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The Arab Potash Company (APC) is a
Jordan Jordan, officially the Hashemite Kingdom of Jordan, is a country in the Southern Levant region of West Asia. Jordan is bordered by Syria to the north, Iraq to the east, Saudi Arabia to the south, and Israel and the occupied Palestinian ter ...
ian company that is primarily involved in harvesting
minerals In geology and mineralogy, a mineral or mineral species is, broadly speaking, a solid substance with a fairly well-defined chemical composition and a specific crystal structure that occurs naturally in pure form.John P. Rafferty, ed. (2011): M ...
from the
Dead Sea The Dead Sea (; or ; ), also known by #Names, other names, is a landlocked salt lake bordered by Jordan to the east, the Israeli-occupied West Bank to the west and Israel to the southwest. It lies in the endorheic basin of the Jordan Rift Valle ...
. It is the eighth largest
potash Potash ( ) includes various mined and manufactured salts that contain potassium in water- soluble form.
producer worldwide by volume of production and the sole Arab producer of potash. The company was formed in 1956 in the
Hashemite Kingdom of Jordan Jordan, officially the Hashemite Kingdom of Jordan, is a country in the Southern Levant region of West Asia. Jordan is bordered by Syria to the north, Iraq to the east, Saudi Arabia to the south, and Israel and the occupied Palestinian ter ...
as a pan-Arab business venture and it has a 100-year concession (1958-2058) from the government of
Jordan Jordan, officially the Hashemite Kingdom of Jordan, is a country in the Southern Levant region of West Asia. Jordan is bordered by Syria to the north, Iraq to the east, Saudi Arabia to the south, and Israel and the occupied Palestinian ter ...
that grants it exclusive rights to extract, manufacture and market minerals from the
Dead Sea The Dead Sea (; or ; ), also known by #Names, other names, is a landlocked salt lake bordered by Jordan to the east, the Israeli-occupied West Bank to the west and Israel to the southwest. It lies in the endorheic basin of the Jordan Rift Valle ...
. It is headquartered in
Amman Amman ( , ; , ) is the capital and the largest city of Jordan, and the country's economic, political, and cultural center. With a population of four million as of 2021, Amman is Jordan's primate city and is the largest city in the Levant ...
and has its main plants at Ghor Al Safi, near the southern end of the Dead Sea. The company's
stock Stocks (also capital stock, or sometimes interchangeably, shares) consist of all the Share (finance), shares by which ownership of a corporation or company is divided. A single share of the stock means fractional ownership of the corporatio ...
is listed on the Amman Stock Exchange's ASE Weighted Index.


