The mining company Danakali signed several memoranda of understanding (MoU) with potential buyers to sell 200 000 tons/year of sulphate magnesium and potassium (SOP - M) from its mine Colluli in Eritrea. The SOP - M is currently trading on the market at $450 per tonne.
Paul Donaldson, Director general and CEO of the company, expressed its satisfaction with the level of high interest aroused by the series of fertilizer products generated from the Colluli project resources. "The signed MoU and negotiations ongoing [...] point out that this type of fertilizer is in strong global demand. This is particularly relevant in the sense that the emphasis continues to be placed on improving the efficiency of fertilizer and water.,"said Mr Donaldson.
Mr Donaldson, moreover, explained that interest and the high prices of the SOP - M, compared with potassium chloride, are due to the fact that it contains no chloride, but three macronutrients key (potassium, magnesium and sulphur) and is highly soluble. As such, it is suitable for soils deficient in magnesium typically found in India, the Middle East and Southeast Asia. "It is very simple to produce for the company, using the treatment model developed for the study of feasibility of Colluli," the official added.
Colluli project covers almost 500 km2 in low-pressure Danakil region, in southeastern Eritrea. It is held 100% by the company Colluli Mining Share Company (CMSC), a joint-venture formed in equal parts, by Danakali and Eritrean National Mining Corporation (ENAMCO), mining company of Eritrea.