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The State of Indiana is reopening discussions with Midwest Fertilizer and Fatima Group about a multi-billion fertilizer plant in Posey County. Governor Mike Pence says the decision comes after the group and government of Pakistan took steps to make it more difficult for terrorists to obtain the company's products. Pence pulled state support for the project last year. Economic Development Coalition of Southwest Indiana Chief Executive Officer Greg Wathen says the company hopes to begin construction later this year. April 8, 2014

News Release

Indianapolis—Today, Governor Mike Pence issued the following statement regarding the Midwest Fertilizer Company and the Fatima Group’s project in Posey County.

“In May of 2013, the State of Indiana withdrew our support for the Midwest Fertilizer Company and the Fatima Group’s project in Posey County based upon concerns expressed by U.S. Department of Defense officials over the company’s lack of cooperation in preventing its fertilizer produced in Pakistan from being used to harm U.S. forces in Afghanistan. Economic development is important, but the safety and security of our soldiers in harm’s way is more important.

“Following Indiana's withdrawal of support for this project, U.S. officials have reported that the government of Pakistan and Fatima Group have provided an unprecedented level of cooperation and transparency in addressing the concerns that precipitated the withdrawal of our support.

“Specifically, U.S. Department of Defense officials have confirmed that an experimental formula is being developed by Fatima Group to be more inert and less-detonable to limit its usefulness to extremists and terrorists. This week, the State of Indiana was informed that our defense experts completed the second series of tests on the experimental formula and described Fatima Group's efforts to improve the safety of its fertilizer as “commendable.” In addition, U.S. officials have reported that the government of Pakistan and the Fatima Group have implemented several positive measures to make it more difficult for extremists and terrorists to obtain the company’s products in the region.

“With these assurances from the U.S. Department of Defense, we believe it is appropriate for the State of Indiana to reopen our discussions regarding state economic incentives for this project. With continued cooperation on the part of the government of Pakistan and Fatima Group, we remain hopeful that the State of Indiana will be able to renew our support for this important economic development project with the confidence that we have done so in a manner that put the interests of our soldiers and their families first.”

The May 2013 press release detailing the State's decision to withdraw support for the Midwest Fertilizer Company and the Fatima Group’s project in Posey County can be found here.Source: Office of the Indiana Governor

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