Brazil Potash awaiting installation licence for construction to start at Autazes Project

HOUSTON (ICIS)–Canadian producer Brazil Potash said in an update on their Autazes Project located in the state of Amazonas, Brazil, that it is currently in the pre-revenue development stage and has not yet commenced mining or construction operations as it awaits an installation licence.

The company said there are currently two outstanding items required to obtain the company’s installation licence from the Brazilian Amazonas Environmental Protection Institute, which is required prior to commencing construction at Autazes.

In anticipation of securing the licence, German firm ERCOSPLAN has been engaged to update the technical report and feasibility study they initially undertook for the project.

Brazil Potash said the need for the country to establish greater production is clear as potash prices remain high and Brazilian demand is robust, with imports of potash being calculated as having increasing 42% to 3.1m tonnes during Q1 2022.

The company said the outstanding items regarding the installation are related to consultations with the Mura indigenous people, who make up the over 40 indigenous communities and tribes near the project.

Consultations with the applicable indigenous communities restarted in early April and are currently ongoing.

“We believe our company’s relationship with the Mura Indigenous people is very positive as Brazil Potash aspires to develop its Autazes Project in a sustainable manner by creating legacy benefits for the local indigenous people,” said Adriano Espeschit, Potassio do Brasil president.

Potassio do Brasil is the company’s subsidiary in Brazil.

Brazil Potash said management, supported by a third-party specialist team, has finalised their Environmental, Social and Governance (ESG) report which affirms the company view that the Autazes Project will be one of the most environmentally clean potash projects in the world as it is expected to emit 79% less greenhouse gas (GHG) emissions.

The reduction in GHG emissions comes from a combination of 85% of the Autazes Project’s energy needs coming from renewable energy sources and the company avoiding unnecessarily long distances when transporting finished product to Brazilian customers.