While all Performance Standards are applicable to this investment, IFC’s environmental and social due diligence indicates that the investment will have impacts which must be managed in a manner consistent with the following Performance Standards: PS1: Social and Environmental Assessment and Management Systems PS2: Labor and Working Conditions PS3: Pollution Prevention and Abatement PS4: Community Health, Safety and Security PS6: Biodiversity Conservation and Sustainable Natural Resource Management The Project site is located within the existing industrial area which was established in the early 1980s. There are no land acquisition requirements and it is not anticipated that this will change during the course of the Project. The nearest community is 40 km away. At present, issues related to indigenous people have not been identified and are not anticipated to occur during the course of the Project.

This is a Category B project according to IFC’s Environmental and Social Review procedures due to limited environmental and social impacts that can be avoided or mitigated by adhering to generally recognized performance standards, guidelines or design criteria. There is no wadi or other valuable natural resources at or near the Project site. The nearest community (Al Jafer) is located approximately 40 km from the proposed Project site. The transportation route for the raw material and product is in good condition and does not go through any communities. The proposed phosphoric acid storage site is located in Aqaba. The raw material and product will be loaded/unloaded through the existing jetty, built in 1980s. Mitigation measures for the potential environmental and social impacts have been identified and are incorporated in the Environmental and Social Action Plan (ESAP) attached at the end of this document.

The key environmental and social issues for this Project include the following: - Environmental and social impact assessment, including the cumulative impact assessment - Environmental, health, and safety (EHS) management system - Water conservation and air emissions - Industrial solid waste disposal - Operation hazard and emergency response - Jetty operation and coral protection JIFCO has presented plans to address these impacts to ensure that the proposed Project will, upon implementation of the specific agreed measures, comply with the environmental and social requirements - the host country laws and regulations and IFC Environment and Social Performance Standards and the World Bank Group (WBG) environmental, health and safety guidelines. The details of how these potential impacts will be addressed by JIFCO are summarized in the paragraphs that follow. Furthermore the ESAP which was agreed by IFC and JIFCO, addresses compliance gaps with IFC’s Performance Standards. PS1. Social and Environmental Assessment and Management Systems Land and natural environment: The proposed phosphoric acid manufacturing plant is located near JPMC’s mining site in Eshidiya, Jordan, an industrial zone established in early 1980s. The project area is desert and there is no wadi at or near the project site. The nearest community is approximately 40 km from the proposed project site. According to the consultants for the environmental and social impact assessment (ESIA), there are no natural protected area or archeological sites at or near the proposed Project location. The proposed phosphoric acid storage site is also located near the existing JPMC manufacturing facility in Aqaba, Jordan. An existing jetty will be used for loading and unloading of product and raw material. Environmental and Social Assessment: JIFCO contracted external experts to conduct an ESIA for the Project, which will include a cumulative impact assessment. From the initial screening of the ESIA, the Project will have limited E&S impacts and meet both local regulatory and IFC requirements upon successful implementation of the proposed mitigation measures outlined in the ESIA. As indicated in the ESAP, JIFCO will revise the ESIA to ensure that the ESIA meets current IFC E&S requirements.. The ESIA survey did not find any archeological sites at or near the Project site in Eshidiya. As stated in the ESAP, JIFCO will set up a chance find procedure prior to the construction phase. Environmental, health, and safety (EHS) management and organization: There will be an EHS section for the proposed Project with a full-time coordinator. There will be an EHS responsible person for the production unit. JIFCO is committed to follow IFC Performance Standards to establish an effective environmental and social management system. JIFCO is considering adopting ISO and OHSAS certifications once the Project progresses to production stage. In accordance with the ESAP, JIFCO will appoint an experienced EHS coordinator prior to commencement of construction phase. JIFCO will also draft all the necessary EHS guidelines and procedures prior to the trial production, and establish an effective EHS management system subsequent to the trial production. Training, monitoring, and reporting: JIFCO will start recruiting and training the new employees one year before the trial production. As required in the ESAP, all the employees will undergo the tailored EHS training before working at the plant. JIFCO will also develop training, monitoring, and reporting structure as part of the E&S management programs subsequent to the trial production PS2. Labor and Working Conditions JIFCO will develop this Project near the existing mine site at El Eshidiya for the chemical complex and phosphoric acid storages site at Aqaba. JPMC is the only company mining Phosphate in Jordan and has been in operation since the 1950s who will supply rock phosphate to the project. JIFCO will develop HR policies with the provision for establishment of workers unions. JIFCO will develop a Human Resource Policy consistent with the Jordanian Law and Performance Standard 2 of IFC once the JIFCO establishes its