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15th AFA Int.’l Fertilizers Forum & Exhibition February 10 - 12, 2009 Cairo Semiramis Intercontinental Hotel, Egypt

Progress & Development of Ma’aden Phosphate Project

Mr. Abdul Aziz Al Harbi MPC President, S. Arabian Mining Company (Ma'aden)

Saudi Arabia


Progress & Development of Ma’aden Phosphate Project Contents 1. INTRODUCTION ...................................................................................................................2 2.

AL-JALAMID SITE ................................................................................................................2 2.1GEOLOGY AND RESOURCES........................................................................................2 2.2THE MINING ....................................................................................................................2 2.3HYDROLOGY AND WATER ............................................................................................2

3.

BENEFICIATION PLANT ......................................................................................................2

4.

CHEMICAL PLANTS AT RAZ SITE......................................................................................2

5.

SULPHURIC ACID PLANT ...................................................................................................3

6.

PHOSPHORIC ACID PLANT ................................................................................................3

7.

AMMONIA PLANT ................................................................................................................3

8.

DIAMMONIUM PHOSPHATE PLANT (DAP) ........................................................................3 8.1Cogeneration Power Plant and Desalinization Plant Design .............................................3

9.

ENVIRONMENTAL ...............................................................................................................4 9.1AL JALAMID ENVIRONMENTAL .....................................................................................4

10. COGENERATION POWER PLANT AND DESALINATION PAN .........................................4 11. RECENT DEVELOPMENT AND STATUS ............................................................................4

ABSTRACT Ma’aden is developing Saudi Arabia’s vast phosphate rock reserves. It has already embarked upon the realization of the first of the Saudi Arabia phosphate fertilizer industry based on Al-Jalamid phosphate reserves. At present a huge industrial complex is under construction which is designed to manufacture phosphoric acid and high analysis di-ammonium phosphate (DAP) fertilizer with capacity of 2.92 Million tons per annum (tpa) of DAP primarily for the international market The project consists of a phosphate mine and a beneficiation plant at Al Jalamid, in Northern Saudi Arabia, and a fertilizer production complex at Ras AZ Zawr, on the shore of the Arabian Gulf. The mining and beneficiation facilities at Al Jalamid will produce an estimated 5 million tpy of phosphate concentrate on a dry basis. The chemical complex at Ras Az Zawr is located north of the Saudi Arabian city of Al Jubail, on the western shore of the Arabian Gulf It will receive 5 million tpy of phosphate concentrate converted to P2O5 The complex comprises of phosphoric acid plant, sulfuric acid plant, ammonia plant, DAP granulation plant, cogeneration plant, and complete export shipping facilities The project is currently progressing well and estimated to produce and market of diammonium phosphate fertilizer (DAP) by 4th quarter of 2010


1.

INTRODUCTION

The Maaden Phosphate Project consists of a phosphate mine and a beneficiation plant at Al Jalamid, in Northern Saudi Arabia, and a fertilizer production complex at Ras AZ Zawr, on the shore of the Arabian Gulf. The ore will be exploited by surface mining and processed by size classification and flotation to yield a concentrate containing 32% to 33% P2O5. It is estimated that the Al Jalamid reserves are adequate for providing ore beyond the 20-year life of the project, at an average mining rate of 11 to 12 million tonnes per year. The mining and beneficiation facilities at Al Jalamid will produce an estimated 5 million tpy of phosphate concentrate on a dry basis. The chemical complex at Ras Az Zawr is located approximately 65 kilometers (km) north of the Saudi Arabian city of Al Jubail, on the western shore of the Arabian Gulf, approximately 200km south of the Kuwaiti border. It will receive 5 million tpy of phosphate concentrate by rail from the Al Jalamid mine, and includes a phosphoric acid plant, sulfuric acid plant, ammonia plant, DAP granulation plant, cogeneration plant, and complete export shipping facilities.

AL-JALAMID SITE 1.1

GEOLOGY A ND RESOURCE S The Al-Jalamid phosphate deposit encompasses 32.7km2 and is part of a total area of 9,883.25km2 where Ma’aden controls the mineral estate through an Exploration License

1.2

T HE MI NI NG The plan is based on surface mining of phosphate ore from two beds, the Upper Horizon and the Lower Horizon. The overburden ranges from 6m to 20m thick over the 20-year plan. Contracting the mining operation where all stripping will be done with trucks and shovels during the first 9 years of operations Contractor has mobilized to the site in December 2008 with first mining beginning in June 2009.

1.3

HYDRO LOGY AND WATE R The groundwater resources at Al Jalamid have been well researched and defined the well field design is technically acceptable. The aquifer identified as appropriate source of groundwater to support the Al Jalamid Phosphate Project, the well field design was based on a well field operations established to protect the long-term viability of the aquifer to support the Al Jalamid phosphate.

2.

BENEFICIATION PLANT

The beneficiation process design based on run-of-mine ore crushed and conveyed to the beneficiation plant stockpiles for blending. The ore is reclaimed and conveyed to a secondary (impact) crusher. After crushing, the ore is ground in rod mills in closed circuit with hydro cyclones, followed by flotation where reagents depress the phosphate mineral while floating the carbonate minerals. Concentrate from flotation is dewatered using a thickener and belt filters and then dried and conveyed to a covered product-storage building prior to loading into the rail cars. The Construction of the Beneficiation Plant commenced and is ongoing well.

