Israel Chemicals Ltd. (TASE: ICL) is negotiating on a joint venture to extract and sell phosphates in emerging markets. The potential deal is in the hundreds of millions of dollars, the company announced yesterday. The negotiations are over partnership in a mine, and also over the construction of a plant for phosphate products in the areas of food and fertilizers.
The company warns, however, that the negotiations have not yet matured into an agreement, and that that there is no certainty that they will.
Israel Chemicals seeks to expand its share of the phosphate market, and so is looking for opportunities overseas. It does not wish to rely on Sde Barir in the Negev, since Minister of Health Yael German opposes mining there, and in any case does not see it as a long-term resource. In addition, the company is concerned about the possible outcome of the Sheshinski Committee's inquiry into the state's take from exploitation of Israel's natural resources.
Published by Globes [online], Israel business news - www.globes-online.com - on September 14, 2014
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