AMN - ERITREA: Positive feedback for Colluli potash project

Danakali announces that, consistent with the requirements of the Equator Principles, opportunity for public review of the social and environmental impact assessment (SEIA) and associated management plans (SEMP) for the Colluli Potash Project have been provided and the two-month review period is complete.

The Equator Principles is a framework adopted by financial institutions for determining, assessing and managing environmental and social risks in projects. Feedback received from the public review process has been positive. No issues have been raised from the public review and feedback process. The documentation was submitted on behalf of the Colluli Mining Share Company (CMSC) which owns 100% of the world-class Colluli project.

• Public review period for Colluli Social and Environmental Impact Assessment (SEIA) and associated management plans (SEMP) now complete

• All documentation was made publically available for the two-month review period

• Only positive feedback was received on content, quality and comprehensiveness of the assessment and management plans

• Colluli SEIA and SEMP completed consistent with the Equator Principles

• Review period started immediately following the submission of the SEIA and SEMP documentation to the Ministry of Energy and Mines

• More than 500 local residents have been included in stakeholder engagements with overwhelming support by local and regional communities

• Ongoing community, local government and stakeholder engagements planned throughout the rest of the year leading up to construction activities

• Mining licence application process continues with positive progress and relevant government ministry representation visiting the future Colluli mine site last week.

Danakali managing director Paul Donaldson says: “This is a great outcome and reinforces the excellent work done to date to support the project development. The work was effectively made available to the international community and received only positive feedback. We are also happy to have hosted a site visit, in recent weeks, from the relevant Eritrean ministries to support the mining licence application process.”

The Colluli project’s definitive feasibility study was completed in November 2015 and is currently awaiting mining licence approvals. Representatives from relevant government ministries assigned to the approvals process visited site in June to assist with evaluation of the social, environmental impact assessments and associated management plans. Funding discussions are under way and the company has signed memorandums of understanding for 800,000 tonnes/year of sulphate of potash. The Definitive Feasibility Study indicates industry leading capital intensity, bottom quartile operating costs and an ore reserve of 1100 million tonnes.

http://www.danakali.com.au/

News courtesy of International Mining