Chinese heavy equipment company Dalian Huarui Heavy Industry Group has confirmed a nearly $442m contract for a mining project in Morocco. The company said that its wholly owned unit, Huarui International, had signed an engineering, procurement and construction (EPC) contract covering ore storage and transport. The project was valued at nearly 3bn yuan in January. Chinese industry publications have put its value at about $482m and identified state-owned phosphate producer OCP Group as the client.
The project is linked to phosphate mining. Dalian Huarui lists it in its financial accounts as a mining storage and transport contract.
The work includes civil engineering, stacker-reclaimers, crushers and belt conveyors. It also covers a system connecting phosphate extraction, processing and transport.
Dalian Huarui described the contract as the largest single contract in its history. It is also the company’s first international EPC project and its first project involving mining extraction.
The contract makes up a large share of Dalian Huarui’s international business this year.
The company secured $540m in foreign orders during the first half of the year, up 38.8% from a year earlier. The Moroccan contract alone represents about 82% of that total, based on its reported value.
Overseas revenue reached 1.24bn yuan during the same period. It accounted for 15.46% of total sales.
Group revenue rose 7.63% to 8.02bn yuan. Net profit attributable to shareholders increased 18.76% to 370.7m yuan.
Revenue from EPC activities rose 32.67% to 391.1m yuan.
Dalian Huarui had 18.93bn yuan in unexecuted orders at the end of the reporting period. The company expects to recognise 7.49bn yuan of that backlog in the second half of 2026, 6.87bn yuan in 2027 and 4.58bn yuan from 2028 onwards.
Dalian Huarui’s filings list five overseas subsidiaries in Germany, India, Hong Kong, Australia and Vietnam. They do not list a Moroccan subsidiary.
The company has not announced a local factory, mining stake, extraction permit or branch office.
Huarui International will carry out the Moroccan project.
The contract does not appear as a separate immediate filing on the Shenzhen Stock Exchange because it did not meet the exchange’s disclosure threshold.
Dalian Huarui said in January that construction contracts must exceed both 50% of the previous year’s audited main business revenue and 500m yuan to require an immediate filing.
The Moroccan contract, worth nearly 3bn yuan, was about 21% of Dalian Huarui’s 2024 audited revenue of 14.28bn yuan. It therefore fell below the 50% threshold.
OCP Group is the client for the project. The state-owned company is one of the world’s largest phosphate producers and controls more than 70% of global phosphate reserves.
OCP is investing $13bn through 2027 to expand mining capacity, increase fertiliser production and use more renewable energy.
The Dalian Huarui project will provide equipment and infrastructure to move phosphate ore between mining, processing and transport facilities.
Other Chinese companies are also working on phosphate-related projects in Morocco.
Sinoma Construction has an EPC contract with OCP to build chemical processing units. Zhenhua Heavy Industries has secured a deal worth more than 1.4bn yuan to supply automated bulk cargo equipment for phosphate exports at Safi port.
MEED has valued the Dalian Huarui phosphate mining package at about $482m.
