NANNING - The China-ASEAN Fund on Investment Cooperation has invested $50 million to aid in the development of a potash salt ore mine in Laos, the fund operator said Friday.

The fund has bought a stake in Asian Potash Corp Ltd, the Chinese investor in the Laos potash salt ore mine in Khammouane Province in Laos, the operator said in a press release.

The project, which is expected to be Asia's biggest potash fertilizer producer with an annual production capacity of 3 million tonnes, has a total investment of 8 billion yuan ($1.25 billion).

Its first-phase facility is expected to be operational early next year with an annual production capacity of 500,000 tonnes.

In 2009, China set up the $10 billion China-ASEAN Fund on Investment Cooperation to support infrastructure development in the China-ASEAN region and to enhance trade and economic ties.