Emmerson PLC (AIM:EML) has completed a scoping study on the Khemisset Multi-mineral Process (KMP), which aims to mitigate environmental impacts at the Khemisset Potash Project in Morocco while enhancing its economic returns.
The KMP method represents a strategic innovation by recycling brine in the production process, significantly reducing water usage and eliminating the need for deep well injection.
This approach not only conserves water but also enhances the recovery rate of Muriate of Potash, a key product of the project, from 85% to 91%.
In addition to environmental benefits, KMP facilitates the creation of struvite and vivianite, new fertiliser products that have the potential for higher market values due to their slow-release properties.
KMP is expected to improve the project's economic outlook, more than doubling post-tax net present value to US$2.2 billion (£1.75 billion), with an internal rate of return of 40% and a projected annual EBITDA of US$440 million.
Emmerson is currently awaiting environmental approval from the Moroccan authorities.
Chief executive Graham Clarke commented: "The Khemisset Multi-mineral Process is an exciting, innovative development that represents a major improvement both environmentally and economically.
"The KMP arose from our team continuously exploring ways to minimise impact on the environment, particularly when it comes to water; we are always striving to protect this critical resource.
“It also forms part of the optimisation work that we had committed to do in discussions with water authorities in the first half of 2023.
“The KMP addresses these issues, while also delivering significant economic upside through the production of new fertiliser products to complement Khemisset's potash.”