Potash

HOUSTON (ICIS)– Spanish fertilizer firm Highfield Resources announced that the Navarra Government has not relinquished the Goyo mining concession, which is one of the three mining concessions for their Muga potash project in Spain. The company said it wanted to clarify the issue as there was previously a procedural flaw which has been identified in the internal administrative coordination process for the granting of the mining concession. There were no details provided regarding the mistake in the process, but Highfield Resources did say it has received confirmation that the ruling is being analyzing. Further, the company said the government stated it will resolve the situation as soon as possible to enable the implementation of the project, which it said has already been evaluated with sufficient rigor. Highfield Resources said at Goyo the production from that section is only expected to happen after year six of their mining plan.

28-Oct-2024

HOUSTON (ICIS)–Agrimin Limited said their Mackay potash project in Western Australia is continuing to advance towards a final investment decision and that the development is now in the stage three assessment with the environmental regulators. The project is planned to be able to manufacture standard and granular sulphate of potash (SOP) products with its definitive feasibility study (DFS), completed in July 2020, showing that once in operation it could be the world’s lowest cost source of seaborne SOP. In a quarterly update on activities, the company said the timeline from the Western Australian Environmental Protection Authority is still expected to come in 2024, with supplementary government approval expected to follow in the first half of 2025. Agrimin said it is also progressing on the other secondary approvals and licenses necessary for the project with the Department of Energy, Mines, Industry Regulation and Safety and the Department of Water and Environmental Regulation. Regarding the final investment decision, the company said it is undertaking activities to reach that status including engineering efforts with advanced process testing and preparation for contractor involvement. It is also engaged in execution planning with a focus on critical path analysis and mitigation including earliest possible environmental surveys and baseline monitoring. Agrimin said it will also be working on funding for the project including potential strategic partnerships.

28-Oct-2024

HOUSTON (ICIS)–US fertilizer producer Intrepid Potash announced that Bob Jornayvaz has stepped down as Chief Executive Officer and as a director of the board following his extended medical leave of absence. The Denver-based producer had previously announced Jornayvaz was injured in an accident while playing in the US Open Polo Championship in April and was on extended medical leave of absence. “We are thankful to Bob for his immeasurable contributions to the company over the last two decades,” said Barth Whitham, Chair of the Board. “Bob led numerous initiatives that strengthened our customer relationships, modernized our operations, and capitalized on our unique position as the only domestic producer of potash. He took great pride in the company and its contributions to the domestic and global agriculture industry. Bob and his family remain in our thoughts, and we continue to wish him well in his recovery.” Intrepid said their Chief Financial Officer Matt Preston will continue to serve as acting principal executive officer as the Board of Directors’ search to identify and select a new CEO. “The board’s search for a CEO is well underway. In the interim, we are pleased to continue to have Matt and the rest of the management team lead the execution of Intrepid’s strategic plan,” Whitham said. Intrepid is the only US producer of muriate of potash and also delivers volumes of magnesium, sulfur, salt and water products for use in not only agriculture and for animal feed, but also within the oil and gas industry.

04-Oct-2024

HOUSTON (ICIS)–Fertilizer developer American Potash announced the US Bureau of Land Management (BLM) has approved their plan of operations at the Green River project in Utah, including issuing 11 prospecting permits and authorizing four exploratory drill holes. The company now has federal potash exploration permits and has a total of 7 exploratory drill holes authorized and is positioned for confirmation drilling, with expectations that will validate a high-grade potash potential estimated to be between 600 million to 1 billion tonnes of sylvinite. Another outcome is American Potash intends to establish an initial resource for not only potash but also lithium and potential by-products. The project is located 20 miles northwest of Moab, Utah, within the state’s Paradox Basin, which is one of only eight designated potash Super Basins globally with a long history of potash production. The company said recent development work has also validated the location’s potential as one of the largest domestic sources of lithium in the US. “This is a huge step for the company and the culmination of a process lasting several years. It positions the company to be able to drive forward with its business plan to confirm and validate historic data and targets, and to leverage the benefit of nearby production and neighboring development work, through the drill-bit,” said Simon Clarke, American Potash president and CEO. “We now have complete coverage for potash and lithium exploration across our acreage at a time when global events are driving home the need for domestic sources of potash and lithium to secure food and energy independence. We are now positioned to fully validate the strategic potential of our Green River project.”

