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Horizons Middle East & Africa 10/20/2026 (Video)
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UAE’s Fertiglobe explores fertiliser complex in Egypt
UAE fertiliser giant Fertiglobe and Egypt’s energy ministry are exploring plans for an integrated phosphate fertiliser complex on the country’s western Red Sea coast.
The proposed $1.5 billion complex in Ain Sokhna, in the Suez governorate, would produce 1.3 million tonnes of diammonium phosphate (DAP) fertiliser a year. Commercial production is due to begin in 2031, Egypt’s petroleum ministry said in a statement.
Egypt’s minister of petroleum and mineral resources Karim Badawi and Fertiglobe chief executive Ahmed El-Hoshy discussed the preliminary proposal.
Gulf fertiliser companies face a difficult 2026 as disruption in the Strait of Hormuz has limited exports and sent transport costs soaring.
The ministry said talks focused on identifying phosphate deposits to supply the complex and assessing whether long-term sourcing arrangements were feasible.
Badawi said technical and economic studies would be completed soon. The complex would help Cairo get more value from its mineral resources by expanding domestic manufacturing.
Discussions also covered a feasibility study on local AdBlue production, Badawi said. The urea solution reduces emissions from motor vehicle exhausts.
Fertiglobe forecasts that demand growth will exceed supply growth by 2.3 million tonnes in 2026-30, compared with 5.7 million tonnes in 2020-25.
Further reading:
- Gulf fertiliser makers poised for rebound after tough 2026
- A dangerous combination is building in global food markets
- Egypt’s chemical exports surge on higher EU and Asian demand
Its first-half net profit more than tripled to $312 million despite lower sales volumes, stock exchange filings showed. Higher urea prices and an $85 million reduction in tax and finance payments helped drive the increase.
Fertiglobe shares, listed on the Abu Dhabi Securities Exchange, closed 0.9 percent lower at AED2.24 on Monday, leaving them down about 10 percent year to date.
State-owned Abu Dhabi National Oil Company (Adnoc) holds an 86.2 percent stake in Fertiglobe.
Source: AGBI