<>/Metadata 306 0 R/ViewerPreferences 307 0 R>> second phase of development, as the project has a possible 200-year plus Colluli boasts a 1.1Bt Ore Reserve and almost 200-year mine life, shallow mineralisation allowing low-cost open-cut mining, simple, proven, low-cost processing, favourable logistics, expansion, diversification and multi-commodity potential. function GTranslateGetCurrentLang() {var keyValue = document['cookie'].match('(^|;) ?googtrans=([^;]*)(;|$)');return keyValue ? In some cases, depending on the ambient conditions, this process can take over two years. 7. In late 2019, the China Shanghai Corporation for Foreign Economic and Technological Cooperation began constructing part of the 500km road connecting Eritreas Massawa and Assab harbours (both have special economic zones). US Level 1 ADR . Send Me Updates. (3) various tools to aid your investment decision making, (4) trade alerts and multiple thematic weekly newsletters and. Colluli is located in the Danakil Depression region of Eritrea and is approximately 230km by road southeast of the port of Massawa, which is Eritreas key import/export facility. We use them to give you the best experience. Demand for fertiliser is driven by population and economic growth which directly translates to food demand. Danakali Limited is a resource company focused on the Colluli SOP (Sulphate of Potash) Project in Eritrea, East Africa. (MOP) and gypsum, along with rock salt. To the southeast of the teeming herds of wildlife in the Okavango Delta inBotswana, an offshoot of the Lundinminingdynasty is extending its search for the worlds biggestdiamonds. In food production, potassium is removed from the soil in harvested crops and must be replaced in order to maintain future crop growth. I wrote this article myself, and it expresses my own opinions. It is actually resistant to the wests oppression in the most pure sense of the term. Danakali (ASX: DNK) is the 50% owner of the Colluli Potash Project located in Eritrea. The United Nations Development Programme (UNDP) has indicated Colluli has the potential to significantly boost the Eritrean economy and have a substantial positive impact on the Sustainable Development Agenda of Eritrea. seriously, this Man is a lobbyist of TPLF A group designated as a Terrorist Organisation in Ethiopia. This long-lasting tension has led to Eritrea's militarisation. In 2023, Botswana expects diamond output to decline by 1%. Surface mining allows controlled extraction, predictable production rates and efficient stockpiling of additional economic salts know to us. Following the agreement, Collulis position as an economically attractive SOP greenfield development project has been reinforced. Eritrea has historically struggled to attract large investments because of its unfavourable business climate. Sylvinite and carnallitite both produce potassium chloride, which is then combined with decomposed kainitite to form high purity potassium sulphate. It is estimated that 49% of the population is Christian and a further 49% is Sunni Muslim. Image courtesy of Danakali. A comparison of Colluli with vertically-integrated SOP producing competitors, from the same source as Fig. It describes Eritrea as "a dictatorship in which the media has no rights". RA, listed . To open fire on your own disabled [people] is pretty appalling.". Over the next three decades, almost 95% of the population growth will occur in Africa, India, and South-East Asia. .goog-te-banner-frame {display:none !important;} A port development at Anfile Bay could assist in unlocking this potential. % It has been a Unesco World Heritage Site since 2017. During the long struggle, the people of Eritrea managed to forge a common national consciousness but, with peace established, they faced the task of overcoming their ethnic and religious differences in order to raise the country from poverty made worse by years of drought, neglect and war. This geographical advantaged is unique. x][sF~w""s)d;9>u^v0@ROcTE&Agdjyr8_N>}\O_,g|yrqKbzlwGouQB b-*dkGO?-M^e1?!;=^RxGN{t2k JSUUSx=ce :jc`s>h. Wall Street Bulls Look Optimistic About Nutrien (NTR): Should You Buy? 1. The agreement encourages the maximisation of netback pricing of SOP produced in the Colluli, which will become the first Africa-based fertiliser provider in the supply chain of EuroChem. Are the rights of those working on the site ensured, or will they be slaves forced to work on the mine as National Service conscripts? Colluli Potash Project, Eritrea. Colluli is 75km from the Red Sea coast, providing unrivalled future logistics potential. The Colluli project lies in an area that saw detailed geological and geochemical work by USAID and US Geological Survey with the Eritrean Ministry of Mines and Energy. Please. The company