Yara completes divestment of Salitre phosphate mining project to EuroChem

Date:02-24-2022

Yara has announced that its divestment of the Salitre phosphate mining project in Brazil to EuroChem has successfully closed and it has received the total proceeds of US$452 million.

Serra do Salitre is an advanced-stage integrated upstream phosphates project in Minas Gerais, southeastern Brazil. It comprises an open pit phosphate mine with more than 350 million t of reserves, and a 1 million tpy manufacturing plant for MAP/NP and SSP/TSP products which is due to come on-stream in 2023.

Yara entered into the Salitre project in 2014, and its assets comprise phosphate mining operations, including a tailing dam, with an annual production capacity of approximately 1200 kt of phosphate rock and an on-going project to construct phosphate processing operations with a projected production capacity of approximately 1000 kt per annum at completion. The estimated CAPEX required to reach completion is of a similar magnitude to the divestment value.

The project progress has been impacted by COVID-19 and significant construction time and CAPEX remains to reach completion, according to Yara.