African Potash agrees to share data with neighbour By Philip Whiterow July 03 2013, 11:16am
African Potash said sharing the data would enable it to select the drill targets at Lake Dinga.African Potash said sharing the data would enable it to select the drill targets at Lake Dinga.
African Potash (LON:AFPO) has agreed a data sharing deal with Elemental Minerals, the company that owns the neighbouring potash deposit in the Republic of Congo.
The 702.5 sq km Lake Dinga potash project owned by African Potash lies next door to Elemental’s more advanced Sintoukola deposit.
Elemental, which recently received an A$190mln bid from the Dingyi Group, owns 93% of Sintoukola and has been exploring the region since 2008.
African Potash said sharing the data would enable it to select the drill targets at Lake Dinga and to define the potash potential of the licence.
Elemental has started work on a definitive feasibility study at Sintoukola, having already established proven and probable reserves of 151.7Mt of sylvinite at a grade of 20.02% K20 (31.69% KCl). Sylvinite is a key ore used in the production of potash.
CSA Global, which worked with Elemental at Sintoukola, has been appointed for the exploration of Lake Dinga.
Edward Marlow, African Potash’s chief executive, said: “The agreement underpins our investment in Lake Dinga.
"Work with CSA Global is well advanced and I look forward to providing shareholders with an update on our exploration activities in due course.
On a wider view, I am highly encouraged by the A$190 mln bid for Elemental as I believe it highlights the potential of our project and value upside."