expects to start full commercial production in mid-December 2022. The three key objectives set for the second phase of development included updating the capital estimate, project schedule and identifying key test work required to move into Phase 3. The project's potential profitability is helped by soaring potash prices they jumped by 300% during 2021, sitting at above $700 per tonne (CFR Brazil Spot) at the end of October 2021. The UN sanction was lifted by the UN in November 2018 under Resolution 2444, by the EU in the following month, and by the U.S. in May 2019. Its constitution has not been implemented, the parliament has been prorogued for many years, the ruling party has not held a congress for a number of years and independent media is banned. Analysis of the potential contribution of Colluli potash project to sustainable development goals in Eritrea. Muriate of potash, i.e., MOP (KCl; 0-0-60), which is used for wheat, corn, and other chloride-tolerant crops; Sulfate of potash or SOP (K2SO4; 0-0-50-18S), which also supplies both potassium and sulfur for high yields and quality; Potassium-magnesium sulfate, i.e., SOP-M (K2SO4-2MgSO4; 0-0-22-22S-11Mg) used as specialty fertilizer; Potassium thiosulfate (K2S2O3; 0-0-25-17S); and, Potassium nitrate (KNO3; 13-0-44) used for chloride sensitive crops that require additional nitrogen (see. A United Nations report published in 2019suggested that Colluli could significantly boost the economy of Eritrea. it is promising future.for our country and people .Thank God. For the area a high-temperature geothermal reservoir was identified in Alid with estimates of a potential heat of 250 to 300 degrees Celsius. At a SOP price of US$650/tonne, annual production would generate revenue equivalent to . Flour was awarded the FEED contract for the Colluli potash project in January 2017. There is also potential for kieserite To the southeast of the teeming herds of wildlife in the Okavango Delta inBotswana, an offshoot of the Lundinminingdynasty is extending its search for the worlds biggestdiamonds. <>/ExtGState<>/Font<>/ProcSet[/PDF/Text/ImageB/ImageC/ImageI] >>/MediaBox[ 0 0 594.96 842.04] /Contents 4 0 R/Group<>/Tabs/S/StructParents 0>> . The project has the world's. He is an alone, he is DICTATORSHIP! Colluli has been largely de-risked in terms of. A United Nations report says that Eritrea's Danakali Colluli potash project has the potential to boost the economy of the country that was removed from the UN's sanctions list only two months ago. Best. Economic resources for Sulphate of Potash (SOP) production are scarce, and Colluli is favourably positioned to supply the worlds fastest-growing SOP markets. Sadly, Eritrea looks set to remain a failed state as long as he is in office. One-third of the country's GDP is made up of remittances sent home by Eritreans living in Europe and other developed countries. 2 0 obj The country only has one preferential trade agreement in force (with Italy) and is not a member of the World Trade Organisation. The total measured, indicated, and inferred SOP mineral resources at the deposit are estimated to be 1.29 billion tonnes grading 11% K2O. Materials handling trials have also been completed to determine the anti-caking requirements for the final SOP product. Under the terms of the agreement, EuroChem will take, pay, market, and distribute up to 100% of the module I SOP production over a 10+3 year term from the project commissioning. What are the best countries for cryptocurrency adoption? Abu Dhabi has established a growing reputation as a source of innovation due to forward-thinking projects across sectors including energy, infrastructure, sport, culture and tourism. It also has access to solar, wind and geothermal energy systems the East African rift. 2022 The Colluli potash project is a low-cost, long-life sulphate of potash (SOP) project under development in Eritrea, Eastern Africa. I have taken a starter position and plan to build a position of meaningful size in the next couple of years. The project has been largely derisked with regard to geopolitics, infrastructure, off-take, and financing. 