PERTH (miningweekly.com) – The Ammaroo phosphate project, in the Northern Territory, has received federal environmental approval, bringing the project one step closer to its targeted construction start in early 2019.
ASX-listed Verdant Minerals said on Monday that the federal approval represented a significant milestone in the permitting process and the attainment of a licence to operate.
The process to attain a Northern Territory approval continues, with the company currently working to finalise a supplementary environmental impact statement in order to make a formal submission and trigger the final assessment phase.
The company told shareholders that federal and territory approvals would assist Verdant in continuing discussions with potential investment and offtake partners.
A feasibility study into Ammaroo proved the project to be technically feasible, and studied a Stage 1 development to produce one-million tonnes a year of phosphate rock concentrate, which would be replicated during year five, taking production to two-million tonnes a year of rock concentrate from year six until the end of the project’s 20-year mine life.
The Stage 1 development is expected to require a capital investment of A$368-million, while the Stage 2 development will require a further A$200-million investment.
Verdant in May signed a non-binding offtake memorandum of understanding with Ameropa Australia for the potential sale of 100 000 t/y of rock concentrate from the Ammaroo project.