Adedapo Adesanya
By Adedapo Adesanya
Nigeria will soon start exporting ammonia to Morocco following the signing of five strategic Memorandum of Understandings (MOUs) between the federal government and the Kingdom of Morocco.
Both parties signed the agreements on Tuesday in a move that would foster Nigerian – Morocco bilateral collaboration and promote the development of hydrocarbons, agriculture, and commerce in both countries.
The Minister of State for Petroleum Resources, Mr Timipre Sylva, led the Nigerian delegation to the agreement signing ceremony at Marrakech, Morocco, while the Chief Executive Officer of OCP Africa, Mr Anouar Jamali signed for the Kingdom of Morocco.
Under the agreement between OCP, Nigeria Sovereign Investment Authority (NSIA) and the Nigerian National Petroleum Corporation (NNPC), Nigeria will export ammonia and import phosphate from the Kingdom of Morocco and use it to produce blended fertiliser for the local market and export.
As part of the project, the Nigerian government plans to establish an Ammonia plant at Akwa Ibom State.
The Executive Secretary of Nigerian Content Development and Monitoring Board (NCDMB), Mr Simbi Kesiye Wabote and the Group Managing Director of NNPC, Mr Mele Kyari were part of the delegation and they confirmed that their organisations would take equity in the Ammonia plant when the Final Investment Decision (FID) would be taken.
Other members of the delegation included Governor of Akwa Ibom, Mr Udom Gabriel Emmanuel; Governor of Jigawa State, Mallam Muhammadu Badaru Abubakar and Managing Director of NSIA, Mr Uche Orji.
The Minister confirmed that the project will broaden economic opportunities for the two nations and improve the wellbeing of the people. He added that the project will also positively impact agriculture, stimulate the growth of gas-based industries and lead to massive job creation.
He revealed that President Muhammadu Buhari had mandated the Ministry of Petroleum Resources and its agencies and other government agencies to give maximum support for the project.
“He mandated me to ensure that at least the first phase of this project is commissioned before the expiration of his second term in office in 2023,” he added.
The MOUs that were signed were for the Support of the 2nd phase of the Presidential Fertilizer Initiative; Shareholders Agreement for the creation of the Joint venture company to develop the multipurpose industrial platform and MOU for equity investment by the NNPC in the Joint Venture and support of gas.
Other agreements were term sheet for gas sales and aggregation agreement and MOU for land acquisition and administrative facilitation to the establishment of the multipurpose industrial platform for gas sales and aggregation agreement.
