Announcement of IDA to Support Study of Phosphate Fertilizer Project in Togo on June 25, 1981

FOR IMMEDIATF RELEASE · · ' .world Bank 1818 H Street, N.W., Washington, D.C. 20433, U.S.A.• Telephone: (202) 477-1234 IDA NEWS RELEASE NO. 81/109 June 25, 1981 IDA·TO SUPPORT STUDY OF PHOSPHATE FERTILIZER PROJECT IN TOGO The International Development Association (IDA) has approved a credit of SOR 4.8 mill ion ($5.7 mill ion) to Togo for a project to determine the feasibility of a phosphate fertilizer project. IDA is the World Bank's affiliate for concessionary lending. Togo is a major producer of phosphate rqck and exports about three million tons of high-grade rock annually, mostly to Western Europe. In an effort to increase its export earnings from phosphates, Togo is currently considering the use of its lower- grade phosphate rock and phosphate slimes for the manufacture of phosphoric acid and phosphate fertilizers. A growing demand exists in the export market for these products. Under the project, to be executed in two phases, the economic viability of a· phosphoric acid and fertilizer plant will first be determined. If preliminary works confirm the prospects for phosphate development, engineering and marketing.studies will then be carried out as a second phase. • Geological work will be done on the phosphate deposits at Dagbati, about 55 kilo- meters northeast of the capital city of Lome. These works are designed to estimate the quantity of the deposits, to develop a mining plan, and to determine the most cost effective method of exploiting the deposits. Laboratory and pilot plant tests on phos- phate rock and phosphate slimes recovered from the.existing phosphate rock plant will help determine the best processing conditions for making phosphoric acid and phosphate fertilizers. The results of this preliminary work will form the basis for the subsequent choice of a site, and for engineering and marketing studies. The IDA credit is for 50 years, including 10 years of grace, and is interest- free, except for a service charge of 3/4 of 1% per annum, to cover IDA's adminis- trative costs. The credit will be committed when funds are available. NOTE: IDA credits are denominated in SDRs (Special Drawing Rights), which are valued on the basis of a "basket" of currencies. The U.S. dollar equiv- alent of the SOR amount of the IDA credit reflects the exchange rate existing at the time of negotiation of the credit . •