INDORAMA ELEME FERTILIZER AND
Status: Approved investmentWhy disclosure?
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Disclaimer
The information as disclosed is indicative and provided on an "as-is/as available" basis for general informational purposes only and should not be construed as financial, legal or investment advice, nor as a commitment or an offer to arrange or provide any financing. The final decision to provide financing is subject to the terms and conditions of FMO in its sole and absolute discretion. When providing links to other sites, FMO bears no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. The information on proposed investment for high-risk investments is made available in the language relevant to the country or region where the bulk of operations take place. Translations of any information into languages other than English are intended as a convenience for local stakeholders. In case of any discrepancy, the information provided in English will prevail.
Who is our customer
Indorama Eleme Fertilizer & Chemical Ltd. (Indorama) is Sub-Saharan Africa's largest urea fertilizer manufacturer. Indorama has a 1.4 million metric tonnes per annum urea manufacturing facility based in Port Harcourt, Nigeria.
What is our funding objective?
Currently, Nigeria has to import most of its fertilizer. Domestic production will help West Africa. The fertilizer industry is expected to experience long-term demand growth as increases in populations and incomes drive demand for food. Urea is the most widely used fertilizer globally and continues to grow in market share due to its high nutrient content and ease of handling and storage. Within this context, Indorama is uniquely positioned due to its execution capabilities, competitive production costs, and the strength of its management team. The company will enable Nigeria as well as the larger West African region to meet the requirements of the domestic fertilizer market, while also channeling foreign exchange into Nigeria through export of urea to abroad.
Why do we fund this investment?
The project promotes the Nigerian agriculture sector, especially food security, with a positive effect on food prices and reduction of imports. This project also contributes to industrial diversification, away from the oil and gas industry. Indorama will create 350 permanent jobs, of which 250 employees will be locally sourced.
More investments
| Date | Total FMO financing |
|---|---|
| 6/12/2018 | USD 40.00 MLN |
| 2/18/2013 | USD 30.00 MLN |
| 10/1/2023 | USD 75.00 MLN |
- Region
- Africa
- Country
- Nigeria
- Sector
- Infrastructure, Manufacturing and Services
- Effective date
- 3/8/2017
- Total FMO financing
- USD 18.85 MLN
- Funding
- FMO NV
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Risk categorization on environmental and social impacts, A = high risk, B+ = medium high risk, B = medium risk, C = low risk
Environmental & Social Category
(A, B+, B or C) - B+