Al-Ahsa Development repeals Al-Ahsa’s Gypsum project

The Board of Directors of Al-Ahsa Development Company approved repealing the industrial license of the Gypsum Project at Al-Ahsa City.

The decision was made after examining the company’s four mines’ stock and proofing the non-feasibility of the project.

The company said in its filing to Tadawul today that it will close all project’s expenses estimated at SAR 3.29m and divided as follows:

• SAR 2.6m: licensing fees paid to the Ministry of Petroleum and Mineral resources.
• SAR 194.7 thousand: feasibility study fees.
• SAR 426.8 thousand: raw materials and stock examining fees.
• SAR 42.8 thousand: other expenses.

The financial effect will be reflected on the financial statements for the 3months and 6 months periods ended June 30, 2014.

According to Argaam’s data; Al-Ahsa Development obtained in 2008 a license from the Ministry of Petroleum and Mineral resources to establish a gypsum project with a production capacity of 500,000 tons.