SABIC FERTILIZERS HELPING TO FEED PEOPLE
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1 FERTILIZERS
2 SABIC FERTILIZERS HELPING TO FEED PEOPLE
3 Our planet now supports more than 6.7 billion people. To nourish them, more food is being produced than would ever have been thought possible 50 years ago. This is thanks, in large part, to the increased use of fertilizers, which help to protect crops and to increase yields wherever they are used. Even so, feeding the growing population represents a massive challenge for governments and farmers across the world. The UN s World Food Program says over 800 million people are malnourished and go to sleep hungry every night. If we are to feed everyone and look after the natural resources and wild spaces, we need to use land more efficiently. Better fertilizers are part of the solution. SABIC is a major producer of fertilizers, including ammonia, urea, phosphate, and compound products. These are made from chemical or mineral sources. These inorganic fertilizers help plants grow and make the soil healthier, while reducing the risk of water run-off, overgrazing and soil erosion. They help to produce more nourishing crops for people and animals to eat. Our fertilizers help farmers produce higher yields, and play a vital role in providing secure, reliable food sources. They are used from the wheat prairies of North America to the ranchers in New Zealand and the rice fields of Thailand, nourishing the crops that feed us all. FERTILIZERS
4 SABIC WHY FERTILIZERS? An outsider might ask why a company founded to make use of the by-products of oil extraction should become a world leader in fertilizers. To us, however, it was a natural step. The major fertilizers are ammonia, urea and DAP/MAP and NPKs. Ammonia is the most important because it is used as a base in the production of the other two. It is made by converting natural petroleum gas into hydrogen and then combining it with nitrogen. When land is farmed, crops drain the nutrients out of the soil. To keep the nutrient supply steady, farmers add fertilizers. The major nutrients that plants need are the elements nitrogen, phosphorus and potassium and the most effective man-made fertilizers contain these. SABIC has access to large resources of natural petroleum gas it is released as a by-product when oil is extracted from under the Saudi Arabian sands. We convert this natural resource into ammonia, helping farmers and eliminating waste. Demand for fertilizers is increasing and it is a good business for SABIC, given our natural resources and technical expertise. So it was natural for one of world s leading petrochemical manufacturers to become a force in the global fertilizer industry. We co-ordinate our fertilizer production from our headquarters in Riyadh, Saudi Arabia. Advanced production facilities produce inorganic fertilizers at our SAFCO plant in Al Jubail, Saudi Arabia. Thanks to SABIC fertilizers, Saudi Arabia now produces enough wheat to feed its whole population.
5 WORLDWIDE PRODUCTION & SHIPPING SABIC is one of the leading global fertilizer producers with over 6.7 million tons per annum of gross production capacity. Over the years, we have built our capabilities to serve the high quality, sustainable, and environmentally-friendly fertilizer products to our customers. Our wide-ranging portfolio of fertilizers includes urea, ammonia, and phosphate, produced at our three affiliates: Saudi Arabian Fertilizers Company (SAFCO), the Al-Jubail Fertilizer Company (AL-BAYRONI) and National Chemical Fertilizer Company (IBN AL-BAYTAR). We have efficiently marketed fertilizers, particularly nitrogen products, by leveraging our global marketing network with a strong presence in key markets such as Southeast Asia, North America, Oceania, South Africa, and the Indian Subcontinent. CUSTOMER SATISFACTION SABIC has a long-standing commitment to continually improve our customer service. In support of that commitment, we have developed and implemented an e-commerce portal which allows Saudi Arabia-based customers to place and track the progress of their orders. This hands-on, real time control helps them to shorten the sales order duration. A Net Promoter Score survey by an independent third party, designed to gauge customer loyalty, satisfaction, and overall perception of our quality of service, has revealed high levels of confidence in our product quality, and widespread appreciation of our value added services, in terms of expert applications advice and general in-depth sales support. PROJECTS A new plant of a standalone urea plant (SAFCO V) will be built on SAFCO premises, to convert 850,000 mtpa of CO2 greenhouse gas into valuable fertilizer, with production scheduled to begin in 2014, at 1.1 million metric tons per annum. Production economies of scale will help cut both our energy and water consumption, by 8 and 11 percent respectively, helping reduce our environmental footprint and promote healthy living in the communities where we operate. After a year of development, a successful pilot trial for the production of a new generation of compound fertilizer grades (NPK) has been completed. The new grades are more efficient and better balanced than those currently on the Saudi market, delivering better value, improved sustainability, and enhanced performance. SAFCO IV, Al-Jubail, Saudi Arabia. Our newest plant, represents the latest in fertilizer-production technology. Our state-of-the-art SABIC Technology & Innovation Center, Al-Jubail, Saudi Arabia. Logisitics, Yanbu, Saudi Arabia. We re ideally placed on trade routes to supply markets the world over. FERTILIZERS
6 OUR CUSTOMERS ARE THE COMPANIES THAT MAKE EVERYTHING AROUND US. WE HELP THEM MAKE IT BETTER. Vast quantities of fertilizers to help farmers from the Middle East to Africa, from the Far East to North America, meet the world s ever-growing hunger for food.
