Rum Jungle eyes two options for Karinga Lakes
PERTH (miningweekly.com) – ASX-listed Rum Jungle was continuing to progress the scoping study for its Karinga Lakes project, in the Northern Territory, with the company investigating two development scenarios.
The first scenario is a 100 000 t/y sulphate of potash (SOP) project, which targets brine extraction from a larger number of salt lakes over a larger area.
The second scenario is a 100 000 t/y schoenite operation, delivering about one-quarter of the brine volume from the first scenario. Rum Jungle noted that the second scenario offered the potential for a lower environmental footprint and lower capital costs, with the project able to act as a demonstration phase while also providing initial cash generation before being scaled-up.
The potash junior added that the concept of starting with a smaller operation was also relevant from a market development perspective, as regional markets were relatively small, albeit with significant growth potential.
The scoping study was also examining the production of the intermediate product schoenite as a fertiliser product, which could be sold into the Australian and South-East Asian markets as a start-up option.
However, the conversion of schoenite to SOP would require greater capital and operating costs, owing to higher energy requirements for the fractional crystallisation process.
Rum Jungle was hoping to have the scoping study for the 8.3-million-tonne Karinga Lakes project completed by the end of November.
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