6. partnerships for the SDGs. The west really needs to let go of calling every developing nation that doesnt bend at its will oppressive. There was a famous incident where some of the disabled tried to walk into town to complain to him, and they were met by the police and the army who opened fire on them. The front-end engineering and design (FEED) study for the project was completed in January 2018. Colluli has a JORC-2012 compliant measured, indicated and inferred resource of 1,289 Mt at 11% K20 equivalent and 7% kieserite. According to the UNDP report entitled "Analysis of the potential contribution of Colluli potash project to sustainable development goals in Eritrea," Colluli is estimated to attract US$614 million of direct capital investment, generate 3% of Eritrean GDP once module I is up running, and account for 50% of Eritrean Exports by when module II is on stream. Thank you for your comment. Fig. Enter your email below to receive updates on your featured companies right to your inbox. Under the current FEED study for Module 1 and 2, Danakali will be one of the lowest cost SOP producers and with the development of the loading facility at Anfile Bay costs will decrease further as transportation costs are reduced. Colluli has a JORC-2012 compliant Measured, Indicated and Inferred Mineral Resource estimate of 1,289Mt @11% K20. Bloomberg News | December 23, 2022 | 7:38 am Premium Nickel aims to re-open Selebi mine in Botswana The Selebi south deposit has a resource of 11.28 million tonnes grading 0.98% nickel and 1.9% . Danakali has reported a 1.1 billion ore reserve with a mine life of almost 200 years. I'd like to emphasize that the articles contributed by these authors are the product of their respective independent research and analysis. Fig. The Colluli potash project is a low-cost, long-life sulphate of potash (SOP) project under development in Eritrea, Eastern Africa. The operating environment weighed heavily on Danakalis decision, as Eritrea is ruled by one of the worldsmost oppressive regimes and was until 2018 on the UNs sanctions list. I focus on identifying high-quality deep values in the natural resources sector and undervalued wide-moat businesses, an investment approach that has proven to be extremely rewarding over the years. countries-EritreaReverso Context-: Only four out of now 55 countries-Eritrea, Swaziland, Libya and Somalia-lack a multi-party constitution, and the last two will get one soon. (as referred to in ASX announcements of 3 October 2022, 1 December 2022, and 12 January 2023), it . According to the article below the mine will require 1,115 workers during the construction phase and 600 thereafter. EuroChem is an outstanding partner with global reach and extensive fertiliser capabilities. Value: R 200 Million+. The FEED economic estimates, from the same source as Fig. The project has the worlds largest JORC compliant reserve at 1.1 billion tonnes. .goog-te-menu-value:hover {text-decoration:none !important;} Colluli Mining Share Company secured 165m ($200m) of senior debt finance from the Africa Finance Corporation (AFC) and the African Export-Import Bank (Afreximbank) in August 2019. The Colluli potash project is expected to commence production in 2022. In June 2018, Danakali reached a binding take-or-pay offtake agreement with EuroChem Trading GmbH (EuroChem). In November 2020, a conflict broke out in the mountainous region of Ethiopia, called Tigray, between Tigrayan forces and the Ethiopian federal troops. The front-end engineering design (FEED), expected to be After all considerations and government taxes, Danakali said it expects to receive approximately $121m. PowerMiningOil & Gas >, MiningIndustrial MineralsMajor Commodities, Lithium Americas starts construction at Thacker Pass lithium project, Advance Lithium, LitioMx in talks to establish joint venture, Jindalee unveils updated mineral resource estimate at Mcdermitt Lithium Project, Advertise with us Advertising enquiries: Roy Morris, roy.morris@progressivemediainternational.com, +44 (0) 20 7406 6613. Reverso Context-: Required fields are marked *. Apart from SOP, the salt composition at the deposit also allows for the production of other potash products including sulphate of potash-magnesia (SOP-M) and muriate of potash (MOP). Eritrea one of the worlds most repressive and secretive states, known as the North Korea of Africa is poised to disrupt the global supply chain of fertiliser. Subject to conditions, the deal with Chinese company Sichuan Road and Bridge Group is expected to be finalized between March and May next year, leaving Danakali with $121 million cash, of which 90% will be distributed back to shareholders. It thus follows we should keep an eye on emerging potash producers. The deposit is the only one in the world world where SOP can be made from an open-cut mine due to its extreme shallowness. The plant administration and services facilities will incorporate administration offices, medical clinic, warehouses, and workshops (see graphic above, credit: RA International). Why isn't Europe investing more in recycling plastic. The best energy and mining stock ideas with multibagger potential. The shortfall of projected and actual global potash capacity, from this source. The company's strategy targets the development of a world-class potash project that will become pivotal for global and African