JOHANNESBURG (miningweekly.com) – The definitive feasibility study (DFS) on potash exploration and development company Kore Potash’s Kola project, in the Republic of Congo, is 81% complete.
Kore, which on Tuesday released its audited financial results for the year ended December 31, 2017, noted that the DFS is due for completion near the end of the second quarter or early in the third quarter.
The Kola project hosts a large tonnage, high-grade and shallow deposit with a measured and indicated sylvinite resource of 508-million tonnes, at an average grade of 35.4% potassium chloride.
The DFS addresses the bulk infrastructure, mining, ore transport, processing plant and marine export of product. The processing plant will be capable of producing two-million tonnes of saleable potassium chloride a year – comprising an 80:20 split between granular and standard muriate of potash.
The bulk infrastructure study within the DFS entails power supply from the existing power station through a new overhead power line, the installation of a gas pipeline from the existing gas facility at M’boundi and the construction and upgrade of roads to facilitate both the construction of the project and serve the longer-term requirements of the project.
The mine will be accessed through two vertical shafts – one for intake air, and men and material access and the other for exhaust air and two high-lift conveyors to transport ore out of the mine.
The DFS also entails a production schedule, which is based on five working faces at steady-state production.
Meanwhile, Kore on March 26 raised $13.4-million from new and existing investors through a share placing, direct subscription and the issue of a convertible loan note for $250 000, which is expected to convert to equity upon shareholder approval to aid in finalising the DFS.
Kore last week listed on the Aim market of the LSE, as well as on the JSE, which Kore CEO Sean Bennett said should also aid in raising funds for the DFS.
The Kola project, located within the company’s 97%-owned Sintoukola potash project is Kore’s flagship asset.