Packed work programme ahead for Emmerson’s Morocco potash project
LSE-listed mine developer Emmerson CEO Hayden Locke has confirmed that numerous workstreams are under way or due to start throughout this year, including drilling, testing, prefeasibility and discussions with partners and offtakers, at the Khemisset potash project, in Morocco.
The company delivered the project’s scoping study at the end of last year, which confirmed the project’s technical and economic viability – the company reports that the project has the potential to be among the lowest capital cost potash projects in the world.
The project could deliver earnings before interest, taxes, depreciation and amortisation margins in excess of 60% over a minimum mine life of 20 years.
Work streams for this year include infill and exploration drilling to confirm and expand the mineral resources at Khemisset, and upgrading of the current Joint Ore Reserves Committee-compliant inferred mineral resource estimate of 311-million tonnes at an average grade of 10.2% potassium oxide.
Further, the company will undertake a metallurgical testwork programme to confirm process flow sheets for a prefeasibility study, which will start thereafter.
Simultaneously, the company will start environmental and social impact assessments and the mine permitting process.
The discussions with strategic partners and offtakers revolve around gas supply, electricity connection and supply, transport and logistics, and port site investigation.
Locke said the company was fully funded to undertake development work until the first quarter of 2020.
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