Emmerson PLC (LON:EML) has received a mining licence for its 100% owned Khemisset potash project in Morocco.
The licence provides the company with the exclusive right to develop and mine the potash deposit in the Khemisset basin, ahead of the anticipated initiation of construction by the end of 2021.
The grant of the licence follows a successful application process including the submission of a proven, JORC compliant, resource estimate and the confirmed technical and economic viability of the project, which was satisfied by the feasibility study.
This study highlighted Khemisset's outstanding attributes, including industry leading capital and operating costs and delivered an initial mine life of 19 years, based on less than 50% of the global resource base for the project.
"This is another major milestone in the development of what is to become the first large scale potash mine in Africa. We are grateful to the Ministry that provided considerable support, greatly assisting us throughout the application process,” said chief executive Graham Clarke.
"By producing up to 800,000 tonnes of potash per year, for export or domestic consumption, Khemisset is forecast to deliver considerable economic benefits to our stakeholders including an anticipated 1% increase to the national tax revenues of Morocco. At the local level, the benefit to our stakeholders is even more important, with an estimated 40% increase to the local area GDP.”