PERTH (miningweekly.com) – ASX-listed Kalium Lakes has achieved financial close, allowing the first drawdown on the project debt facilities for its Beyondie sulphate of potash (SoP) project in Western Australia.
Kalium in July this year secured a near $102-million of senior debt funding from KfW IPEX-Bank, as well as A$74-million in senior debt funding from the Northern Australian Infrastructure Facility (NAIF) and a further A$15-million in working capital facilities from Westpac.
“Achieving financial close and enabling Kalium Lakes to proceed with the first drawdown under the project debt facilities is a significant milestone, inclusive of more than 165 conditions precedent being met to the lender’s satisfaction,” said Kalium Lakes CFO Chris Achurch.
Beyondie project will produce 180 000 t/y SoP, with the option to incrementally phase the project through a ramp-up from 90 000 t/y to 180 000 t/y to minimise operational and financial risks.
Federal Resources Minister Matt Canavan on Monday said that the SoP project is set to become Australia’s first producer of SoP, a high-yield fertiliser used to cultivate fruits, vegetables and a number of other agricultural products.
The product is destined for both domestic and international markets.
“The project is forecast to create 210 construction and production jobs. This is a great example of the NAIF creating new jobs and supporting a new industry in regional northern Australia,” Canavan said.