Fertiglobe, the strategic partnership between ADNOC and OCI Global, has signed a non-binding Memorandum of Understanding (MoU) with AD Ports Group.
The partnership will investigate logistical and supply chain potential for storing and delivering urea and ammonia at Egyptian and UAE ports.
Fertiglobe intends to reduce its greenhouse gas (GHG) footprint, improve operational efficiency, and further automate its logistical activities by exploring opportunities to leverage AD Ports Group’s cargo handling and storage infrastructure, as well as its proximity to Fertiglobe’s facilities and shipping destinations.
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Ahmed El-Hoshy, CEO of Fertiglobe, said: “We are pleased to partner with AD Ports Group, a UAE national champion and a global leader in maritime trade and logistics.
“Our MoU will explore compelling opportunities that exist across our logistics and supply chain management requirements, bolstering our ability to store and ship urea and ammonia from Egypt and supporting our programme to optimise our logistics cost structure.”
Furthermore, by leveraging AD Ports Group’s robust supply chain capabilities and sustainable modes of inland transportation, Fertiglobe hopes to further optimise its logistics cost structure, a key component of its recently launched cost optimisation programme, with a goal of saving $50 million in recurring annualised costs by the end of 2024.
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Captain Mohamed Juma Al Shamisi, Managing Director and Group CEO, AD Ports Group, stated: “In line with the UAE’s wise leadership’s vision for economic diversification, this partnership cements AD Ports Group’s commitment to driving broader global collaboration and supply chain development for alternative fuels, which contributes to achieving the Group’s sustainability objectives.
“We anticipate that this will become a remarkable step towards a greener, more efficient future. As two homegrown champions, AD Ports Group and Fertiglobe are embarking on this strategic collaboration that holds immense potential.”
