OCP Green Water

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 The proposed IFC investment consists of a EUR100m corporate debt facility to OCP SA (referred to as “OCP” or the “Company”), an existing client of IFC. The proceeds will be used to finance a pipeline distribution system (219 km pipeline with a design capacity 80 million m3/ year, a 25.000 m3 basin and the pumping station at the Jorf Lasfar Industrial site), bringing desalinated water to the Khouribga phosphate mine zone in central Morocco (the “project”). The project will contribute to OCP’s strategy to (i) meet its operational water demand through non-conventional water by 2024, (ii) supply drinking water to neighboring towns, and (iii) support the development of high-value-added agricultural activities.The pipeline Right of Way (RoW) is located either within an existing slurry pipeline RoW established in 2013, or within existing road reserves. The RoW is mostly within rural areas with scattered dwellings and settlements located in the vicinity. A 20m-wide laydown and site access corridor along the RoW/ road reserve has been temporarily established for the duration of the construction phase. The pipeline has a diameter of 1.3m and will be completely buried at a depth of 1.5m below ground. A consortium of two Moroccan construction contractors has been selected for the construction works. OCP has appointed a recognized engineering and environmental services consultancy, to act as the Owner’s Engineer and Project Management Consultant (the Project Consultant) during the development, construction, and commissioning phases. Construction of the pipeline started in the 1st quarter of 2023 and is expected to last 24 months.Water will be sourced from the Jorf Lasfar desalination complex, which consists of existing desalination plants constructed under the Wave I desalination program, and a new reverse osmosis desalination unit to be constructed under the Wave II program, expected to start in the last quarter of 2024. Wave II is considered an Associated Facility (AF) of the project, in line with PS1 requirements.OCP is an existing IFC client since 2021 with a satisfactory E&S performance (Project# 43582 disclosed in May 2021, Project# 46531 disclosed in December 2022 and Project# 48626 disclosed in September 2023). Environmental and Social Review summary (“'ESRS”) of previous OCP investments are available at https://disclosures.ifc.org/project-detail/ESRS/43582/ocp-africa-cf, https://disclosures.ifc.org/project-detail/ESRS/46531/ocp-solar-1, and https://disclosures.ifc.org/project-detail/SII/48626/ocp-solar-2.