Nhan Dan Online - PetroVietnam Fertiliser and Chemical Joint Stock Company (PVFCCo), a member of the Vietnam Oil and Gas Group, and the Office Cherifien des Phosphates (OCP) of Morocco have signed a Memorandum of Understanding on co-operation to build a diamonium phosphate (DAP) fertiliser plant in Morocco.

The signing ceremony took place on May 9 at OCP’s headquarters in Casablanca under the witness of PetroVietnam Chairman Dinh La Thang and OCP Chairman Mostafa Terrab. Under the agreement, the two sides also outlined a joint plan to build an ammoniac plant in Vietnam or a third country if there are enough natural gas supplies for the project.

The DAP plant is planned to have an annual production of 660,000 to 1 million tonnes of DAP fertiliser to supply to Vietnam and other regional markets. Total investment for the plant is put at US $600 million.

As planned, the plant will be put into operation in 2011. Upon its completion, it will be Vietnam’s largest investment project in a foreign country.

OCP is the biggest economic group in Morocco under Morocco Royal ownership. Its total asset is estimated at US $3.6 billion with 17,000 employees. OCP’s total revenue in 2007 was US $3.7 billion and the figure for this year is estimated at US $6-7 billion.

OCP is the world third biggest producer of phosphate, after Russia and the US, and also the world’s No 1 exporter of this product, exporting some 30 million tonnes a year, accounting for 33% of world’s DAP fertiliser market share.

OCP owns four phosphoric mining exploration centres in Morocco with a total reserve of 37 billion cubic metres, two phosphoric producing and processing complexes and four seaports.

Currently, OCP has exported its products to over 50 countries and territories in the world and has established joint ventures with six countries to build DAP fertiliser plants in Morocco, including Belgium, Germany, Indonesia, India, Pakistan and Brazil.