Kalium Lakes’ proposed $284 million Beyondie sulphate of potash project has been recommended for approval by the Environmental Protection Authority.
Kalium Lakes’ proposed $284 million Beyondie sulphate of potash project has been recommended for approval by the Environmental Protection Authority.
Environment Minister Simon Dawson will now make the final decision on the project, which is located 160 kilometres south-east of Newman.
EPA chair Tom Hatton said Kalium Lakes’ Beyondie was one of five potash proposals referred to the EPA for assessment.
“The EPA currently has three other potash proposals under assessment and last week another potash proposal was referred to the EPA,” he said.
“The Kalium Lakes’ proposal is the first potash environmental assessment completed and we have recommended a number of conditions to protect the surrounding environment and native animals.”
The other three potash proposals currently under assessment are the Lake Wells potash project, the Lake Disappointment potash project, and the Mackay sulphate of potash project.
A fifth potash proposal, Lake Way sulphate of potash demonstration plant, was recently referred to the EPA.
Kalium Lakes managing director Brett Hazelden said the company had worked closely with the EPA for four years.
“Achieving an EPA approval recommendation for the Beyondie project is another first for the fledgling SoP industry in Western Australia,” he said.
Last month, Kalium Lake secured around $102 million of debt funding for the development of its Beyondie sulphate of potash project, less than a month after receiving commitments for $74 million from the Northern Australia Infrastructure Facility for the project.
Kalium agreed to a non-binding term sheet with German government-owned bank KfW IPEX for the senior debt funding.
In September, Kalium Lakes released a bankable feasibility study for its Beyondie, which detailed a capex of $284 million, a base case of 164,000 tonnes per annum of sulphate of potash, and an initial mine life of 30 years.
It expects to start Australia’s first commercial sulphate of potash production in 2020.
Shares in Kalium were up 7 per cent to trade at 54 cents each at 3.45pm AEDT.