History

Although the
Dead Sea The Dead Sea (; or ; ), also known by #Names, other names, is a landlocked salt lake bordered by Jordan to the east, the Israeli-occupied West Bank to the west and Israel to the southwest. It lies in the endorheic basin of the Jordan Rift Valle ...
had long been known to have large amounts of mineral deposits – including potash, the earliest efforts to produce potash dates back only to the 1920s, when
Moshe Novomeysky Moshe Novomeysky (, ; 25 November 1873 – 27 March 1961) was an Israeli businessman and mining engineer. He was an early developer of the Palestine Potash Company, precursor to the Dead Sea Works. Biography Mikhail (Moses) Novomeysky was born in ...
built a potash and
bromine Bromine is a chemical element; it has chemical symbol, symbol Br and atomic number 35. It is a volatile red-brown liquid at room temperature that evaporates readily to form a similarly coloured vapour. Its properties are intermediate between th ...
production site in Kalil. By the end of the 1930s, his company added another facility. However, the Kalil facility was destroyed during the
1948 Arab–Israeli War The 1948 Arab–Israeli War, also known as the First Arab–Israeli War, followed the 1947–1948 civil war in Mandatory Palestine, civil war in Mandatory Palestine as the second and final stage of the 1948 Palestine war. The civil war becam ...
, while the other facility halted its production, which put an end to the project. In 1956, the government of Jordan collaborated with some Arab countries, including
Saudi Arabia Saudi Arabia, officially the Kingdom of Saudi Arabia (KSA), is a country in West Asia. Located in the centre of the Middle East, it covers the bulk of the Arabian Peninsula and has a land area of about , making it the List of Asian countries ...
,
Kuwait Kuwait, officially the State of Kuwait, is a country in West Asia and the geopolitical region known as the Middle East. It is situated in the northern edge of the Arabian Peninsula at the head of the Persian Gulf, bordering Iraq to Iraq–Kuwait ...
,
Iraq Iraq, officially the Republic of Iraq, is a country in West Asia. It is bordered by Saudi Arabia to Iraq–Saudi Arabia border, the south, Turkey to Iraq–Turkey border, the north, Iran to Iran–Iraq border, the east, the Persian Gulf and ...
, and
Libya Libya, officially the State of Libya, is a country in the Maghreb region of North Africa. It borders the Mediterranean Sea to the north, Egypt to Egypt–Libya border, the east, Sudan to Libya–Sudan border, the southeast, Chad to Chad–L ...
to establish the Arab Potash Company, in order to extract and produce potash and other minerals from the Dead Sea, of which the government of Jordan kept the majority of the stake. One year later, the government of Jordan granted the company the exclusive rights for all mining operations at the Dead Sea for 100 years. However, the APC took over two decades to begin to launch its first production facility. In 1983, the company shipped its first commercial shipments of potash. In 1992, the APC became a minority partner in Nippon Jordan Ferilizers Company. In 1999, the Kamira Arab Potash Company (KEPACO) was formed as a joint venture between Arab Potash and Finnish company Kemira Agro. KEPACO was inaugurated by
King Abdullah II Abdullah II (Abdullah bin Hussein; born 30 January 1962) is King of Jordan, having ascended the throne on 7 February 1999. He is a member of the Hashemites, who have been the reigning royal family of Jordan since 1921, and is traditionally reg ...
in 2003. By the end of the year, the company began supplying
Potassium nitrate Potassium nitrate is a chemical compound with a sharp, salty, bitter taste and the chemical formula . It is a potassium salt of nitric acid. This salt consists of potassium cations and nitrate anions , and is therefore an alkali metal nit ...
to the local market. In 2000, the government of Jordan signed deals to export its potash production to
France France, officially the French Republic, is a country located primarily in Western Europe. Overseas France, Its overseas regions and territories include French Guiana in South America, Saint Pierre and Miquelon in the Atlantic Ocean#North Atlan ...
and
Egypt Egypt ( , ), officially the Arab Republic of Egypt, is a country spanning the Northeast Africa, northeast corner of Africa and Western Asia, southwest corner of Asia via the Sinai Peninsula. It is bordered by the Mediterranean Sea to northe ...
. In 2001, the government announced it will sell its 52.9% stake in the APC. It received offers from German company Kali und Salz, Japanese company
Mitsubishi The is a group of autonomous Japanese multinational companies in a variety of industries. Founded by Yatarō Iwasaki in 1870, the Mitsubishi Group traces its origins to the Mitsubishi zaibatsu, a unified company that existed from 1870 to 194 ...
, and Canadian company
PotashCorp The Potash Corporation of Saskatchewan, also known as PotashCorp, was a company based in Saskatoon, Saskatchewan. The company merged with Calgary-based Agrium to form Nutrien, in a transaction that closed on January 1, 2018. The company was the ...
. By the end of 2003, PotashCorp purchased 28% of the government's stake in the company. In 2007, the APC's net profit reached a record JD150 million. In February 2014, Arab Potash signed a 15-year deal with US-based
Noble Energy Noble Energy, Inc. was a company engaged in hydrocarbon exploration headquartered in Houston, Texas. In October 2020, the company was acquired by Chevron Corporation. The company was known as Noble Affiliates, Inc. until 2002. As of December ...
to provide Arab Potash, through its Israeli affiliates, with two billion cubic metres of natural gas. In 2018, China's SDIC Mining Investment Co. purchased the 28% stake owned by Canadian company
Nutrien Nutrien is a Canadian fertilizer company based in Saskatoon, Saskatchewan. It is the largest producer of potash, second largest producer of nitrogen fertilizer in the world and generally the 2nd largest in fertilizers worldwide. It has over 2,0 ...
in Arab Potash for $502 million. In 2019, Arab Potash produced Red Potash for the first time and exported its first shipment to
Brazil Brazil, officially the Federative Republic of Brazil, is the largest country in South America. It is the world's List of countries and dependencies by area, fifth-largest country by area and the List of countries and dependencies by population ...
. The company achieved JD125 million in net profits in 2018. In 2019, its net profit increased to JD152 million, while in 2020, it generated JD127 million. Jamal Al Sarayrah – who served as the chairman of the board of directors since June 2012, resigned on December 18, 2020. He was succeeded by Shehadah Abu Hdaib.


