The €200 million financing deal between OCP Group, in plant nutrition solutions and phosphate-based fertilizers, and KfW, Germany’s development and investment bank, has been finalised. The financing is intended to combat climate change and support global food security. The KfW loan is a significant part of OCP Group’s $13 billion green investment strategy for 2023-2027, aimed at increasing sustainable fertilizer production.
By 2024, the Group wants to run all of its industrial processes using 100% non-conventional water. To that end, €150 million will be invested.
In addition to boosting the production of environmentally friendly fertilizers, the €50 million investment will help the Group meet its goals of producing 100% clean energy (5 gigawatts) by 2027, complete carbon neutrality in Scopes 1 and 2 by 2030, and carbon neutrality in Scope 3 by 2040.
Chief Financial Officer of OCP Group Karim Lotfi Senhadji welcomed the purchase, saying, “We are thrilled to announce this significant milestone in our journey towards a sustainable future.” This agreement with KfW not only shows the confidence stakeholders and investors have in OCP Group, our business model, and our ability to fulfill our financial commitments, but it also serves as a crucial component of our ambitious green investment strategy.
A $7 billion investment is also part of the plan to produce 1 million tons of green ammonia and hydrogen per year from solar and wind energy by 2027. This manufacturing will help Morocco’s other green industries grow in addition to being utilized in fertilisers.
With the help of these investments, Morocco will see the development of a creative and interconnected ecosystem that will employ over 25,000 people and involve about 600 businesses in the energy, industrial, and agricultural sectors.
Higher volumes of the sustainably produced plant nutrition solutions from OCP Group will be essential for decarbonizing agriculture, improving global food security, strengthening farmer empowerment, and safeguarding biodiversity.
