Algeria, Pakistan’s Fatima Group Sign Memorandum to Boost Phosphate Fertilizer Production

Karachi : A memorandum of understanding (MoU) was signed on August 06, 2025 in Algiers, between Algeria’s industrial mining group Sonarem, represented by its subsidiary Somiphos, and Pakistan’s Fatima Group. The agreement aims to strengthen bilateral cooperation in the mining industry and in the production of all types of fertilizers, according to a statement by the Ministry of Energy, Mines, and Renewable Energies.
The signing ceremony took place at the ministry’s headquarters under the chairmanship of Minister of State and Minister of Energy, Mines, and Renewable Energies Mohamed Arkab. Also in attendance were Secretary of State for Renewable Energies Noureddine Yassaâ, CEO of Sonarem Belkacem Soltani, CEO of Somiphos Lekhal Mokhtar, and Executive Director of Operations at Grand Exploration and Mining Company (part of Fatima Group) Mukhtar Abbas.
The event was also attended by the ambassadors of Pakistan to Algeria and Algeria to Pakistan, along with several officials from both groups and the ministry.
The MoU aims to establish a framework for fruitful cooperation between the two parties, starting with the commercialization of phosphate extracted from the Bir El Ater deposit in its first phase. It includes contractual provisions for the beneficiation and local transformation of this vital resource, with the goal of boosting phosphate fertilizer manufacturing and strengthening related value chains.
The agreement also includes exploring partnership and investment opportunities in industrial projects for both the Algerian and Pakistani markets, as well as other international markets. It highlights the potential to develop projects based on mineral resource valorization and local value creation, including technical knowledge exchange between the two companies.
This cooperation is part of Algeria’s broader efforts to promote investment in the mining sector and to strengthen high-quality partnerships with Asian partners renowned for their advanced industrial and technological expertise, particularly in raw material processing and the development of transformation industries.
The partnership specifically focuses on the development, beneficiation, and processing of phosphate reserves from the Bir El Ater mine, which contains over 850 million tons of reserves.
On this occasion, both parties expressed their commitment to building a strategic partnership based on economic integration and resource exploitation, aligning with both countries’ efforts to enhance food security and develop value-added transformation industries rooted in natural resources.
The Fatima Group is one of Pakistan’s largest industrial conglomerates, with operations across sectors such as fertilizers, chemicals, energy, textiles, and agriculture. Its subsidiary, Fatima Fertilizer Company Limited, is a leading fertilizer producer in Pakistan and has expanded into the mining sector through strategic projects in Balochistan, particularly in the extraction and processing of phosphate, copper, gold, and iron.
Fatima Group’s desire to expand its investment interest in the agricultural sector:
Mr. Youssef Cherfa, Minister of Agriculture, Rural Development, and Fisheries, received the Executive Director of Operations of Grande Exploration Mining Company, a subsidiary of the Pakistani Fatima Group. The meeting was attended by His Excellency the Pakistani Ambassador to Algeria and the General Manager of Somiphos, a subsidiary of the SONARM Mining and Industrial Group.
This meeting comes in response to the Pakistani Fatima Group’s desire to expand its investment interest in the agricultural sector, extending the Memorandum of Understanding signed with the Ministry of Energy and Mines to develop phosphate fertilizers.
The two parties also discussed ways to develop promising investments in strategic agriculture in the south.