Jordan Phosphate Mines seeks controlling interest in IJCC
The board of directors of the Jordan Phosphate Mines Company (JPMC) recently decided to seek an additional 17 percent stake in the Indo-Jordan Chemicals Company (IJCC). The move, which would bring JPMC's holdings in IJCC to 52 percent, aims at enhancing JPMC's say in IJCC’s management.
The purchase is to be covered by IJCC's debt to JPMC, Director General Khalid Sheyyab told the Jordan Times. The Indian fertilizer giant Southern Petrochemical Industries Corporation (SPIC), which owns 52.2 percent of IJCC’s shares, announced in February that it intends to sell its entire equity in the company. IJCC’s remaining shares are held by the Saudi Arab Investment Company (TAIC).
Established in 1992, IJCC manufactures an annual capacity of 225,000 tpa phosphoric acid in its Eshidiya mine. The comany’s output is directed exclusively toward export to the Indian market. IJCC consumes 850,000 tons of phosphate annually, supplied to it by the JPMC.
Operating since 1949, the 65 percent state-owned JPMC operates as a public shareholding company pending privatization. It retains a monopoly over the mining of phosphate rock in the Jordanian kingdom. It is by far the largest Industry in Jordan.
The company posted a four million Jordanian dinar ($5.6 million) profit last year, up from JD128 million net losses in the previous year 2000. Jordan is the world’s third largest exported of phosphates, following Russia and Morocco, and ranked the world’s sixth largest producer. — (menareport.com)
© 2002 Mena Report (www.menareport.com)