ore and produce a

phosphate concentrate, which is one of the feed-stocks used to produce phosphate based fertilizer. The

major ancillary facilities at Al Jalamid include a gas turbine powered generating plant that supplies all of

the power to operate the Al Jalamid operations, a well field that supplies process and potable water to the

operations, offices, warehouse, maintenance shops, and a village thet houses about 300 employees.

The phosphate concentrate is transported approximately 1,500 kilometers (km) by unit trains from the Al

Jalamid beneficiation plant on the North-South Railway (NSR) to Saudi Arabia’s east coast where MPC

has constructed a chemical complex at the Ras Al Khair industrial site on the Arabian Gulf.

The MPC’s Ras Az Zawr chemical complex includes four major chemical plants to convert the phosphate

concentrate to a fertilizer product, diammonium phosphate (DAP), and their ancillary facilities. The four

chemical plants include:

a sulfuric acid plant that produces sulfuric acid from raw sulfur supplied by Aramco;

a phosphoric acid plant that produces phosphoric acid from the phosphate concentrates in a

process that utilizes the sulfuric acid;

an ammonia plant that produces ammonia from natural gas supplied by Aramco for the

production fertilizer, and for export; and

a DAP fertilizer plant that produces diammonium phosphate (DAP) fertilizer utilizing the

phosphoric acid and ammonia.

The major ancillary facilities also include a cogeneration power plant and desalination plant that utilizes

excess steam from the sulfuric acid and ammonia plants, a sea water intake and outfall system that

supplies sea water for cooling, processing, and potable water, as well as a natural gas line from Aramco, a

power transmission line to tie the cogeneration plant to the Saudi Arabian electrical grid, offices,

warehouse, maintenance shops, and villages to house approximately 1800 employees.

MPC has over 2,000 employees, and it will export 2.9 million tonnes of DAP per year and ammonia

production in excess of the DAP requirements, though the port facility.