permanent offices in Jordan. The Human Resource Policy will provide information to the employees on their terms of employment and basic rights under the Jordanian Labor Law and will include provisions on non-discrimination and equal opportunity, wages and benefits, preferential local hiring, code of conduct, grievance mechanism and adequate working and living conditions. For the purpose of this Project, JIFCO will establish its Human Resource Policy drawing on experience from the existing operators, i.e. IFFCO & JPMC. JIFCO will also make sure that similar requirements (especially for working and living conditions) are incorporated in the EPC contracts for the Project’s construction phase. JIFCO will communicate to all employees the provisions of the Human Resource Policy in an adequate manner. Local employment: JIFCO is keen to extend positive impacts and benefits of the Project to the communities residing within the wider area surrounding the project site in Maan and Aqaba Governorates. During the operation phase, JIFCO plans to employ up to 80% of its workforce locally depending on availability of experienced and skilled personnel. JIFCO will provide training and capacity building programs to local hires to ensure that they acquire the appropriate skills required during operation phase of the Project. During the construction phase, JIFCO will make provisions in the EPC Contract for maximizing local employment especially for unskilled and semi-skilled work. In addition, JIFCO will have provisions for maximizing local procurement and local business development. JIFCO will communicate to the local communities the potential number of jobs available given the local skill pool. This will be undertaken as part of the stakeholder engagement program. Contractors and Sub-contractors: JIFCO will establish contractual obligations for its contractors and sub-contractors regarding working and living conditions and terms of employment for their workforce. JIFCO will have in place a mechanism to monitor contractor and sub-contractor practices and take corrective action for any non-compliance. Workers’ Organization: JIFCO will develop HR policies with provision for establishment of workers union in accordance with the Jordanian Labor Law. Occupational health and safety (OHS): Operational safety is highly emphasized by the Project management team. In accordance with the ESAP, JIFCO will prepare all the OHS operation procedures prior to the trial production, and train all the employees for OHS procedures for their respective positions. JIFCO will also develop workplace air quality/noise monitoring programs, and track the statistical trends of near-misses, accidents and lost time injuries. PS3. Pollution Prevention and Abatement Raw materials and resource consumption: The major raw material consumption in JIFCO are phosphate rock (1.9 million tpa), sulfur (0.5 million tpa), and water (6 million tpa). Phosphate rock is provided by JPMC; sulfur is imported through Aqaba; and water is from the deep wells near site. The ESIA will investigate the availability and competitive usage of the groundwater aquifer. The sulfur to sulfuric acid process could provide sufficient power for all the processes and domestic consumption. Environmental Compliances: JIFCO will recover the process waste water and recycle in the process.. Most of the water consumption will go to the product and by-product. Major water loss is from a cooling tower. JIFCO will look for cooling equipment with water saving capacity. It is estimated that JIFCO will generate 300 t/d of sanitary wastewater, which will be treated onsite for greenbelt or back to processes if there is any surplus. There is no wastewater discharge from JIFCO. The main air emissions are sulfur dioxide, dust, and fluorides. JIFCO includes fluoride recovery in the design and is committed to meet both local regulatory requirements and World Bank Group EHS guideline limits for the air emissions. From the initial screening of the ESIA, the ambient air quality will meet both local regulatory requirements and IFC guideline limits upon successful implementation of the proposed mitigation methods proposed by the ESIA. Solid and hazardous wastes: JIFCO will generate approximately 2.7 million tpa of gypsum, which will be disposed of at the proposed onsite landfill. JIFCO will also investigate the possibility of use of gypsum economically as construction material. According to the ESAP requirement, JIFCO should construct dikes for the landfill and the landfill bottom should be treated to achieve the same impermeability as one meter clay of impermeability coefficient 10-6 m/s. The other solid wastes generated onsite are packing wastes and household wastes, which will be disposed of at the gypsum landfill site. The major hazardous wastes, the process catalysts, will be sent back the manufacturer for regeneration if feasible, or disposed of at the designated place which meet both local regulatory and WBG/IFC guideline requirements for hazardous waste management. Hazardous materials and operation hazard: The intermediate products and the final products, sulfur oxide, sulfuric acid, and phosphoric acid, are either toxic or corrosive. JIFCO is aware of the operational hazard and committed to good international industry practices to ensure operational safety. As indicated in the ESAP, JIFCO will conduct a quantitative hazard and operability (HAZOP) study during the detailed design, and conduct routine safety audits during the operation. Fire prevention and emergency response (ER): There is a potential fire hazard at both the Project site and the proposed storage/jetty site. ESIA consultants will further investigate the impacts and propose mitigation methods. In accordance with the ESAP, JIFCO will install sufficient fire fighting equipment, especially special personal protection equipment in case of sulfur fire. JIFCO will also develop an effective emergency response (ER) plan and conduct routine