Kalium Lakes Limited (KLL) has announced that it had signed a non-binding off-take Memorandum of Understanding (MoU) with WITTRACO Düngmittel GmbH (WITTRACO) for the sale of sulfate of potash (SOP) from the Beyondie SOP project.
Under the MoU, KLL proposes to sell approximately 20% of the project’s annual SOP production to WITTRACO during the first five years of production.
The Beyondie SOP project comprises of 15 granted exploration licences and a miscellaneous licence covering an area of approximately 2400 km2. This sub-surface brine deposit will supply an evaporation and processing operation located 160 km southeast of Newman.
The German company intends to support the development of the Beyondie SOP project and, subject to future discussions, KLL and WITTRACO would seek to convert the MoU to a binding sales contract.
Managing Director of KLL, Brett Hazelden, said: “This non-binding MoU is another major step in the development of KLL’s Beyondie SOP project. To have established a solid relationship with an organisation of WITTRACO’s global standing reinforces our belief in the value and significance of the project.
“Strong international sales partners, that complement our future Australian supply and distribution focus, will provide the solid foundation needed for the successful development of this important project,” Hazelden added.