Kalium Lakes secures Australian-first government approval for potash project

According to Mining News Pro - The Commonwealth Department of the Environment and Energy (DotEE) approval covers Kalium Lakes’ abstraction of potassium-rich brine associated with Sunshine and Ten Mile Lakes, around 160 kilometers south-east of Newman.

It also includes Kalium Lakes’ proposed production of sulphate of potash (SOP) by means of solar evaporation.

The decision covers the project’s stage one area drawn out in the bankable feasibility study (BFS).

Earlier this month, Kalium Lakes said it was also wrapping up an offtake agreement with German fertilizer producer and distributor K+S for 100 per cent of the project’s phase one production.

K+S has satisfied the condition required for the execution of the offtake agreement with due diligence on the BSOPP.

Kalium Lakes managing director Brett Hazelden said the company continued to lead the way as the first SOP project in Australia to obtain ministerial approval under the Environment Protection and Biodiversity Conservation Act.

“As an important regulatory approval, this decision, together with the anticipated further final approvals due in coming months, reinforces the key elements of the comprehensive BFS completed during September last year associated with the project’s 30–50 year mine life,” Hazelden said.

The BFS outlined a 19.6 million tonnes SOP drainable brine resource, with an increase in production rates by 10 per cent at Beyondie.

The BSOPP hosts Australia’s highest-grade sulphate of potash (SOP) brine deposit, with a probable reserve of 2.66 million tonnes at 14.2 kilograms per cubic meter SOP.

Kalium Lakes expects to ramp up BSOPP to full-scale capacity from 82,000 tonnes to 164,000 tonnes a year by 2020.