Fertiglobe signs MoU with AD Ports to explore logistics collaboration opportunities in Egypt, UAE
Fertiglobe, the strategic partnership between ADNOC and OCI Global, the world’s largest seaborne exporter of urea and ammonia combined, the largest nitrogen fertilizer producer in the Middle East and North Africa (MENA) region, and an early mover in sustainable ammonia, today announced that it has signed a non-binding Memorandum of Understanding (MoU) with AD Ports Group, a leading facilitator of global trade, logistics, and industry. The collaboration aims to explore logistics and supply chain opportunities for storing and shipping urea and ammonia at ports in Egypt and the UAE.
Fertiglobe aims to reduce its greenhouse gas (GHG) footprint, enhance operational efficiency, and further automate its logistical activities by exploring opportunities to leverage AD Ports Group’s state-of-the-art cargo handling and storage infrastructure and their proximity to Fertiglobe’s facilities and shipping destinations.
In addition, by capitalizing on AD Ports Group's robust supply chain capabilities and sustainable modes of inland transportation, Fertiglobe seeks to further optimize its logistics cost structure, a key component of its recently introduced cost optimization program, targeting $50 million in recurring annualized cost savings by the end of 2024.
Fertiglobe and AD Ports Group will also explore potential collaboration opportunities in other geographies as well as the development of supply chain solutions for green ammonia, a hydrogen carrier, with Fertiglobe’s existing operations strategically located near key shipping routes.
