Business
Potential for Very Low Capital Cost Port Upgrade
Potential for Very Low Capital Cost Port Upgrade.
About this update from Emmerson Plc
[{"type":"text","content":"\n \nRNS Number : 9748G Emmerson PLC 12 November 2018 \n\nEmmerson Plc / Ticker: EML / Index: LSE / Sector: Mining\n12 November 2018\nEmmerson Plc (\"Emmerson\" or the \"Company\") \nPotential for Very Low Capital Cost Port Upgrade for Khemisset Potash Project and Scoping Study Progressing Ahead of Schedule \nEmmerson Plc, the Moroccan focused potash development company, is pleased to announce that it has completed the preliminary design and cost estimates for the port upgrade necessary to allow the export of potash product at the Port of Mohammedia from the Company's 100% owned Khemisset Potash Project located in northern Morocco (\"Khemisset\" or \"the Project\"). This work has been completed by independent Moroccan engineering consultant, Sigma Plus (\"Sigma\"), a sub-consultant, as part of the forthcoming Scoping Study which is due to be released in the near-term. The completed estimates have confirmed the potential for further significant capital cost savings for the Project. \nIn an update to previous guidance, the Company now expects the Scoping Study to be published in Q4 2018, well ahead of schedule.\nTo view the press release with the illustrative maps and diagrams please use the following link: \nhttp://www.rns-pdf.londonstockexchange.com/rns/9748G_1-2018-11-11.pdf\nHighlights\n· Total budgeted cost for construction of port upgrades is approximately US$7.5 million including a 30% contingency\n· Initial discussions with local authorities indicate that the Port of Mohammedia (150km from proposed mine site) has capacity for exports from Khemisset\n· Port of Casablanca and proposed Port of Kenitra expected to present feasible alternative options\n· Estimated capital cost saving of approximately 95% for capex cost for port upgrade, or over US$190 million, relative to cost of a recently constructed potash handling port facility in Canada[1] \n· Design and estimate completed according to AusIMM guidelines for capital cost estimates\n· Further enhances Management's strong belief in potential for Khemisset to be a low capital cost potash mine development, following the announcements of low capex mine access, low capex logistics solution, and low capex electrical and gas supply which combined have the potential to save Emmerson over US...