Emmerson PLC (AIM:EML) has informed investors of an ‘unfavourable recommendation’ in the Environmental and Social Impact Assessment (ESIA) process for its Khemisset Potash Project in Morocco.
The company, in a statement, noted that it has not yet received formal notification of a decision and it is actively seeking clarification.
It added that it is reviewing its legal and regulatory options for an appeal and assessing its next steps.
Emmerson noted that it was previously nvited to submit the updated version of its ESIA application supported by the new benefits of Khemisset Multi-Mineral Process (KMP) to the Centre Régional d'Investissement of the region Rabat-Salé-Kénitra (CRI) for review by the Commission Régionale Unifiée de l'Investissement (CRUI).
In a note, stockbroker Panmure Liberum commented: “Importantly, this perplexing development is not the formal decision by the regional investment authority (CRI), which Emmerson has not yet received – and it is worth remembering that a prior CRI rejection was overturned by a ministerial-level committee.”