Ammon News - AMMAN - His Majesty King Abdullah II on Tuesday inaugurated a new $500 million potash factory in Ghor Al Safi in the southern Jordan valley with a production capacity of 500,000 tonnes.

The new plant is part of the Arab Potash Company's APC fourth expansion scheme, which also includes a factory for the production of granular potash and upgrades to solar evaporation, salt pans systems and the main pumps on the Dead Sea.

Trial production of the new factory, which began this summer, brought the company's total annual output to 5.2 million tonnes.

During a tour in the plant, King Abdullah was briefed by APC officials on the expansion scheme which is projected to raise sales by more than JD120 million by 2011 as forecasts indicate that demand on potash and fertilizers will grow in international markets to bridge the gap in world food production.

APC Board Chairman Nabih Salameh said that the company is a role model Arab partnership, noting that APC had over the years forged international partnerships, referring to one by the Canadian Potash Corporation of Saskatchewan (PCS) which had joined the APC as a strategic stakeholder.

He added that APC's expansion projects will pay off in various social areas as they help to increase national income, generate jobs for many Jordanians, and provide services and support for local communities.

Kuwait Investment Authority Representative at APC Abdullah Bader, whose country has a 4-percent equity in the company, hailed Jordan's attractive investment climate and said new economic legislations that offer privileges to investors had turned the Kingdom into a safe and stable destination for businessmen.

The Arab Potash Company has a workforce of over 2,500 with offices in Amman, Ghor Safi and Aqaba. It also runs extensive housing and recreational facilities near its plants and also offers assistance for social, medical, economic and vocational development in surrounding areas.

* Petra