Trigg Mining has completed a scoping study on its Lake Throssell sulfate of potash (SOP) project in Western Australia and is now working to immediately commence a pre-feasibility study.
The study has indicated the project is capable of achieving a nameplate production target of 245 000 tpy of SOP over an initial Life-of-Mine (LOM) of 21 years.
The total drainable Mineral Resource now stands at 14.4 million t at 4665 mg/L potassium (or 10.4 kg/m3 K2SO4).
The initial capital cost of is estimated at AUS$378 million, including a AUS$70 million contingency with an accuracy of ±25-35%. According to the study, Lake Throssell will generate an average EBITDA of AUS$97 million per annum at a US$550/t SOP price.
Trigg Mining Managing Director Keren Paterson said:
“The Scoping Study outcomes strongly vindicate our long-held belief that Lake Throssell is a potential company-maker – a high-quality, long-life asset which can transform Trigg into a modern, sustainable Australian SOP producer with a Top 10 globally competitive Project...This is a defining moment for Trigg and provides investors with a clear picture of the economic potential of Lake Throssell as a long-life, low-cost Project that can ultimately provide dividends to shareholders.”