how did i miss this, happened the quarter before i bought in last year. must admit i wasn't looking at poz for this project. poz quarterlies have been getting more and more positive about highland plains. anyone got some more info.
http://www.asiaminer.com/magazine/current-news/news-archive/134-may-2011/3431-phosphate--mou-covers-highland-plains.html PHOSPHATE – MOU covers Highland Plains Phosphate Australia, a Perth-based explorer developing the Highland Plains Phosphate Project in the Northern Territory, has signed a Memorandum of Understanding (MOU) over the project with a Chinese engineering group.
The MOU with China National Electric Engineering Company (CNEEC) covers the emerging 56 million tonne @ at 16% P2O5 project near the territory’s coastal border areas with Queensland. The terms stipulate that both parties will work towards establishing a binding agreement for CNEEC’s provision of engineering, procurement and construction services to the project.
Phosphate Australia’s managing director Andrew James says, “We stress that this is very early days and emerged under our ongoing campaigns this year to woo long-term international partners and investors to Highland Plains. The company has enjoyed discussions with a number of international participants in the fertilizer industry for example, with the aim of securing a strategic partner to assist advance the pre-feasibility studies on Highland Plains.
“This strategic partner process is ongoing and there can be no assurance that a binding proposal will emerge from any quarter. That said, we recognize that CNEEC has very particular expertise in power plant design and construction and extensive experience in port facility and pipeline design and construction.
“As our primary focus for Highland Plains is for a slurry pipeline to deliver product to the coast for export, then this initial CNEEC connection is a welcome development.”
Andrew James says a key objective for the company under any final agreement with CNEEC will be the completion of a bankable feasibility study on Highland Plains.
“Once Phosphate Australia has completed this, subject to certain conditions, CNEEC has indicated to us that it may be able to assist the company in securing Chinese-backed finance for the project – but we stress, no such formal agreements are yet in place.”
Phosphate Australia is targeting the annual production and sale of up to 3 million tonnes of beneficiated rock phosphate from Highland Plains, to be transported for export by a scoping study-backed Aus$200 million slurry pipeline to a barging facility or some other arrangement, in the Gulf of Carpentaria.
Critical work to finalize over the next stage of project studies is to drill out Highland Plains inferred 56 million tonne resource to JORC indicated level, complete metallurgical pilot testing, build on base-line environmental studies, undertake further hydrogeological investigations and advance the slurry pipeline and marine facility site selection.
www.phosphateaustralia.com.au
POZ Price at posting:
6.8¢ Sentiment: Buy Disclosure: Held
