Moscow – PhosAgro ("the Company") (Moscow Exchange, LSE: PHOR), one of the world’s leading vertically integrated phosphate-based fertilizer producers, announces that its Board of Directors has today approved the framework of the Company’s development strategy through 2020.
The strategy is designed to strengthen PhosAgro’s position as one of the world’s leading phosphate-based fertilizer producers, on building shareholder value, and on achieving top rankings in the industry for labour efficiency, production and sales efficiency, as well as environmental practices.
Some of the key areas of strategic focus include:
- Further modernisation and increasing of production flexibility at the Company’s mineral fertiliser production lines, which will allow PhosAgro to maintain a competitive advantage by enabling it to quickly adapt its product mix in response to changing demand using the same facilities to produce different types of fertilizers;
- Heightened self-sufficiency in key inputs (including ammonia, electricity and sulphuric acid);
- Increased depth of processing of apatite ore and greater internal processing of phosphate rock;
- Continued consolidation of PhosAgro’s subsidiaries;
- Widening of the Company’s product line to include new grades of fertilizers, technical phosphates and other products;
PhosAgro’s main capital expenditure project during the next three years is construction of the high-tech ammonia production line with a capacity of 760 ths tonnes per year at PhosAgro-Cherepovets (over RUB 25 billion including infrastructure). Other investment projects involving the construction of new production lines that process ammonia will be announced at PhosAgro’s Capital Markets Day, which is currently planned for September of this year.
At today’s meeting, the Board of Directors also reviewed PhosAgro’s consolidated financial statements for Q1 2014 and approved the Company’s framework social policy for 2014.