Sirius Minerals Plc has increased reserves at its North Yorkshire polyhalite project by 12% following the completion of a Definitive Feasibility Study earlier this year. The probable reserve now stands at 280.2 Mt at an average grade of 88.4% for 247.7 Mt of polyhalite contained as a result of the inclusion of mineralisation previously reported as an Indicated resources but which is planned to be mined under the latest mine plan.
Total Indicated resources, which include the reserve figure above, are 820 Mt at a grade of 87.3% for 710 Mt of polyhalite contained.
Polyhalite is a multi-nutrient form of potash containing potassium, sulphur, magnesium and calcium and is used as a fertilizer. Sirius’s North Yorkshire project contains the world’s largest and highest grade deposit of polyhalite.
The feasibility study, which was published in March this year, proposes an underground mine producing initially 10 Mt/y with an initial capital cost estimate of US$3.6 billion.
Because of the project’s location, in the North York Moors National Park, the company plans to transport mined ore to a materials handing and port facility at Teeside via a 37 km underground conveyor system. The company has received all necessary permits with the exception of the harbour facilities, which it expects to receive this summer.
Sirius has successfully concluded offtake agreements for part of the 10 Mt/y initial output and is currently working on project financing plans. It hopes to start production in 2021.
Sirius increases polyhalite reserves in Yorkshire: SXX