ICL and AkzoNobel Sign MoU on Minerals JV
The joint venture agreement calls for production and marketing of 1.5 million t/y of high purity vacuum salt, as well as 50,000 t/y of white potash utilizing best-in-class available technology.
The high purity vacuum salt, manufactured from a salt byproduct of potash mining and used in a variety of chemical applications as well as in specialty food and feed grades, will be produced by a joint venture between AkzoNobel Chemicals International and ICL Iberia and marketed by AkzoNobel.
According to the MOU, AkzoNobel will enter into an off-take agreement with the jv for all of the vacuum salt. The white potash will be produced and marketed by ICL Iberia.
ICL is currently building a production facility for the two products at its mining facility located in the Catalonia region of Spain, as part of a previously announced, €170 million project to increase its potash mining and production capacity in Spain.
The prospective partners hope to benefit from strong synergies including ICL's extensive mining and production capabilities in Spain and AkzoNobel's experience and technical know-how in producing the salt, along with the Dutch company's sales and marketing networks.