Danakali
The diverse range of potassium bearing salts found at Colluli, namely kainite, sylvite and carnallite ores, have the unique capability of producing a diverse range of potash types
ASX-listed Danakali and JV partner have appointed Turner & Townsend to the Colluli sulphate of potash project in Eritrea.

Danakali and its JV partner, the Eritrean National Mining Corporation (ENAMCO) have made this appointment to define the full scope of the EPC bidding requirements as the front-end engineering design process progresses.

With over 4 000 employees spread across 90 offices in 38 countries, Turner & Townsend work predominantly for owner’s teams in major capital project developments around the world.

The company has extensive experience globally and within Africa across the infrastructure and energy and mining sectors.

Turner & Townsend also carry potash specific experience from work undertaken in both the UK and Canada. Core competencies include programme strategy and set up, programme management, project management, and procurement, cost and commercial management.

“We have engaged Turner & Townsend to provide support and advice that will: optimise project set up at the execution stage; facilitate the development of the procurement, construction, commissioning and contracting strategies; and review risk and mitigation through execution of stakeholder engagements,” explains Danakali MD, Paul Donaldson.

Colluli is the shallowest known evaporite deposit in the world with a solid form ore reserve estimate of over 1.1 billion tons.

Permitting for the project was completed in February 2017, providing the Colluli Mining Share Company (CMSC) exclusive rights to apply for mining licenses within the Colluli tenements.

Danakali has received commitments from investors in the United Kingdom and Australia to subscribe for shares valued at A$12.25 million.

Proceeds from the Danakali placement will be used to complete the development cost reduction and optimisation work identified in the front-end engineering design process, completion of the tendering processes for key contracts.

These contracts include mining and EPC, completion of off-take and financing activities, on the ground work to reduce the project development timeline, working capital and transaction costs.

Seven mining licenses have also been granted.

Feature image credit: Danakali