Operations

The Arab Potash Company is located south of
Amman Amman ( , ; , ) is the capital and the largest city of Jordan, and the country's economic, political, and cultural center. With a population of four million as of 2021, Amman is Jordan's primate city and is the largest city in the Levant ...
and north of
Aqaba Aqaba ( , ; , ) is the only coastal city in Jordan and the largest and most populous city on the Gulf of Aqaba. Situated in southernmost Jordan, Aqaba is the administrative center of the Aqaba Governorate. The city had a population of 148, ...
. The site is basically a solar evaporation pond system of an area of and processing plants. APC produces four grades of potash: standard, fine, granular and industrial grade potash through the following process: * Solar ponds: the process starts at the brine intake pumping station located on the Lisan peninsula where four intake pumps with a capacity of approximately deliver 250 - 300 million tons per year of Dead Sea water. The precipitated raw
carnallite Carnallite (also carnalite) is an evaporite mineral, a hydrated potassium magnesium chloride with formula KCl.MgCl2·6(H2O). It is variably colored yellow to white, reddish, and sometimes colorless or blue. It is usually massive to fibrous with r ...
is the raw material for producing potash is precipitated as mixture of carnallite (KCl.MgCl2.6H2O) and NaCl. This bed is harvested as a slurry from beneath the brine and delivered to booster pumps on the dikes and then to the refinery through floating pipes. * Processing plants: The Hot Leach Plant: APC utilizes the hot leach process technology to produce high grade standard and fine potash, which includes the following units of operation: Carnallite Processing;
Sylvinite Sylvinite is a sedimentary rock made of a mechanical mixture of the minerals sylvite (KCl, or potassium chloride) and halite (NaCl, or sodium chloride).Weiss N.L., SME Mineral Processing Handbook 1985, Page 22-2 Sylvinite is the most important s ...
Processing; Crystallization; Product Dewatering; Drying; Screening * Industrial potash plant: industrial grade potash (KCl) is the premium form of
potassium chloride Potassium chloride (KCl, or potassium salt) is a metal halide salt composed of potassium and chlorine. It is odorless and has a white or colorless vitreous crystal appearance. The solid dissolves readily in water, and its solutions have a sa ...
(99.2% KCl min.) that is produced to meet the needs of the non-fertilizer sector. * Cold crystallization plant I: the cold crystallization plant is independent of the hot leach facility. It is operated under ambient temperature and therefore requires less energy. It includes the following processes: carnallite receiving; flotation; crystallization; cold leaching; drying * Cold crystallization plant II: a second cold crystallization plant (II) came into operation in September 2010 to give a total production of 450,000 tons annually. The new plant is much similar to the cold crystallization plant I, but it encompasses certain areas of modified processes and advanced technology. A new compaction plant was also installed to produce more than 250,000 tons annually of high quality granular potash. The new compaction plant comprises a post-treatment unit to enhance the quality of granular potash.


Markets

APC's principal export markets are India, China and Malaysia.


