Rum Jungle to finish Australia fertilizer project studies in Sept

17 July 2014 23:28 Source:ICIS News

HOUSTON (ICIS)--Rum Jungle Resources will complete the pre-feasibility study for its Ammaroo Phosphate Project and the Karinga Lakes scoping study by mid-September, the Australian fertilizer developer announced on Thursday.

Darwin-based Rum Jungle is focused on developing and operating phosphate and potash projects in the Northern Territory of Australia.

Its flagship project is the Ammaroo site, which is located approximately 200km (124 miles) southeast of Tennant Creek, and includes 13 exploration licences and a mineral lease application that collectively cover a 180km area. Based on results from exploratory drilling, the total resource estimate is now calculated 1.08bn tonnes.

The company expects to make a final investment decision on the project by mid-2015.

The Karinga Lakes Potash includes six granted licenses and one application at the site, which is located between Alice Springs and Uluru.

The company has been focussed on investigating the subsurface potassium and magnesium brines in the dry playa lakes that could be used for the production of various fertilizer minerals. Karinga Lakes brine potash resources are estimated at around 8.4m tonnes.

Rum Jungle said that it now expects to start the pre-feasibility study for the site in 2015, while the acquisition of environmental approvals and the project mineral lease should still be finalised by year’s end.

Officials said that the company intends to commence discussions with global fertilizer producers and agri-business investors to establish either a joint venture or offtake agreements to assist in the advancement of at least one of the projects towards a bank feasibility study and the acquisition of environmental approvals that will secure subsequent development of either or both sites.

By Mark Milam