(Alliance News) - Emmerson PLC on Tuesday said it has finalised the feasibility study components for the connection to road networks for its Khemisset potash project in northern Morocco.
The potash development company said it has completed a detailed options study to determine the optimal site location for the project installations, and associated connections to existing highways.
The options study is a "crucial" part of the feasibility study to assess all potential solutions available for the various components of the project, Emmerson said.
As a result, the company said it has considered proximity to existing infrastructure as a factor in site selection and will pave about 3.2 kilometres of the main connection to the highway, along with the slip lanes at the connection point. Meanwhile, the design of the unpaved roads will allow "significant heavy" vehicle traffic, Emmerson noted.
The company said the total budgeted capital cost required to connect the Khemisset site to existing highway infrastructure is USD2.0 million. This is slightly higher than previously expected USD1.3 million, Emmerson said.
"We identified the location of the Khemisset project as one of its major strengths from the outset; the proximity to world class existing infrastructure is a key tangible benefit," said Chief Executive Hayden Locke.
"The ability to have such a simple and cost-effective end-to-end logistics solution will benefit the Project not only through financing and construction, but throughout its lifecycle," added Locke.
Emmerson shares were trading 1.0% lower in London on Tuesday at 3.91 pence each.
By Evelina Grecenko; evelinagrecenko@alliancenews.com
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Emmerson (EML)