Feasibility study for setting up a nitrogenous fertilizer plant in Saudi Arabia

Background

A leading chemicals manufacturer in KSA commissioned Aranca to assess feasibility of setting up a nitrogenous fertilizer plant

Aranca Approach

Evaluation of market dynamics, trade patterns, value chain, competitive landscape & financial feasibility for nitrogenous fertilizers in the broader GCC region

Results

The study enabled the client to gain insights on the commercial feasibility of setting up the new plant, and also assess the export potential

Ideate

In-depth assessment of the planned project and its capabilities

Define analytical framework and spreadsheets for data collation

Desk Research

Studying regional market dynamics / capacity additions, value chain and competition landscape

Vetting of assumptions relating to revenue, operating costs, profitability and cash flows

Expert Interviews

Discussions with 60+ industry players and experts

Focus on market insights, business models and validation of assumptions

Analysis

Projecting the demand-supply gap and mapping market opportunity

Sensitivity analysis, risk assessment, project attractiveness metrics