Last checked at 11 Mar 2024 07:00
Emmerson PLC / Ticker: EML / Index: AIM / Sector: Mining
11 March 2024
Emmerson PLC ("Emmerson" or the "Company")
Ministerial Committee Upholds Referral of Environmental Approval
Emmerson, the Moroccan-focused potash development company, is pleased to provide an update on the environmental approval of its 100% owned Khemisset Potash Project ("Khemisset" or the "Project").
The Company has been notified that the Commission Ministérielle de Pilotage ("Ministerial Committee" or the "Committee"), to whom the Company referred the decision of the Commission Régionale Unifiée d'Investissement ("CRUI") regarding the Project's environmental approval in July 2023, has upheld the Company's referral and has asked that the matter be returned to the CRUI for reconsideration.
The Committee has also invited the Company to update the Project's Environmental Impact Assessment ("EIA") and re-submit it to the CRUI, providing an opportunity for the Company to make any changes or enhancements to the submission.
Chief Executive Graham Clarke said:
"We are very pleased that the Committee has upheld our referral in this matter. We now look forward to re-engaging with the CRUI to facilitate the approval of the EIA for the Project. The Company maintains its conviction that the Project is world class and will provide significant value and benefit to the Khemisset region, the Kingdom of Morocco and to the Company itself.
"We will of course provide updates in this matter as soon as we are able."
Market Abuse Regulation (MAR) Disclosure
This announcement contains inside information for the purposes of the UK Market Abuse Regulation and the Directors of the Company are responsible for the release of this announcement.
**ENDS**
For further information, please visit www.emmersonplc.com, follow us on Twitter (@emmerson_plc), or contact:
Emmerson PLC Graham Clarke / Jim Wynn / Charles Vaughan
| +44 (0) 207 138 3204 |
Liberum Capital Limited (Nominated Advisor and Joint Broker) Scott Mathieson / Matthew Hogg
| +44 (0)20 3100 2000 |
Shard Capital (Joint Broker) Damon Heath / Isabella Pierre
| +44 (0)20 7186 9927
|
BlytheRay (Financial PR and IR) Tim Blythe / Megan Ray / Said Izagaren
| +44 (0) 207 138 3204 |
Notes to Editors
Emmerson is focused on advancing the Khemisset project ("Khemisset" or the "Project") in Morocco into a low cost, high margin supplier of potash, and the first primary producer on the African continent. With an initial 19-year life of mine, the development of Khemisset is expected to deliver long-term investment and financial contributions to Morocco including the creation of permanent employment, taxation, and a plethora of ancillary benefits. As a UK-Moroccan partnership, the Company is committed to bringing in significant international investment over the life of the mine.
Morocco is widely recognised as one of the leading phosphate producers globally, ranking third in the world in terms of tonnes produced annually, and the development of this mine is set to consolidate its position as the most important fertiliser producer in Africa. The Project has a large JORC Resource Estimate (2012) of 537Mt @ 9.24% K2O, with significant exploration potential, and is perfectly located to support the expected growth of African fertiliser consumption whilst also being located on the doorstep of European markets. The need to feed the world's rapidly increasing population is driving demand for potash and Khemisset is well placed to benefit from the opportunities this presents. The Feasibility Study released in June 2020 indicated the Project has the potential to be among the lowest capital cost development stage potash projects in the world and also, as a result of its location, one of the highest margin projects. This delivered outstanding economics, including a post-tax NPV8 of approximately US$1.4 billion using industry expert Argus' price forecasts.