7 FERTILIZERS
8 MANUFACTURING FERTILIZERS We keep our large, efficient production plants up-to-date with the latest technology, so we can offer our customers high-quality products at competitive prices. Advanced facilities, increased capacity SAFCO, our original fertilizer manufacturing affiliate, now has one further production plants in the hightech industrial city at Al-Jubail. It works in close co-operation with two of our other manufacturing affiliates, the Al-Jubail Fertilizer Company (AL-BAYRONI) and the National Chemical Fertilizer Company (IBN AL-BAYTAR), to increase production across our range of fertilizers. SAFCO IV at Al-Jubail produces urea at its ultra-modern facilities. Each type of fertilizer we produce is specifically designed to get the best out of certain plants, or to help crops grow in different types of soils. Mineral or chemical fertilizers enrich the soil where arables are being grown. Responsible use of our fertilizers brings increased crop yields the world over. Grade This fertilizer is perfect for fruit and vegetables.
9 OUR PRODUCTS We meet our customers demands. Flexible production capacity. Maize is nourished by urea, the most popular inorganic fertilizer. Urea the world s favorite fertilizer Urea is the most popular and economical of the nitrogen-based fertilizers. It has a higher concentration of nitrogen than any other solid fertilizer 46%. Urea is very versatile, ideal for use in a wide range of environmental conditions on crops including wheat, barley, rice and maize. It can either be sprayed or used for fertigation and is normally applied at least three times during the growing season. SABIC is the largest single exporter of granuler urea in the world with more than 90% sold internationally, We are also a significant producer of prilled urea. Overall, we supply 8% of global traded urea and we expect to reach 10% with SAFCO V in Ammonia and phosphates Our ammonia and phosphates division supplies 90% of Saudi Arabia s requirements for phosphate fertilizer, and supplies all of the Kingdom s demand for ammonia. Ammonia essential for urea Most of the ammonia produced by SABIC is used as a raw material for urea production, although a million metric tons a year (about a third of our total production) goes directly to the international market. Ammonia may also be applied directly to moist soils to provide high nitrogen content for growing wheat, barley and oilseed rape. Phosphate fertilizers for wheat and barley Ammonia, in combination with phosphoric acid, makes phosphate fertilizer products. SABIC produces diammonium phosphate, needed for growing wheat, barley and vegetables, and is also applied in the early stages of fruit orchard fertilization. We also produce monoammonium phosphate which is often used to help farm clover, wheat and barley, especially in sandy soil. FERTILIZERS
10 SUPPORTING OUR PRODUCTS We form lasting relationships and pay close attention to our customers needs. The SABIC brand is seen worldwide as a mark of quality, a guarantee of consistently high standards. We want to maintain our reputation and, as we grow, to cement our status as a leading global supplier of ammonia and urea. We plan to achieve this by continuing to invest in our facilities and increasing our production capacity. Most importantly, we develop strong relationships with our customers, listen to their feedback and try to meet their needs as closely as possible. Working in partnership with our customers We know that we owe our success to our customers, and we consistently adapt ourselves to the needs of the industry we serve. By doing so, we help our customers to grow. This demands an intelligent and flexible approach, which is why we make sure we can adjust order volumes and supply routes at short notice to suit our customers. Our representatives meet customers at exhibitions and trade fairs and we also hold technical seminars at the beginning of each farming season, so farmers always know how to put our wide variety of fertilizers to best use. Reliability We re proud of the reliability of our supply. Our plants are modern and efficient, kept up to date with new technology, and our global network enables us to supply customers efficiently all over the world. We make it our business to deliver quality products on time, whatever the complexity or volume needed. SABIC research the leading edge Our customers benefit from our state-ofthe-art production facilities that harness every ounce of value from precious hydrocarbon resources, and we re committed to a program of industrial research that will keep us competitive. To take advantage of expertise from around the world, we have technology and innovation (T&I) facilities in Saudi Arabia, the Netherlands, the USA, India, Spain, Japan and South Korea. Their efforts improve the quality and range of products that we offer, as well as reducing costs, improving efficiency and safeguarding the environment. These facilities, and the experts they employ, also allow us to provide our customers with the best technical care and after-sales support.