3.

CHEMICAL PLANTS AT RAZ SITE

The chemical complex consists of four major processing plants: ammonia; sulfuric acid; phosphoric acid; and DAP plants. The chemical processes and plant designs were selected through a rigorous process was conducted in evaluating various processes and the plant designs. This resulted in the selection of only the most applicable commercially proven processes and designs.


4.

SULPHURIC ACID PLANT

Three processing lines having individual capacities to produce 5,000 tons per day as 100% H2SO4 each SAP line will consume up to 765K tones per year of sulfur producing 230 tons per hour of high2, pressure steam at 482°C and 66 kg/cm emission rates for SO2 and SO3 + H2SO4 have been reduce to 2 kg and 0.075 kg/ton H2SO4 respectively as the result of de-bottlenecking and the use of cesium catalyst.

5.

PHOSPHORIC ACID PLANT

The Hemi hydrate process technology has been selected by MPC for the phosphoric acid plant (PAP) to produce 1.52 million tons per year of phosphoric acid (100% P2O5 basis). The actual P2O5 content of the acid will range between 40% P2O5 for weak acid and 48% P2O5 for strong acid. The Hemi hydrate process is a proven process, which is energy efficient with low water consumption. ¾ The plant comprises of three phosphoric acid production lines each having 1,460 tons per day production capacity for a total of 4,380 tons per day of 100% P2O5; ¾ The concentrated Al-Jalamid rock which considered as one of the best sedimentary rocks with low impurities has been adequately tested to demonstrate the potential for producing a commercial grade acid. Phospho gypsum will be produced as a by-product and stockpiled in an area directly south of the PAP, the plant also produces fluosilicic acid which is neutralized in a lime neutralization system and combined with the phospho gypsum

6.

AMMONIA PLANT

The ammonia plant is to produce 1.09 million tonnes per year of anhydrous ammonia. The ammonia plant is a large plant of standard design and utilizes a proven process. MPC’s decision to select the plant capacity of 1.09 million tonnes per year will produce 437,000 tonnes more ammonia than required for the DAP production of 2.922 million tonnes per year. It has been determined that there is a market for additional ammonia in the region, and the excess capacity will be exported to generate additional revenue. The major design parameters used for the ammonia plant are: • the production of 3,300 tonnes per day of ammonia having a minimum NH3 content of 99.8%; and

7.

DIAMMONIUM PHOSPHATE PLANT (DAP)

The design of the DAP plant has the capacity to produce 2,922,000 tonnes per year of diammonium phosphate (DAP) fertilizer. It is based on the mixed process using a pre-neutralizer and pipe reactor technology, which is a proven process. The process is based on the use of a specially designed Pipe Reactor (PR) of small dimensions for the neutralization of the phosphoric acid with ammonia, the PR working alone or in conjunction with a preneutralizer depending on the product and raw materials available. It is also capable of producing the same amount of monammonium phosphate MAP. The DAP plant comprising of: ¾ four DAP process lines, each having 2,250 tonnes per day production capacity;

7.1

Cogeneration P ower Plant and Des aliniz ation Plant Des i gn The Desalinization Plant is based on the multiple effect distillation (MED) process, Major Equipment of cogenerating plant includes: two (2) Electrical Generators, each rated 96.5MVA; Demineralization Water Plant: rated at 75 ton/hr


8. 8.1

¾

ENVIRONMENTAL A L J A LA MID E NV I RON ME N TA L environmental controls for the mine and beneficiation plant site include: • dryers are equipped with dust collection systems; • spraying system will be installed at the primary crusher; and • conveyor system is covered and dust collection system will be installed at transfer points; • stacking arrangements are sprayed with water;

Fugitive Dust Emissions will be controlled by watering the roads and imposing speed limits RAZ complex was designed according to the comply with the latest World Bank Guideline as well as the regulation applied by PME It is worth noting that the SAP will use the most modern process methods for environmental compliance. Emissions from the acid plant stack will comply with the latest World Bank Guideline (S02 of 2 kg/t H2S04 produced & H2S04 of 0.075 kg/t). Stack height has been increased from 60 m to 80 m. Cesium catalyst used for the 4th Converter improving S03 => S02 conversion (as part of Debottleneck design) on the PAP side the process selected has a lower water consumption by 33%, less power consumption ,and less steam consumption while the Environmental controls for the phosphoric acid plant include: ¾ air Quality Emissions in line with the applicable international standards; ¾ water Quality effluents produced in the phosphoric acid process are recovered and. recycled to the system; ¾ While the fluosilicic acid (FSA), a byproduct will be neutralized with lime and then sent to the phosphogypsum stack. Phospho gypsum produced as a by-product and stockpiled in an area will be impounded in a lined cell structure. The DAP based on zero effluents or discharges, Environmental control at the DAP plant includes air emissions will collected or scrubbed to comply with the latest guidelines.

9.

COGENERATION POWER PLANT AND DESALINATION PAN

No natural gas or fossil fuels are used to generate power other than in emergency cases. Steam from SAP will be used to run Cogeneration Plant to satisfy power demand and generate desalinated water for the complex. Blow down will be sent to the irrigation system.

10.

RECENT DEVELOPMENT AND STATUS

The project is currently progressing well and estimated to produce and market of diammonium phosphate fertilizer (DAP) by 4th quarter of 2010 Start-up is projected to occur in third Quarter 2010,


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