Environmental approval for potash project
Kalium Lake’s proposed $216 million Beyondie project has received the green light from WA’s environmental watchdog, aiding the explorer’s bid to become Australia’s first potash producer.
The Brett Hazelden-headed company told the market on Monday the Environmental Protection Authority had recommended the approval of the project, based 160km south-east of Newman.
Environment Minister Stephen Dawson will make the final decision.
Mr Hazelden, Kalium Lakes’ managing director, lauded the announcement and said the aspiring potash producer was eager to be first company to kick-start the State’s sulphate of potash production.
“Achieving an EPA approval recommendation for the Beyondie project is another first for the fledgling SoP industry in WA,” he said.
Earlier this month, Kalium secured $20.8 million from private equity player Greenstone Resources for Beyondie’s development.
The London-based investment fund will take a 19.99 per cent stake in the company via the issue of shares priced at a discounted 44¢.
Kalium has already locked away $74 million in project debt funding from the Federal Government’s Northern Australia Infrastructure Facility and a $102 million loan from Germany’s KFW/Euler Hermes.
Meanwhile, fellow WA potash explorer Salt Lake Potash revealed on Monday it had executed a binding split commodity and access agreement with Blackham Resources.
Under the deal, Salt Lake Potash will acquire the brine rights over Blackham’s tenure at the Lake Way project, near Wiluna, in the northern Goldfields.
Salt Lake Potash to receive a 2 per cent royalty on all of gold producer Blackham’s gold production from the Salt Lake Potash tenement package.
In return, Blackham will acquire gold rights over Salt Lake Potash’s lake Way tenure.
Salt Lake Potash said in a statement to shareholders the agreement would accelerate its “pathway to production”.
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