Announcement of Jordan Receives One Million Dollars for a Potash Pilot Engineering Project on June 23, 1975

"y...; I'. I. ()I'.,,~-,, )', fOR IMMEDIATE REL.EASE 'T • INTERNATIONAL DEVELOPMENT ASSOCIATION (,~) 1818 H STREET. N.W .. WASHINGTON D. C. 20433 TELEPHONE: EXECUTIVE 3-6360 IDA NEW RELEASE NO. 75/44 June 23, 1975 JORDAN RECEIVES $1 MILLION FOR A POTASH PILOT ENGINEERING PROJECT The International Development Association (IDA), today announced the approval of a credit of $1 million to finance part of the foreign ex- change cost of engineering and other technical services required to prepare and develop a pilot potash project in Jordan. • The $10 million pilot project consists of the construction of a. trial dike and detailed field work, as well as detailed engineering and marketing studies to establish the technical and commercial parameters of potash production from Dead Sea brine via solar evaporation. The Arab Potash Company (APC), established in 1956, will be in charge of implementation of the project. The IDA credit will finance part of the foreign exchange cost of the project. The APC and other bilateral sources of finance will provide the balance. The IDA credit to Jordan is for 10 years, including 5 years of grace. It will be interest-free, except for a service charge of 3/4 of 1% to meet IDA's administrative costs. • Note: Money figures are expressed in US dollar equivalents. PROJECT: T E CHNI CAL DAT A Potash Pilot Engineering • COUNTRY: Jordan TOTAL COST: $10 million IDA FINANCING: $1 million, for 10 years, including: years of grace, interest-free, service charge of 3/4 of 1% to cover IDA's administrative expenses. OTHER FINANCING: The Arab Potash Company and some bilateral sources of financing. IMPLEMENTING ORGANIZATION: Arab Potash Company, Amman, Jordan PROJECT DESCRIPTION: The project includes (a) the design, constructio. supervision, and testing of a trial dike on whic a solar evaporation system could be based. (b) Based on the successful performance of the trial dike, the pilot solar evaporation system and the pilot work determining the optimal means of harvesting carnallite and producing high grade potash, a feasibility study will be carried out to determine capital and operating costs, market potential, and financial and economic returns of a large commercial plant. PROCUREMENT/CONSULTANTS: Consultants are being selected from prequalified bidders to provide the following services: (i) design, construction supervision and testing of the trial dike plus pilot production facilities, and (ii) preparation of a feasibility study for the full-scale project. ESTIMATED COMPLETION DATE: July 1977 - 0 - •