Australian Potash Limited (ASX: APC) has lodged tenement applications covering large areas of Lake Wells that are contiguous to the Lake Wells SOP Project in Western Australia. The application area was previously held by Salt Lake Potash Limited.
APC reports an Exploration Target over the application area, named Lake Wells East (LWE), of between 9.5Mt and 24Mt of SOP. The potential quantity and grade of the Exploration Target is conceptual in nature, there has been insufficient exploration to estimate a Mineral Resource and there is no certainty that further exploration work will result in the estimation of a Mineral Resource.
“The LSOP already holds the largest Australian Measured SOP Resource of over 18 million tonnes,” Australian Potash Managing Director and CEO, Matt Shackleton, said.
“We have taken the opportunity to potentially more than double the scale of the LSOP at minimal cost to our shareholders. The previous owner disclosed an MREii based upon a shallow trenching model, whereas the LSOP is defined by its low risk borefield abstraction strategy, which allows us to estimate resources to a greater depth, providing more ‘ore’.
“The existing LSOP development carries an NPV of over A$1Bn1. The enormous scale that the LSOP can grow to with the addition of 1,200km2 of contiguous ground, over which we estimate an Exploration Target of between 9.5Mt and 24Mt of SOP, is clear. There is potential for the LSOP to become the largest shovel ready solar SOP project on the planet.
“Western Australia is developing into the world’s frontier potash province, with SOP now being produced in WA, the LSOP at shovel ready stage and several other projects from early-stage exploration to final permitting. Recently, there have been commercial transactions in the local and global SOP space that reflect the enormous value operating SOP projects can create.
“Our main focus is the development of the LSOP, however we are planning to move to a definitive feasibility study on a combined, larger, expansion operation within three years.”
For further information please visit: https://www.australianpotash.com.au
