Indorama Eleme Fertilizer and Chemicals Limited (IFC-42187)

Countries
  • Nigeria
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • International Finance Corporation (IFC)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Proposed
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
B
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
Nov 27, 2019
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
Borrower
INDORAMA ELEME FERTILIZER AND CHEMICALS LTD
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Industry and Trade
The service or industry focus of the investment. A project can have several sectors.
Investment Amount (USD)
$ 35.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Bank Documents
Other Related Projects
Primary Source

Original disclosure @ IFC website

Updated in EWS Aug 31, 2020

Disclosed by Bank Sep 11, 2019

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

IFC is considering an investment in IEFCL of up to US$35 million (“MM”) for its own account and up to US$115MM in parallel loans to be mobilized from commercial banks and other DFIs, for construction of a feed conditioning unit (“FCU”). The FCU is an add-on gas processing facility, with capacity of 160 MM standard cubic feet per day (“SCFD”). The FCU will recover carbon dioxide in the gas and shall also separate heavier byproducts. This will ensure the supply of gas having consistent composition to Line 2 and the heavier byproduct will help increase polymer production in IEPL.

The Project will essentially replicate, at a larger size, the recently completed FCU unit, located next to the IFC-supported Eleme Fertilizer I urea plant (project #30967) and used for the recovery of heavier byproducts from feedstock supplied by a gas supplier.

The first FCU, which was completed in 2018, was installed as part of the construction of Eleme Fertilizer Line I and is operating satisfactorily. The heavier byproducts produced will help in increasing polymer volume and plant reliability. This FCU processed over 23 million MMBtu of gas through September 2018.

FCU II will be located next to the existing FCU; the two units will share several facilities including the control room and flare systems. The project is expected to be started up in April 2022, about a year after expected Eleme II startup.

The Indorama manufacturing complex where the project will be located is at Eleme, about 15 kilometers northeast of Port Harcourt, the capital of Rivers State, Nigeria (https://goo.gl/maps/pY29GKjEmwN2). 

Six communities are located within a 5-km radius of the project. The communities directly neighboring the project are Akpajo (12,700 inhabitants), Aleto (15,500 inhabitants), Agbonchia (18,000 inhabitants), Njuru (7,700 inhabitants), Okerewa (6,600 inhabitants), and Wakaohu family of Elelenewo (1,800 inhabitants) totaling about 62,000 inhabitants. The members of these communities are familiar with industrial installations as they are in a municipality where a number of petrochemical industries are located.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.

Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

Company: Indorama Eleme Fertilizer & Chemicals Limited (IEFCL)

Point of Contact: Mr. Kendrick Oluka

Title: HOD – Community Relations & Development

Telephone Number:  +234 - 8055064248

Email: kendrick@indorama.com.ng

Mailing Address: Indorama Complex, East West Expressway, Eleme  P.M.B. 5151, Port Harcourt, Rivers State, Nigeria          

Website:                       www.iefcl.com                             

ACCOUNTABILITY MECHANISM OF IFC

The Compliance Advisor Ombudsman (CAO) is the independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an IFC or MIGA- financed project. If you submit a complaint to the CAO, they may assist you in resolving a dispute with the company and/or investigate to assess whether the IFC is following its own policies and procedures for preventing harm to people or the environment. If you want to submit a complaint electronically, you can email the CAO at CAO@worldbankgroup.org. You can learn more about the CAO and how to file a complaint at http://www.cao-ombudsman.org/

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