Highfield Resources completes study for Spain potash project

26 March 2014 22:06 Source:ICIS News

HOUSTON (ICIS)--Fertilizer developer Highfield Resources announced on Wednesday that it has completed its preliminary feasibility study for its Javier Potash Project in Spain.

Based in Pamplona, the company is currently developing potash projects within Spain where there is significant existing infrastructure and shallow sylvinite mineralisation, which would be ideal for extraction and support relatively low capital expenditure (capex) initial mines.

The Javier site covers an area of 97km (60 miles) in northern Spain and holds potash mineralisation that begins at less than 300m from the surface. The developer is building upon historical potash exploration, which includes drilling work and seismic profiles that were completed in the late 1980s.

The company said that its pre-feasibility study is undergoing a peer review by Spanish engineering firm IDOM and that Highfield expects the study results to be released by June. In addition, the project’s resource estimate is being finalised by geology consultant Agapito Associates and should be released by next month.

The company is targeting the completion of a definitive feasibility study in the second half of 2014 and mining concession approvals in the first half of 2015.

Other activities at the site include the commencement of an eight-hole drilling programme that will test the eastern extension of the project area. Company officials said that drilling programme should be ready for release by May and that positive results could point to an increase in the resource estimates and extend the estimated lifespan of the mining operation.

In an update on its other projects, the company said that the resource estimate for its Sierra del Perdon Potash Project is close to completion and should be released by June. The Sierra site covers an area of over 100km and contains two former operating mines that produced approximately 10m tonnes of potash between 1972 and 1997.

At the Pintano Potash Project, the company has begun a drilling campaign in which eight holes will be completed in order to extract additional resource information and build upon the work completed in the late 1980s where seven holes for potash exploration were established.

By Mark Milam