PERTH (miningweekly.com) – Potash developer Highfield Resources has inked a memorandum of understanding (MoU) with one of Spain’s largest ports, the Port of Bilbao, as a potential transport solution for the Muga potash mine.
The ASX-listed Highfield on Monday said that the MoU complemented a similar agreement with the Port of Pasaia, which is also a key port in Northern Spain, with both ports forming a key component of Muga’s supply chain and central to the project’s logistical advantage.
“This MoU is another step in getting the Muga mine into production. The Port of Bilbao is a major European Atlantic port and will be a key export terminal for Muga given its capacity and its proximity and excellent connections to the mine,” said Highfield CEO Ignacio Salazar.
Under the MoU, the Port of Bilbao has confirmed the availability of sufficient port capacity for up to 700 000 t/y of muriate of potash (MoP) and salt. Bilbao will facilitate the implementation of the requisite logistics infrastructure and services at the port to meet the project’s needs.
The Muga project is expected to require a total capital investment of €576-million to produce 30.2-million tonnes of MoP over a mine life of 30 years.