- Salt Lake Potash (SO4) has passed halfway in the construction of its Lake Way Project in Western Australia
- At 60 per cent done, the project is currently on schedule and the company expects to begin production in the March quarter of 2021
- As part of the ramp-up to production, Salt Lake Potash has successfully secured 90 per cent commitment in major vendor procurement packages
- Once complete the project could produce up to 245,000 tonnes in sulphate of potash at a cost of $302 per tonne, making it one of the more cost-effective operations globally
- Salt Lake Potash closed in the grey for 48 cents per share
Salt Lake Potash (SO4) has passed halfway in the construction of its Lake Way Project in Western Australia.
At 60 per cent done, the project is currently on schedule and the company expects to begin production in the March quarter of 2021.
Based on a bankable feasibility study released late last year, once complete the project could produce up to 245,000 tonnes in sulphate of potash at a cost of $302 per tonne.
The company claims this cost analysis put the project at the bottom of the first quartile of global SOP operations, which would make it one of the more cost-effective operations globally.
As part of the ramp-up to production, the company has successfully secured 90 per cent commitment in major vendor procurement packages.
The positive progress follows a difficult few months for the company’s share price, which fell almost 60 per cent in the first three months of 2020.
However, after hitting a 52-week low of 29 cents in mid-March, SO4 shares have staged a partially partial recovery and are currently trading at 48 cents each.
CEO of Salt Lake Potash Tony Sweiriczuk commented on the company’s progress, thus far, at the site.
“On site activity will be accelerating over the coming weeks as we move into the peak construction phase of the process plant and non-process infrastructure. The SO4 owners’ team and GRES continue to do an outstanding job driving all workstreams on-schedule with first SOP production due in the first quarter of 2021,” he said.
Salt Lake Potash closed in the grey for 48 cents per share.