Overview of Phosphate Industry

IYCr2014
”Crystallography for the next generation: the legacy of IYCr”

Presented by : Lhoussaine Omari April 24th, 2015

Summary

1. Introduction

2. Keys OCP facts and figures

3. Overview of OCP Value Chain

4. Phosphate Market Situation

5. OCP Development Program

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OCP Logo

OCP logo symbolizes a shark tooth

(Lamna obliqua) that are current
Fossil in Moroccan phosphates. This
figure is reproduced five times,
representing the five stars of the
national flag and on the other hand,
the destinations of our products to the
five continents. The set is in a circle
around which are placed two ears
folded in an arc, that symbolize the
fertility and growth

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Phosphate, a Key Element for Plants Grow

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 Phosphate, a Critical Raw Material

Source : Report on critical raw materials for the EU – May 2014

 OCP, Facts and Figures

• #1 Phosphate producer/exporter
#1 Phosphate
• Over than 50% of proven reserves worlwide
Producer
• Most competitive phosphate rock cost position
Mining Processing Exports

Market share by product category : Phosphated

30% Global Phosphated
Rock
• Phosphate : 33% Rock
Trade Market Production
• Phosphoric Acid : 47% 26.4 MT
8.6 MT
Share
• Fertilizers : 19%

Phosphoric
Phosphoric
• Turnover: USD 5.5 billion Acid
$5.5bn Acid
Production
• EBIDTA: USD 1.3 billion 2.0 MTP2O5
revenues 4.4 MTP2O5
• Employees: 23000 employees

Phosphated
• Doubling of mining capacity Phosphated
Fertilizers
$16bn Fertilizers
• Tripling of fertilizer production capacity Production
4.3 MT
Investment 4.8 MT
• Massive cost reduction through value chain
(2008-2025)
optimization

Strong
Contribution • 20.2% contibution to national exprots
to Moroccan • 4.3% contirbution to Domestic GDP
Economy

Source : OCP
 OCP’s Product Portfolio

Specific and Innovative Producs :

• NPK Fertilizers;
Traditional Products:
• Sulfur Enhanced NPK Fertilizers;
• Phosphate;
• Micro-elements Enriched NPK Fertilizers;
• Phosphoric acid (MGA);
• Water Soluble Fertilizers;
• Phosphated Fertilizers (DAP/MAP/TSP).
• Feeds (DCP/MCP);
• Trace Elements;
• Fluoride Products, Phosphogypsum…

DAP/MAP Phosphoric Phosphate

Acid Rock

Water
NPK
TSP Soluble
Fertilizers

Fluoride Enriched
Feeds
Products Fertilizers
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Source : OCP
OCP International Presence

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OCP Value Chain
Mining Processing Exports

Geology

• Khouribga
• Jorf Lasfar
• Youssoufia
• Safi
• Boucrâa

50%
Extraction Phosphate Chemical
Beneficiation Valorisation

• Khouribga
• Youssoufia/ Benguérir 50%
• Boucrâa
• Casablanca
• Jorf Lasfar
Exportation
• Safi
• Laâyoune

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 Geology

 Main constituant = Apatite

(Ca, Na, Mg)10 (PO4)6-X (CO3)X FY (F, OH)2

 Associated minerals :
• Dolomite & calcite
• Quartz & opale
• Montmorillonite & attapulgite
• Gypsum & halite

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 Extraction

Drilling Blasting Pickling Defruiting Transport Mechanical

Treatment

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Phosphate Beneficiation

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 Chemical Valorisation – Phosphoric Acid

Phosphate Grinding Fluorapatite Sulfuric Acid

Ca3(PO4)2 H2SO4

Sulfuric Reaction Phosphoric Acid Calcium Sulfate

acid Crystallization
H3PO4 CaSO4,nH2O

Calcium Sulphate Crystallization form:

 n=2 : Dihydrate
Phosphogypsum Filtration
 n=0,5 : Hemi-hydrate
 n=0 : Anhydrous

Concentration

Merchand Grade Treatment

Phosphoric Acid
Chemical Valorisation - Fertilizers

H2SO4
SSP

NH3
MAP
2NH3
H2SO4 DAP
Phosphate Rock
H3PO4 2NH3
NPK
NH3 KCL
ASP
H2SO4

TSP
H3PO4 14
 Strong Long-Term Demand Fundamentals

Global Population is Steadily Increasing

Global Fertilizer Demand Has Grown Over
The Long-Term

Available Arable Land per Capita is Declining

• 80% increase in global crop production will be required

within the next 40 years;

• Agriculture yield improvment through the use of fertilizers is

the major driver to address the imbalance between food
demand and supply.
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Source : FAO – IFA
Long-term CAGR based on estimated production volumes in 1961 and 2014
 OCP Additional Capacity Poised To Support Demand Growth

Global Phosphate-Based Fertilizer Demand Growth Global Phosphate-Based Fertilizer Supply Growth

MT P2O5 MT P2O5

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Source : IFA – Argus FMB - OCP

 OCP Launched an Important Investment Plan of $16Bn

New Mines and Benefeciation Slurry Pipelines (Instead of A World Class « Plug &
Plants Trains) Play » Chemical Platform

 Additional Mining Capacity :  Slurry Pipelines:  Jorf Phosphate Hub handling up to

 More than 25 MT in Khouribga, 10 new integrated fertilizer units &
Gantour , Meskala and  Khouribga – Jorf Lasfar expansion of logistical
Laayoune; (Operational) 38 MT/year; infrastructures (storage, port…)

 New Rock Beneficiation Plants:  Gantour – Safi Pipeline  Safi Phosphate Hub and
• 3 in Khouribga; (Planned) 10 MT/year. Phosboucraa Chemical Complex.
• 1 at Gantour,
• 1 at Meskala,
• 1 at Laayoune.

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The Slurry Pipeline as a Cornerstone of the Development
Program

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www.ocpgroup.ma