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- NeuRizer (NRZ) is granted a six-month period of exclusivity to negotiate rail access between its flagship urea project site in Leigh Creek and Port Augusta in South Australia
- The company says the South Australian government responded positively to its proposal to access the railway corridor assets between Leigh Creek and Port Augusta
- NeuRizer now has a six-month period of exclusivity to prepare a business case to enable the government to undertake an assessment of the NRZ proposal
- If the proposal goes ahead, the railway will be used to move the one million tonnes of urea to be produced by NeuRizer’s project to Port Augusta for further distribution in Australia
- NeuRizer shares last traded at 14 cents at 12:05 pm AEST
NeuRizer (NRZ) has been granted a six-month period of exclusivity to negotiate rail access between its flagship urea project site in Leigh Creek and Port Augusta in South Australia.
The company said the South Australian government had responded positively to its proposal to access the railway corridor assets between Leigh Creek and Port Augusta via ownership or a lease of the rail assets.
NeuRizer’s proposal highlighted the benefits of the tender, claiming it would reduce road traffic, increase safety, and reduce government spending on road maintenance.
The rail assets are currently owned by the South Australian Minister for Transport and cover approximately 250 kilometres of rail freight corridor that begins at the NRZ site at Leigh Creek and extends to the port facilities at Port Augusta.
NeuRizer has now been granted a six-month period of exclusivity to prepare a business case to enable the government to undertake an assessment of the NRZ proposal.
If the proposal goes ahead, the railway will be used to move the one million tonnes of urea that will be produced by the NeuRizer from its project to Port Augusta for further distribution in Australia.
“This is an important step on the path to production of urea at Leigh Creek as it will enable cost-effective, efficient transport of our carbon neutral urea fertiliser to both the export and domestic markets,” NeuRizer Managing Director Phil Staveley said.
“For domestic markets, it will result in lower costs for our customers whilst simultaneously offering a higher realised price to NeuRizer.”
NeuRizer shares last traded at 14 cents at 12:05 pm AEST.
