Tunisia’s CPG aims big for phosphate: Tunisia's state-run mining company GafsaPhosphates (CPG) is set to receive the first batch of equipment and machinery procured under a government-approved DT 236 mn (c. USD 76.3 mn) investment program set forth last May to boost phosphate production, Tunis Africa Press Agency (TAP) reported this week. The purchase of the equipment comes under a move to boost the extraction of raw phosphate and production of commercial phosphate.
What we know: The first batch of the equipment includes 18 60-ton trucks, six hydraulic machines, three rotary machines and six 4.5 cubic meter wheel loads and others aimed to raise the company’s capacity to deliver raw phosphate and extract commercial phosphate, CPG’s Director of Information and Communication Ali Al Hoshati told TAP. The company is also planning a tender in September to procure a new batch of machinery and equipment, including trucks, rotary, hydraulic excavators, and others. The machinery will be used to improve CPG’s capacity to extract raw phosphate from open-cast mines in Oum Larayes, Metlaoui, Mdhilla and Redeyef, Al Hoshati said.
And there’s more: CPG is seeking to rehabilitate 30% of its fleet of mining equipment under the ambitious investment program which runs until next year, Al Hoshati said. A boost in CPG’s extraction capacity would allow commercial phosphate production units to operate “smoothing and sustainably” with raw phosphate, he added.
REMEMBER- Tunisia was one of the world’s top producers of phosphate minerals— a key ingredient in agricultural fertilizers — but its market share collapsed on the back of turmoil that followed the country’s 2011 uprising. CPG was among those that took hits, with protests and strikes leading to production cuts and bns of USD in losses.
And Tunisia wants to make its top revenue-making industry eco-friendly: Tunisia has been working with DFIs to make its phosphates industry climate friendly, seeking loans and grants to support governance in lowering pollution. In 2018, the French Development Agency (AFD) provided a grant to the Tunisian Chemical Group (CGT), which produces phosphates and derivatives, to help lower pollution in a bid to address environmental woes by the local population. It also signed a EUR 45 mn loan agreement to fund CGT’s upgrading program for its phosphate facilities to help in lowering pollution from its operations.