CenturySunshine2

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Century Sunshine Group Holdings Limited (CS or the Company) is a public company listed on the Hong Kong Stock Exchange (Ticker: 0509). Founded in 2000, CS’s businesses include ecological fertilizers and magnesium alloys, with main manufacturing facilities located in Donghai, Jiangsu province and Baishan, Jilin province respectively.CS is currently considering the following expansion plan by 2016 (the Project): (1) increasing the production capacity of its fertilizer manufacturing facility from 300,000 tons to 750,000 tons at the Donghai site; and (2) increasing the production capacity of its magnesium (Mg) manufacturing facility from 16,000 tons to 75,000 tons at the Baishan site. The total Project cost is estimated to be $174 million and the proposed IFC investment include an A Loan of up to $25 million and straight equity of up to $15 million.At the Donghai site, CS owns an open-pit serpentine mine. The fertilizer plant is adjacent to the mine with sulfuric/phosphoric acid manufacturing facilities. The main products are compound fertilizer (NPK or Si-Mg-NPK) and organic fertilizer which use agriculture wastes as raw materials. Si-Mg is from serpentine mine. At the Baishan site, CS owns an open-pit dolomite mine and dolomite is used as the raw material for Mg alloy. The Mg smelting and refining plant is 15 km from the mine.IFC’s ongoing supervision of the existing investment in the Company indicates general compliance with IFC’s environmental and social requirements and the associated overall performance is considered satisfactory.