02-Oct-2024

HOUSTON (ICIS)–Australian BCI Minerals announced it has commenced operations at its Mardie salt and potash project after receiving all necessary Western Australian and Commonwealth government environmental approvals. It has begun filling evaporation ponds 1, 2, and 3 with BCI Minerals set to update and resubmit its groundwater monitoring and management plan (GMMP) for further approval before filling evaporations ponds 4 through 9. Construction of the salt-first component of the project is over halfway completed with it expected the company will achieve first salt on ship in Q2 2027. Located 80km south of Karratha, in the Pilbara region, Mardie is anticipated to produce 5.35 million tonnes/year of high-quality industrial salt for export and 140,000 tonnes/year of sulphate of potash (SOP). It has an operating life expected to exceed 60 years. “Australia hasn’t developed a salt project of this significance in 25 years, and the Mardie Project will be Australia’s largest solar salt project and the third largest globally,” said David Boshoff, BCI Minerals managing director. “With the projected growth in demand for high grade industrial salt in our target Asian markets, BCI Minerals is strongly positioned to supply global markets with Mardie salt for generations.”

26-Sep-2024

HOUSTON (ICIS)–Canadian fertilizer developer Karnalyte Resources announced it will begin a review of its development strategy to evaluate the economic potential of increasing magnesium chloride production at their Wynyard project in Saskatchewan. This effort will be undertaken by developing the magnesium assets at the same time as the development of the potash project. The company said the carnallite, also known as hydrated potassium magnesium chloride, is abundant within their mineral deposit so they need to determine the economic balance of developing carnallite for the co-production of magnesium chloride and potassium chloride. The aim is to significantly increase magnesium chloride production through the application of advanced solution mining technologies. The Government of Canada lists magnesium as one of the nation’s 34 critical minerals and it also appears on the lists in other countries including the US, the EU and Australia. Magnesium is a key mineral in the clean technologies and advanced manufacturing value chain while magnesium chloride serves as a key raw material in the production of various chemicals used in high-tech applications such as semiconductor manufacturing and in industries including agriculture and pharmaceuticals. “In light of the increasing importance of magnesium as one of the building blocks for the green and digital economy, we are reevaluating our strategy and we believe we should review the inclusion of concurrent and optimized magnesium and potash deposit development in our plans for the benefit of all stakeholders,” said Danielle Favreau, Karnalyte Resources CEO. The company said it plans to make progress on its technical report through the remainder of the year, which is a key precursor to any mine construction. It expects to complete the study on the review of its development strategy by the first quarter of 2025. Wynyard is one of two projects Karnalyte Resources is advancing with planned phase 1 production calculated at 625,000 tonnes/year of high-grade granular potash with two subsequent phases of 750,000 tonnes/year from each phase. The company noted that all environmental permits remain valid with preliminary detailed engineering complete and that the existing offtake agreement with Gujarat State Fertilizers & Chemicals Limited remains in effect.

25-Sep-2024

HOUSTON (ICIS)–Highfield Resources announced it has entered into binding agreements with several parties which would provide the remaining funding needed for the Muga potash project in Spain and transform the firm into a globally diversified potash company. The Spanish fertilizer firm said it has made a pact with Yankuang Energy Group and several strategic investors including Beijing Energy and Singapore Taizhong Global Development, with the transaction raising $220 million in equity capital and providing for the acquisition of the Southey potash project in Saskatchewan, Canada. The company said this provides an opportunity to unlock significant value with the support from a strong shareholder base and the establishment of a partnership with Yankuang Energy, which it said is committed to supporting their growth and development. Under the terms Highfield Resources will issue new shares to Yankuang Energy, Beijing Energy and Taizhong for a total of $170 million. In addition, the company has entered a non-binding letter of intent with another strategic investor in relation to the subscription for $20 million of new shares and is negotiating with other strategic investors for a further $50 million of new shares. Highfield and Yankuang have also entered an agreement for the company to directly acquire all the issued capital of Yancoal Canada, which owns the Southey asset located approximately 60 km north of Regina. It is being designed as a solution mining operation with environmental approval in place and a feasibility study completed. Highfield previously said there is a high confidence reserve estimate at the project with significant resource potential. Forecasted to have a mine life of more than 65 years, the planned annual production is estimated at 2.8m tonnes/year of muriate of potash (MOP). Completion of this transaction is subject to the satisfaction of certain conditions including receipt of required regulatory approvals and Highfield Resources shareholder approval, but the company anticipates it will be completed by early 2025. “This is an outstanding outcome which is expected to result in the commencement of Muga construction and puts Highfield on a very strong platform of growth for the future,” said Ignacio Salazar, Highfield Resources CEO and managing director. “On completion of this deal, we believe we will have the assets, the team and the capital to unlock and create significant value for Highfield.”