Subsidiaries and affiliates

Arab Potash has several Dead Sea-area affiliates and subsidiary projects, including: * Arab Fertilizers & Chemicals Industries (KEMAPCO) Established in 1998, KEMAPCO is a limited liability company wholly owned by APC. KEMAPCO produces potassium nitrate fertilizer (of which it supplies around 12% of world's total demand), dicalcium phosphate, animal feed and nitric acid, for markets in Europe and Asia. * Numeira Mixed Salts and Mud Company is a limited liability company founded in 1997 and wholly owned by APC. Numeira produces "mixed salts" and "Dead Sea Mud" for the cosmetics industry. The company is the domestic cosmetic industry's sole supplier of Dead Sea raw materials. * Jordan Bromine Company (JBC), established in 1999, is a joint venture with Albemarle Holdings Company of the United States, dedicated to producing
bromine Bromine is a chemical element; it has chemical symbol, symbol Br and atomic number 35. It is a volatile red-brown liquid at room temperature that evaporates readily to form a similarly coloured vapour. Its properties are intermediate between th ...
and bromine derivatives, including tetra bromo bis phenol-A (TBBP-A), used as a
flame retardant Flame retardants are a diverse group of chemicals that are added to manufactured materials, such as plastics and textiles, and surface finishes and coatings. Flame retardants are activated by the presence of an combustion, ignition source and pr ...
;
calcium bromide Calcium bromide is the name for compounds with the chemical formula Ca Br2(H2O)x. Individual compounds include the anhydrous material (x = 0), the hexahydrate (x = 6), and the rare dihydrate (x = 2). All are white powders that dissolve in water, ...
, which is used in the oil drilling industry;
sodium bromide Sodium bromide is an inorganic compound with the formula . It is a high-melting white, crystalline solid that resembles sodium chloride. It is a widely used source of the bromide ion and has many applications.Michael J. Dagani, Henry J. Barda, T ...
, used in
photography Photography is the visual arts, art, application, and practice of creating images by recording light, either electronically by means of an image sensor, or chemically by means of a light-sensitive material such as photographic film. It is empl ...
; and
hydrogen bromide Hydrogen bromide is the inorganic compound with the formula . It is a hydrogen halide consisting of hydrogen and bromine. A colorless gas, it dissolves in water, forming hydrobromic acid, which is saturated at 68.85% HBr by weight at room temper ...
. JBC completed extensive expansion of its plant in the second quarter of 2013 at an investment of JD 120 million, which raised its production capacity to more than 200,000 tons annually. * Nippon Jordan Fertilizers Company - was established in 1992 as a joint venture between APC, Jordan Phosphate Mines Company (JPMC),
ZEN-NOH The , in short , is a federation of agricultural cooperatives in Japan Japan is an island country in East Asia. Located in the Pacific Ocean off the northeast coast of the Asia, Asian mainland, it is bordered on the west by the Sea of Japa ...
, Mitsubishi Kasei, Asahi and Mitsubishi Corporations. It produces NPK fertilizer and DAP Fertilizer (
diammonium phosphate Diammonium phosphate (DAP; IUPAC name diammonium hydrogen phosphate; chemical formula (NH4)2(HPO4)) is one of a series of water- soluble ammonium phosphate salts that can be produced when ammonia reacts with phosphoric acid. Solid diammonium ph ...
) exported primarily to the Japanese market. * Jordan Industrial Ports Company (JIPC) was established in 2009 as a joint venture between APC and the Jordan Phosphate Mines Company (JPMC), following a memorandum of understanding signed in 2008 by APC and JPMC with the Aqaba Development Corporation (ADC) and the Aqaba Special Economic Zone Authority (ASEZA) to refurbish, develop, upgrade, and expand the existing jetty. Implementation work started immediately after signing the operating and management agreement with ADC in 2013, and it was scheduled to be completed in 2016.


External links


Google finance, Arab Potash Company PLC


References

{{Authority control Mining companies of Jordan Potash mines Dead Sea Companies based in Amman Non-renewable resource companies established in 1956 1956 establishments in Jordan Companies listed on the Amman Stock Exchange Companies in the ASE Market Capitalization Weighted Index