11 THE HUMAN TOUCH We serve our customers in over 35 countries worldwide. From our production plants to our marketing and sales offices, we employ the brightest, most experienced people in the industry. And, having attracted the best staff, we empower them to make the decisions that ensure SABIC is the best it can be. We are building one of the petrochemical industry s most comprehensive training programs, creating a business culture which encourages creativity, innovation and personal development. It all helps to make SABIC a company people are proud to work for. Protecting our people While productivity and efficiency are important, our first priority is the safety of our people and the communities around us. Our investment in training, equipment and process-management systems has earned us an enviable safety record, and we do everything we can to create a safe, healthy and rewarding environment for our employees. We train and support them so that they have the responsibility and the power to minimize or eliminate risks at work, looking after others safety as well as their own. Towards a greener world At SABIC, we share the world s growing concern for the environment. We do everything we can to minimize our impact on the planet, from ensuring that our manufacturing plants cause as little pollution as possible, to producing safer, greener products for the world to use. Our fertilizers business unit works closely with farmers to make sure that its fertilizer products are put to use in a sustainable and environmentally sound way. In everything we do we balance economic and ecological considerations, and we have comprehensive safety, health and environmental systems to make sure we re working to the highest standards. We also ensure our suppliers, contractors, affiliates and employees are aware of their responsibilities. We have won numerous awards for our environmental achievements, and we intend to remain a world leader. Thorough maintenance checks ensure our outstanding reliability. We employ the best people in the industry and give them what they need to succeed. Safety in the workplace is our top priority. FERTILIZERS
12 SABIC FERTILIZERS SABIC is one of the leading global fertilizer producers. Over the years, we have built our capabilities to serve the high quality, sustainable, and environmentally-friendly fertilizer products to our customers. We produce a wide-ranging portfolio of fertilizers such as urea, ammonia, and phosphate.
13 FERTILIZERS
14 SABIC FERTILIZERS HELPING THE WORLD GROW
15 Securing the food supplies for a hungry world is a major challenge, and through our fertilizer production, we re playing a vital role in making sure good, nutritious food reaches the world s tables. As the population continues to increase, we believe our role will become more important and demand for high-quality fertilizer products will grow. With our dedication to customer service, our expansion into new markets and our commitment to technological development and research, we ll be ready to meet these demands, and the SABIC brand will remain a guarantee of quality, now and in the future. FERTILIZERS
16 CONTACT US MIDDLE EAST SABIC (HQ) PO Box 5101, Riyadh 11422, Saudi Arabia T F E info@sabic.com EUROPE SABIC Europe PO Box 5151, 6130 PD Sittard, The Netherlands T F E info@sabic-europe.com ASIA PACIFIC SABIC Asia Pacific Pte. Ltd. One Temasek Avenue, # Millenia Tower, Singapore T F E sappl@sabic.com.sg AMERICAS SABIC Americas, Inc City West Boulevard, Suite 650, Houston, TX 77042, USA T F E info@americas.sabic.com SOUTH AFRICA SABIC SOUTH AFRICA Cape Town 8001 South Africa T F E serdynf@sabic.com SAB_FER_EN_V1_09.12
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