Phosphate Co — State Owned Enterprises- Company Overviews (BUS-6735feb8)

# Template State Owned Enterprises- Company Overviews Ministry of Industry & Minerals Note: All currency figures are in 000's of Iraqi Diners unless otherwise noted. 1. General Information Company Name: State Company for Phosphates Sector Fertilizer / Petrochemical Brief Description Produces TSP and NP, primarily for Ministry of Agriculture. Revenue in 2002 (Iraqi Diners '000s) 20000000 # of Employees 3212 Annual Employee Salaries & Bonus 8000000 Headquarters Address Alanbar-AlQaim PO Box 5954 Baghdad 2. Company Highlights Significant local demand for agriculture industry. Cheap local supplies of raw materials. Potential to increase production 5x to generate 250 billion ID in annual revenue at open market rates. Plant was only operating at 20% capacity before the war due to age of equipment and upgrade needs. Would require $100 million USD investment to increase production. $30M USD in capex was planned for 2003. Allocated $5M USD for 2H 2003 operating budget and provided with zero mw off of grid due to "difficulties with transport", which probably means the transmission lines are down. 3. Facilities Name Province City Grid Damage % Power Needs Water Treatment Plant Al-Qaim 0.3 15 to 25 mw Midway Pumping Station Al-Qaim 0.8 for all facilities Mine trail Bridge Al-Qaim 1 Unit 100 Conveyer Belt Al-Qaim 0.4 Value of All Plant & Equipment Before War, and Initial Purchase Dates and Prices for Major Items 4. Products Product Name Unit Measurement Design Capacity Available Capacity 2002 Production 2002 Revenue TSP Tons 600000 100000 112210 8000000 NP Tons 655000 450000 343340 12000000 Description of Importance of Products to Other Iraqi Industries Iraqi agricultural sector relies heavily on Company's products. 5. Customers Customer Name 2002 Revenue Subsidized (Y/N) Products Sold to Customer and Unit Pricing Ministry of Agriculture Almost 100% Yes TSP at 67K ID/ton, NP at 37K ID/ton. Private Companies 6. Suppliers Supplier Name 2002 Purchases Subsidized (Y/N) Products Purchased and Unit Pricing State Co. for Fertilizers Yes State Co. For Sulfur Yes Current Payment Terms From Suppliers 7. Imports & Exports 2002 Import Markets for Raw Materials None Potential Import Markets in Free Market Yes, potassium salts to produce NPK. 2002 Export Markets for Finished Products None Potential Export Markets in Free Market Surrounding countries. Mgmt believes it could sell 120B ID/year to export market. 8. Competition available Description of Competitive Situation None in Iraq. There is competition from imports, though. Market Share Description Not currently satisfying all of Iraqi demand due only to capacity constraints. 9. Summary of War Damage & Looting of Property & Equipment Description of Damage Water treatment plant, pumping station, bridge and conveyer belt all damaged. Current Operating Status Not operating mainly due to lack of electricity. Immediate Property & Equipment Needs To Restart Operations Company needs significant capex, not so much due to war, but due to lack of spare parts over last 13 years. Needs $3M USD for spare parts and components ASAP. Total Cost to Return to Pre-War Condition