Summary of Proposed Investment
Project Number
7209
Company Name
Modern Aluminum Industries Co.
Date SPI Disclosed
Feb 1, 1996
Country
Jordan
Industry
Manufacturing
Status
Completed
Sector
Aluminum
Department
Regional Industry MAS MCT
Environmental Category
B - Limited
Previous Events
Approved : Mar 11, 1996
Signed : Mar 20, 1996
Invested : Apr 24, 1996
Project Description
Summary Of Project Information (SPI)
| Project Name | Jordan-Modern Aluminum Industries Co. (MODAL) |
| Region | Middle East |
| Sector |
Projected Board DateFebruary 27, 1995
Company NameModern Aluminum Industries Co. (MODAL)
Technical Partner and/or Major Shareholders
The Nuqul Group (80%), Jordan Steel (20%)
Project Cost Including proposed IFC investment
Project Cost of US$17.7 million (including an IFC loan of about US$6 million).
Location of project and Description of site
Located in the Eastern Arinbeh Village, 45 kilometers south of Amman, MODAL will be a modern 19,000 square meters plant occupying part of a site of 53,000 square meters.
Description of Company and Purpose of Project
The project consists of setting up MODAL which will own and operate a 6,000 ton/year aluminum extrusion facility. MODAL will produce anodized, powder painted, or electrocolored aluminum profiles of international quality and at competitive prices for the construction industry and light-manufacturing applications. Approximately 75% of MODAL’s production will be sold on the domestic market and the rest exported to neighboring countries. Economic benefits accruing to Jordan include foreign exchange generation and savings, the creation of 129 jobs, the introduction of international standards for environmental protection and increased competition in the domestic aluminum industry. IFC’s main role in this project is to provide a term loan in a country where there is a shortage of long-term funding.
IFC’s participation in financing the project will help bridge a significant funding gap, and help the Company mobilize local loans. Also, IFC provided valuable technical advice to the project sponsor during appraisal. Finally, IFC’s participation will ensure that the project fully meets the World Bank environmental guidelines. Local regulations regarding environmental aspects are non-existent in Jordan. This project will serve as a model plant in conforming to international environmental standards by applying chrome free production methods
Environmental Category and Issues
This is an environmental review category B project; principal issues are air emissions, liquid effluents, solid wastes, land use, fire prevention, and employee exposure to heat, noise and chemical substances. The sponsor has presented plans to address these issues and to comply with applicable governmental and World Bank requirements; key actions include measures for air pollution control and wastewater treatment, use of chrome-free coating systems, employee training, and provisions for fire prevention and protection of employees from workplace hazards.
The is February 8, 1995 from the Public Information Center.
| Date SPI sent to PIC | February 1, 1996 |
For Additional Information contact: Corporate Relations Unit -
telephone: (202) 473-7711
facsimile: (202) 676-0365
Environmental documents for this project are available at http://www.ifc.org and from the World Bank InfoShop (http://www.worldbank.org/html/pic/aboutinfo.html).
Sponsor / Cost / Location
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