2nd Jul 2018 12:49
(Correcting that Sirius has achieved a peak contracted volume of 4.7 million tonnes per anum, and not between 4.4 million and 4.7 million tonnes.)
LONDON (Alliance News) - Sirius Minerals PLC said Monday it has entered the final procurement stage for its Woodsmith polyhalite mine in North Yorkshire and has received positive responses from banks regarding its stage two financing.
The FTSE 250 mining company's final procurement stage involves cost and risk estimates and evaluating contractors. The updated estimates will be available once Sirius has secured its financing. This is expected to occur at end of its third financial quarter.
In terms of financing the second stage of its Woodsmith project, Sirius said it has already received positive responses from banks. The company will progress its discussions with lenders and the UK Infrastructure & Projects Authority once it has received all bank offers.
Sirius' target level of supply agreements is 6.5 million tonnes per annum of its polyhalite product POLY4; it has currently achieved a peak contracted volume of 4.7 million tonnes per annum.
The company said that excavation of its Woodsmith mine shaft is expected to commence "in the coming weeks" with the project remaining on track to deliver its first and commercial production on time.
Shares in Sirius Minerals were down 2.3% at 32.31 pence on Monday.
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