24-Sep-2024

HOUSTON (ICIS)–Australian Potash Limited (APC) announced it has reached a land access agreement for exploration with Tjamu Tjamu for the Nexus project located in West Arunta. Tjamu Tjamu has agreed, subject to APC complying with the terms, to allow access to their native lands and for the conducting of exploration activities. The Nexus project is comprised of three exploration licenses and is described by the company as an early-stage exploration opportunity surrounded by globally significant and emerging rare earth and critical mineral element deposits. APC said the agreement recognizes the existence of native title rights and interests in the whole of the determination area, which covers large areas of the West Arunta region of Western Australia including the Nexus site. Officials said the West Arunta area has drawn increased interest in undertaking high value exploration over the past couple of years, and it expressed gratitude to the traditional owners for generously giving their time to review the exploration proposal. APC said the next step involves proposing work programs for heritage clearance assessment. “We have been working with our geophysics consultants to plan air-borne magnetic and ground-based gravity surveys, and with our geological consultants to plan our initial on-ground, non-intrusive mapping and rock chipping program,” said Matt Shackleton Australian Potash Limited managing director and CEO. “We look forward to updating our shareholders as we progress through the heritage clearance assessment and move into unlocking the potential of our tenements in the highly sought after West Arunta region.”

18-Sep-2024

HOUSTON (ICIS)–Australian BCI Minerals announced the government has granted environmental approval for the Mardie salt and potash project in Western Australia. With this approval secured, BCI Minerals said it will commence operations by filling three evaporation ponds starting 10 September. Once filled, BCI Minerals will update its groundwater monitoring and management plan using data from extensive monitoring bores and additional studies. It will then resubmit the plan to the local and federal environmental regulators for approval prior to filling the remaining evaporation ponds. The company said construction at Mardie of the salt-first component is progressing at 48% completed, with further section work set to commence on 10 September. BCI added it remains on track to achieve first salt on ship in Q2 2027. Located 80km south of Karratha, in the Pilbara region, Mardie is anticipated to produce 5.35 million tonnes/year of high-quality industrial salt for export and 140,000 tonnes/year of sulphate of potash (SOP). It has an operating life expected to exceed 60 years with the export jetty finished and the crystallizer construction now at more than 19% completed. “This is an important and pivotal moment for BCI Minerals as we move into the next phase of becoming Australia’s newest, high-quality industrial salt producer. Australia hasn’t developed a salt project of this significance in 25 years, and the Mardie project will be Australia’s largest solar salt project and the third largest globally,” said David Boshoff, BCI Minerals managing director. “With the projected growth in demand for high grade industrial salt in our target Asian markets, BCI Minerals is strongly positioned to supply global markets with Mardie salt for generations.”

10-Sep-2024

HOUSTON (ICIS)–Canadian potash developer Sage Potash Corporation announced it has entered into an agreement with a subsidiary of International Process Plants (IPP) for the purchase of processing equipment for Canadian dollars (C$) 12.6 million ($9.29 million). The company, which is advancing the Sage Plain Potash project located in Utah’s Paradox Basin, said this equipment is capable of processing up to 300,000 tonnes per year of potash. The majority of the equipment, which has not been assembled or used and is in storage in Europe, was fabricated in 2012 at a then cost of approximately €36 million. Sage Potash said the rest of the equipment will come from IPP’s inventory of second-hand machinery. Under the terms the company will satisfy the purchase price by paying C$6.3 million in cash and issuing 12,600,000 common shares to IPP at a price of C$0.20 per share. It will also issue IPP a secured convertible debenture with a principal of C$3.78 million, with the purchase and transactions subject to acceptance by the TSX Venture Exchange. Sage Potash said it is getting an exceptional opportunity considering stainless steel and titanium costs have more than doubled since 2012. In addition to the cost benefits the company estimates it is going to save between four to five years’ worth of fabrication time. “By buying this existing equipment now, Sage is mitigating project risk and cost, as well as providing added clarity to the project’s timeline, which is what project funders require. We believe this ultimately enhances shareholder value as we seek to reduce the United States’ nearly 100% reliance on imports for potash supply,” said Peter Hogendoorn, Sage Potash CEO. $1 = C$1.36

09-Sep-2024