DAP is diammonium phosphate - a water soluble fertiliser produced with ammonia and phosphoric acid. So its an end use of phosphate rocks. If the Saudis only produce DAP then their phospate shouldn't come into the general phosphate rock market for competition however they will still change the fundamentals to the extent they will not be importing whatever they currently do.
UCL is yet to declare where in the fertiliser chain they will seek to position but that will follow the studies they have commenced into feasibilities.
Jen, the announcement is encouraging for holders but even in a standard market wouldn't have a lot of impact as market would likely wait for more concrete stages.
UCL Price at posting:
1.0¢ Sentiment: Buy Disclosure: Held
