PERTH (miningweekly.com) − Minerals explorer Fortis Mining on Friday doused media speculation that it was looking at further investments or acquisitions in Kazakhstan, following its $260-million plan to acquire and develop two potash mines in the region.

Responding to an article in the Australian Financial Review, Fortis confirmed that while it had held informal talks about further opportunities in Kazakhstan, it was not pursuing any proposals at this time.

“The company remains committed to completing the proposed acquisitions of the Zhilyanskoe and Chelkar mines, in Kazakhstan, and towards obtaining shareholder approval to change the scale and nature of the company’s activities and any requisite requirements of the ASX listing rules,” Fortis said in a statement.

The developer added that the ASX had also confirmed that should the company enter into any other transactions in Kazakhstan, or elsewhere, before obtaining shareholder approval for the potash transactions, Fortis’ shares were likely to be suspended until the listing rules were met.

Fortis announced in February that it would buy the Chelkar and Zhilyanskoe potash salt deposits, after signing a binding heads of agreement with the project owners. The Melbourne-based company would buy a 75% shareholding in Ji’an Resources, which ultimately owns the projects.

The Chelkar deposit is estimated to host some one-billion tons of baron oxide, almost six-billion tons of potassium oxide, and around one-million tons of magnesium oxide. The Zhilyanskoe deposit is estimated to host some 545-million tons of potassium oxide, and around 112-million tons of potassium chloride.

The company was looking to raise some $236-million from Chinese investors, to fund the acquisitions.
 

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