Name of the Project
Dougou Extension (DX) solution mining project.

Location
Sintoukola basin, Congo-Brazzaville.

Project Owner/s
Kore Potash.

Project Description
The DX sylvinite deposit is part of Kore Potash’s Sintoukola potash project, which includes Kore’s Kola sylvinite deposit.

The mining target is the DX sylvinite mineral resource, a sylvinite deposit with an exceptionally high potassium chloride grade.

The project has probable reserves of 17.7-million tonnes grading 41.7% potassium chloride and 0.06% magnesium, and indicated and inferred mineral resources of 145-million tonnes grading 39.7% potassium chloride and 0.05% magnesium.

The updated November 2020 prefeasibility study (PFS) proposes the development of a low-cost potash operation producing about 400 000 t/y of K60 muriate of potash.

Selective solution mining and processing technology will be used, resulting in minimal waste brine that will be disposed of into the sea. Solution mining is the most effective means of exploiting an underground potash resource at a reduced scale, and the method is proven across other operations globally.

The life of the project has increased from 18.4 years to 30 years.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project’s after-tax net present value has increased from $319-million in the May 2020 PFS, at a 10% discount rate, to $412-million in the updated PFS. The internal rate of return has increased from 22.9% in the May 2020 PFS to 23.4%. The project has a post-tax payback of 4.3 years from production.

Capital Expenditure
The updated PFS estimates the capital cost of the project at $285.9-million.

Planned Start/End Date
Not stated.

Latest Developments
The Phase 1 work programme of a definitive feasibility study has been completed on budget within the second quarter of this year.

Kore has also started work during the quarter to develop an improved geological model for the DX deposit that incorporates all recent drilling information and is expected to be completed before the end of the year. Kore has noted that the completion of this work may result in a re-estimate of the DX mineral resources.

Key Contracts, Suppliers and Consultants
Agapito Associates Inc (production target estimate).

Contact Details for Project Information
Kore Potash, email info@korepotash.com.