agriculture. document.getElementById( "ak_js_1" ).setAttribute( "value", ( new Date() ).getTime() ); Click to follow this blog and receive notifications of new posts by email. Soraya Narfeldt, CEO of RA International, said: We are delighted to have been chosen as the preferred contractor to work with Danakali and its partners on this project which we see as globally significant. A big economic change will come to eritrea, proud to be an nseritrea. Discover how your business could benefit from a base in Masdar Citys economic free zone, download this free whitepaper. GDP dropped by -0.6% in 2020 in the wake of the Covid-19 pandemic and a locust invasion. On September 11, 2018, the Eritrea-Ethiopia border re-opened for the first time since 1998. (5) a community of investors to bounce off ideas and share information with. 11). Danakali is developing the tier-1 Colluli potash project, Eritrea, which boasts the world's lowest costs and >200 years of mine life. The Colluli potash project is a low-cost, long-life sulphate of potash (SOP) fertiliser project under development by the Colluli Mining Share Company, a 50-50 joint venture partnership between the Australian start-up Danakali and the Eritrean National Mining Corporation. Asmara is a beautiful city and awash in colonial Italian architectural gems. Danakali is developing the tier-1 Colluli potash project, Eritrea, which boasts the world's lowest costs and >200 years of mine life. Ok as claimed above I dure hope the dictatorship in place will be nice enough this time around to be honest and work for the sake of the people and show the truth about the budgetary issues to the public unlike what the dictatorship did on the gold mining sector.we Eritreans cannot wait to see the benefits of the potash industry on projects that will enhance peoples living standards and create a sustainable economic growth as stipulated on the government sustainable development goals and agendatime only will tell if the dictatorship will have a changing to work for the betterment of the country but not gew clicks. The project has now obtained all licenses and permits within the license area and has also been granted all required permits, licences and authorisations for infrastructure construction and development outside the Colluli mining license area. In spite of the projected long-term growth of potash demand, the building of new production capacity has been lagging in the past few years, thanks to low potash prices. Eritrea had been under UN sanction per Security Council Resolution 1907 since December 23, 2009, for the government's role in aiding Al-Shabaab in Somalia and refusing to withdraw troops from its disputed border with Djibouti following a conflict in 2008. These authors includeSilver Coast Research, , among others. The above advantageous features combine to make Colluli the lowest-cost SOP producer outside of China (Fig. "The analysis of direct impacts of Colluli potash project and its potential contributions to the sustainable development agenda in Eritrea is focused on five main areas," the report states. finished in June, will take the company a step closer to the construction phase of Eritrea and Ethiopia, which officially declared peace in July 2018. Your email address will not be published. Australia's Danakali (ASX: DNK) is selling its 50% stake in the Colluli potash project in Eritrea, Africa, almost 13 years after partnering with the Eritrean National Mining Corporation. Eritrea has one of the world's most brutal dictatorships, but could a huge potash mine be an economic game changer? And how is that relevant here, the government has not changed since Dankalis involvement so it was certainly a government worth doing business with at some time. The Colluli potash mine is estimated to hold 1.1 billion tonnes of SOP ore reserves grading 10.5% potassium oxide (K2O). Under the terms of the agreement, EuroChem will take, pay, market, and distribute up to 100% of the Colluli sites SOP fertiliser production over a 10-year term, from the Projects date of commissioning. Information about Eritrea and the Horn of Africa. A United Nations report published in 2019 suggested that Colluli could significantly boost the economy of Eritrea. Visit our privacy policy for more information about our services, how we may use, process and share your personal data, including information on your rights in respect of your personal data and how you can unsubscribe from future marketing communications. The project has a 200-year lifecycle and is expected to start operating in 2022. The project is the only known source of potash that allows extraction of the fertilizer in solid form. With planned production of 1m tonnes/year of SOP, it will put Eritrea among the topten potash producers in the world. In addition to SOP, MOP, and