(goldseiten) -- Yara has agreed
with Orica and Apache to form joint ventures to build a 330,000 metric tons
ammonium nitrate (TAN) plant on the Burrup peninsula and distribute ammonium
nitrate and other explosives products to mining customers in the Pilbara
"This is an important and value creating project for Yara that confirms our
dedication and ambition to be among the leading suppliers of TAN globally.
Together with our partners, we look forward to servicing the fast growing
Pilbara iron ore market," said Jorgen Ole Haslestad, President and Chief
Executive Officer of Yara.
The joint venture will be owned 45% by Yara, 45% by Orica and 10% by Apache.
Construction of the plant is expected to have a capital cost of approximately
USD 800 million excluding capitalized interest, and be completed by the end of
2015. Tecnicas Reunidas will be appointed as the Engineering, Procurement and
Construction contractor under a fixed price, turnkey contract. Yara will manage
construction and ongoing operation of the ammonium nitrate plant.
Upon commencement of construction, Orica will pay approximately USD 110
million for the 45% stake, to be split between Yara and Apache.