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Construction works at Milestone potash project postponed

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World Fertilizer,

Western Resources Corp. has announced that Western Potash Corp., the company’s wholly-owned subsidiary, is delaying completion of construction for the balance of its Milestone phase 1 project process plant in Saskatchewan, Canada, from July to the end of this year.

The phase 1 project is already 83% complete in the overall status. It has completed engineering, procurement, construction of infrastructure, crystallisation pond, electrical distribution systems, brine heating and pumping systems to support operation of commercial solution mining. A significant portion of the balance of plant including the process plant, compaction and loadout has also been constructed, with only limited equipment still to be delivered and installed. The unfinished portion does not affect the on-going solution mining operations.

The Covid-19 pandemic has delayed completion of the final tranche of funding as previously planned; this has slowed down completing of construction for the balance of the plant. The company continues working with potential investors to complete the final tranche of funding, as well as pursuing alternative sources of financing for the completion of the remaining construction. Nevertheless, the company will continue the operation of full-scale hot mining to consistently build up inventory of potash in the crystallisation pond, getting ready for harvesting by the end of the year.

Western Potash Corp. CEO and President, Fritz Venter, said: “I would like to stress that WPC is fully committed to completing this exciting and innovative project. We have already demonstrated that solution mining using horizontal drilling works and completed an impressive amount of the construction of the processing plant. We will continue to work closely with all stakeholders during this time. Once funding is confirmed we will re-start construction. We have full confidence in the ultimate success of the phase 1 project”.

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