SOP-M producible at Colluli, Danakali can also produce rock salt, kieserite, gypsum, and magnesium chloride, upon the completion of the Anfile Bay port. 4). Unlike other potash producing basins of the world, the Danakil region contains a variety of potassium-bearing salts, enabling the opportunity to generate a range of potash fertilizers. The Colluli potash project is considered one of the world's most significant and lowest-cost sources of sulphate of potash (SOP), a premium grade fertilizer. inequalities, climate action, peace, justice and strong institutions and DANAKALI focuses on developing the Colluli potash project in Eritrea, which is wholly owned by Colluli Mining Share Company . Fertiliser is a key component to ensure world food security in the future. World potash demand has grown at an average rate of 2.5-3.0% per year since 2000 (Fig. Potash supply has historically been controlled by production cartels, such as a German export monopoly in the early 1900s, the agreement strategies between German and French producers until 1939, and then oligopolistic competition prevailing on world markets (see here). The Report was undertaken during 2018 by senior economists on behalf of the UNDP. development of the project, and the expected significant boost to royalties, 9). We are confident in RA Internationals capabilities to deliver a high-quality product and service.. Eritreas north-eastern and eastern parts have an extensive coastline along the Red Sea, strategically located along the Maritime Silk Road. At Colluli, the JORC-2012 compliant mineral resource is estimated at 1,289 Mt at 11% K2O for 260 Mt of contained SOP equivalent. Extraction of the salts in solid form is a crucial positive differentiator of Colluli. The deposit contains mainly three types of potassium bearing salts including sylvinite, carnallitite, and kainitite. At mine-gate production costs of US$149-165/t or total cash costs of US$242-258/t, Colluli can be profitable even at the current low SOP price of US$500-650/t. Danakali, an Australian company that has been developing the Colluli potash project in Eritrea, was recently granted permission by the Eritrean Ministry of Energy and Mines to commence commercial production at Colluli. Australia's Danakali (ASX, LON:DNK) is closer than ever to beginning the development of its world-class Colluli potash project in Eritrea, which is expected to become one of the world's. US Level 1 ADR's OTC-DNKLY, CUSIP.23585T101 The world's largest JORC compliant solid salt, Sulphate of . February 25, 2022. Additionally, it will provide comprehensive camp services incorporating catering, cleaning, laundry, pest and vector control, grounds keeping and waste management. As a tier-1 potash deposit with a number of unique advantages to its favor, the fully-permitted Colluli carries little underground geological risk. Both are below. The proposed mine is located within the Danakil Depression, part of the Great Rift Valley on the Eritrea - Ethiopia border, with export facilities on the Eritrean Red Sea coastline. The border with Sudan was closed until early 2019 because relations were so bad. I am not receiving compensation for it (other than from Seeking Alpha). The deposit stretches across the border into Ethiopia. Some abridged samples of my writings are published here, while 4X as many unabridged articles are posted without delay at TNRH, a popular Seeking Alpha Marketplace service, where you also find: (1) a stream of high-alpha actionable investment ideas. providing 10,000 direct and indirect local jobs. The front-end engineering and design (FEED) study for the project was completed in January 2018. Masdar City Free Zone, in the United Arab Emirates capital, offers a hassle-free environment in which companies can operate. Please disable your ad-blocker and refresh. Development Goals (SDGs). The decline is mainly due to a drop in production expected at Barrick Gold's Somilo/Gounkoto mine and B2Gold's Fekola mine. "We have found Eritrea to be very transparent and consistent across the board," Seamus Cornelius, Danakali's executive chairman, said in an interview. I wrote this article myself, and it expresses my own opinions. In the initial phase of operation, Wage said, Colluli would 03 October 2022. Invest in t. Italy created the colony of Eritrea in the 19th century around Asmara and gave it its current name. The Colluli potash project also involves evaporation ponds, a run-of-mine (ROM) pad, a sewage treatment plant, fuel storage tanks, accommodation camp, workshops, warehouses, and a main administrative building. Colluli is obviously a tier-1 asset, boasting the lowest-costs in the world and >200 years of mine life. Foreign investment in most business sectors is heavily restricted and state-owned