onsite/offsite ER drills for potential fires or chemical release. Greenhouse Gases (GHG): JIFCO will construct a 26-MW onsite power plant, which is based on the steam generated from the sulfur combustion in the sulfuric acid manufacturing process and will not consume any external fuel source, such as oil or coal. The power generation capacity is sufficient for internal use, and JIFCO will sell about 2 MW of electricity to the grid. There is no need for additional fuel onsite except the startup phase. Therefore, there is very limited green house gas emission for this Project. All the equipment purchased will meet good international industrial practices for the energy efficiency and energy conservation. PS4. Community Health, Safety, and Security Community health: Risks and impacts to nearby communities are limited because the proposed Project site is located in a designated industrial zone. The nearest community is approximately 40 km from the site. The initial screening of the ESIA indicates that there will be limited health impact to the community. The storage facility and jetty to be used for this Project is also located in the Aqaba industrial zone. Community safety and security: The transportation for raw material and product between Eshidiya and Aqaba is by road. The conditions of the transportation route between the manufacturing site in Eshidiya and the storage/jetty site in Aqaba are good, and the route does not go through any communities. The Project poses limited impacts to community safety and security. Emergency preparedness and response: JIFCO will prepare an Emergency Response plan, which will include the raw material / product transportation, and conducts routine drills for fire fighting and potential chemical explosion/releases along the transportation route. As required in the ESAP, JIFCO will only contract with transportation companies that have defensive driving programs, acceptable safe driving records, and sufficient emergency response schemes. Security personnel: JIFCO will hire an external agency for site security. JIFCO will prepare a security personnel management plan and is committed to meet IFC security personnel requirements. PS6. Biodiversity Conservation and Sustainable Natural Resource Management The jetty which will be used for the purposes of this Project is located inside Aqaba industrial zone along the Red Sea coast. The jetty is owned by Aqaba Port Authority and operated by JPMC. As required in the ESAP, JIFCO will seek appropriate approaches to renovate the jetty and improve the operation and maintenance (O&M) of the jetty and the conveyor. JIFCO will emphasize appropriate maintenance and environmental requirements at and around jetty. JPMC has hired external experts to monitor sea water quality and coral communities at and near the jetty. The EISA will also establish the baseline of coral communities. In accordance with the ESAP, JIFCO will emphasize monitoring of sea water quality and coral communities at and near the jetty by external experts through the jetty operator.

In accordance with Jordanian laws, IFFCO and JPMC (the “Project Sponsors”) must conduct consultation sessions with all the stakeholders that may be affected by the Project and/or who may have an influence on the Project. These initial consultation sessions are typically undertaken as part of the Environmental and Social Impact (ESIA) study. For this Project, the Project Sponsor (in coordination with the ESIA consultants, Ministry of Environment and Aqaba Special Economic Zone Authority) conducted one consultation session – for the Phosphoric acid production facility at Eshidiya (Ma’an Governorate) and for the storage of Phosphoric acid at Aqaba (Aqaba Governorate). The consultation session was held at Aqaba in which stake holders from Maan Governorate, Aqaba Governorate and Amman were present. During the consultation session, the Project Sponsors provided the attendees with an information package that included a Project summary and an overview of Project activities (Project sites, construction activities, facilities and the expected emissions and waste production) during different phases of the Project. All material was presented in Arabic. The consultation sessions were participatory in nature; the participants divided into groups and asked to identify issues and concerns that they had in view of the described Project activities during the construction, operation and decommissioning phase. The consultation sessions identified a number of issues and concerns which were assessed by the ESIA consultants in terms of impact significance. The issues of potential concern will be incorporated in the ESIA study and subsequent impact management and monitoring plan. The majority of participants were representatives from different ministries, government bodies, company representatives, the police and the University at Ma’an. For a detailed description of the consultation sessions, please refer to the attached document “JIFCO Project: Scoping Session Report”. Given that the Project has limited negative impacts on communities, JIFCO will tailor an engagement program specific to consulting with local communities in Ma’an and Aqaba Governorates regarding potential employment opportunities and to communicate the results of the ESIA subsequent to disclosure. JIFCO will disclose and make accessible to the public the Final ESIA summaries. The Arabic version of this document at the public libraries at Eshidiya site and Aqaba port: Eshidiya Site General Library Maan Municipality PO Box 17 Maan 71110 Jordan Aqaba Port Storage Site General Library, Municipality Park, PO Box 2565 Aqaba 7710 Jordan Please contact the following for inquiries or concerns about the environmental and social impacts of this project. Name : C. Santosh Address : Chief (Project Services) Jordan India Fertilizer Company LLC P.O.Box No 2571, 5th Floor, 98 Wasfe At-Tel Street, Otoum Commercial Complex, Amman, Jordan - 11821 Phone +962 797275444