enterprises distort its markets. Disclosure: I am/we are long SBMSF, CMP. It has industry-leading capital intensity, forecast first quartile operating costs, and highly attractive economic returns. The development of the Colluli potash projects coincides Pilot tests from the Colluli salts have generated product samples for marketing purposes which are now being distributed to prospective customers. Potash, an important fertiliser, could be a game changer for Eritrea and other African countries. DANAKALI Ltd., Eritrea - Colluli Potash Project | Aktienforum | Aktien Forum | Diskussionsboard | Community von finanzen.net Colluli, a 50:50 joint venture between Danakali and the Eritrean National Mining Corporation (ENAMCO), has been called a game-changer for Eritreas economy, as it is expected to become one of the worlds most significant and lowest-cost sources of sulphate of potash (SOP), a premium grade fertilizer. Unlike North Korea, China or Iran, social media is mostly unregulated, but the biggest problem is access to the internet, which is unreliable and expensive. The Danakil Depression is an emerging potash province in Eritrea and Ethiopia. It has had a border war with Ethiopia and a clash along the border with Djibouti. Image courtesy of Danakali. AFC also agreed for an additional 39m ($50m) of strategic equity investment in Danakali in December 2019. 9. DANAKALI Ltd., Eritrea - Colluli Potash Project | Aktienforum | Aktien Forum | Diskussionsboard | Community von finanzen.at The project is the only known source of potash that allows extraction of the fertilizer in solid form. However, in July 2018, a peace agreement was finally reached between Afwerki and Ethiopias Prime Minister, Abiy Ahmed. It assesses a wide range of econometric data and includes findings . The asset has the potential to produce other fertilizer A United Nations reportpublished last yearsuggested that Colluli could significantly boost Eritreas economy. Eritreas north-eastern and eastern parts have an extensive coastline along the Red Sea, strategically located along the Maritime Silk Road. Business intelligence for leaders in foreign direct investment. Colluli is without peer on capital intensity and production capacity with the ability to expand rapidly. In the initial phase of operations, the mine would produce more than 472,000 tonnes a year of sulphate of potash (SOP), a premium grade fertilizer. Danakali explored the use of filtered seawater at Colluli. According to Reporters Without Borders, only North Korea has less press freedom. The Colluli resource contains kainitite, sylvinite and carnallitite ores. I think you should research about th e author. The Colluli project is located in the Danakil Depression region of Eritrea, East Africa, and is ~75km from the Red Sea coast, making it one of the most accessible potash deposits globally. 4. The location of the Colluli potash deposit, from this source. The operating environment weighed heavily on Danakalis decision, as Eritrea is ruled by one of the worldsmost oppressive regimes and was until 2018 on the UNs sanctions list. Danakali Lmited is selling share to China. Danakali has 100% of its sales locked in for the first ten years and with the option to extend for a further three through a take-or-pay offtake agreement with EuroChem, the Swiss mineral fertiliser producer. I have no business relationship with any company whose stock is mentioned in this article. Colluli has been largely de-risked in terms of geopolitics, infrastructure, off-take, and financing, with the module I scheduled to come on-stream in 2022. as being forecasted back in 2015 has been removed from the supply side (Fig. Danakali is just one of many deep-value natural resources ideas covered by Laurentian Research. ,and the value is around 67,000.00 . Have the local Afar people been displaced and supplies to their communities cut to allow access to the site? The Colluli project is located in the Danakil Depression region of Eritrea, East Africa, about 75 km from the Red Sea coast The Perth-based miner noted that despite covid-19 restrictions,. MoEM has shown support for the financing of the project by granting time to begin commercial production (up to mid-December 2022) as well as . products, such as Sulphate of PotashMagnesium (SOP-M), muriate of potash Eritrea was, until 2018, on the UNs sanctions list. Potassium is one of three key fertiliser macro-nutrients essential for healthy soil and plant growth. The Australian company Danakali is developing the Colluli potash project in Eritrea and expects to bring it into production in 2022. We have recently upgraded our technology platform.

Belmont Funeral Home Barbados Obituaries, Primitive Camping Near St Louis, Gaited Morgan Stallions At Stud, Articles C