RNS Number : 8265Z
27 January 2022
Emmerson Plc / Ticker: EML / Index: AIM / Sector: Mining
27 January 2022
("Emmerson" or "the Company")
Further Basic Engineering Packages Awarded to Reminex S.A.
Emmerson, the Moroccan focused potash development company, is
pleased to announce the award of the balance of the Basic
Engineering scope of the Khemisset Potash Project ("Khemisset" or
the "Project") outside of the Mineral Processing Facility to
Reminex S.A. ("Reminex"), the engineering arm of the Moroccan
mining company Managem Group.
- Following award of the Basic Engineering package for the
Mineral Processing Facility to Barr Engineering in November 2021,
the Company has awarded the balance of the Basic Engineering scope
to Reminex pursuant to a thorough pre-qualification, competitive
tender and negotiation process.
- The ability to award the Basic Engineering for the Project has
been facilitated by the proceeds from the recent transformational
strategic investment by the Singaporean fund Global Sustainable
Minerals and Gold Quay Capital . This enables the Company to
continue Project development alongside activities pursuant to
- Reminex is the engineering arm of Managem Group, the Moroccan
mining company that designs, builds and operates mines in Morocco
and Africa ( managemgroup.com/en ).
- The Company continues to build capacity to enable execution of
the EPCM strategy following completion of the Basic Engineering
Graham Clarke, CEO, commented:
"The award of the balance of the Basic Engineering comes as a
result of a thorough competitive tender process executed by the
Project team and enables us to continue towards full EPCM
commencement during the year of 2022.
"Reminex has extensive experience accrued over decades of
operating within the Moroccan mining sector. Its substantial
expertise will be vital for adapting our Khemisset Project to the
local standards and for the provision of advice and assistance in
the remaining permitting and due diligence processes alongside
"2022 will be a transformative year for the Company as we
execute the final workstreams towards construction. We are
expecting to make progress concurrently on drilling activities,
Basic Engineering, discussions with other potential equity and
lending banks, preparations for EPCM execution and finalisation of
permitting activities. The Emmerson team look forward to working
closely with Reminex to build long-term benefits for the kingdom of
The award of this scope to Reminex enables the completion of the
entire Project Basic Engineering. Reminex has also partnered with
the Canadian engineering firm BBA ( bba.ca ) to add a further level
of due diligence on design assurance, operational readiness, and
risk management. This configuration allows the Company to design
the project infrastructures in compliance with Moroccan
requirements whilst also benefitting from the additional experience
of an internationally renowned partner. Further to this, the
Company intends to engage into a long-term technical partnership of
its own to undertake similar functions during the upcoming EPCM
The scope of works included covers the following packages:
- Package 1: Water supply solution to mine site.
- Package 2: Power supply solution to mine site.
- Package 3: Mine site access including highway junction.
- Package 4: Mine site infrastructure.
- Package 5: Portal & access declines.
- Package 6: Tailings Storage Facility.
Reminex is the Research & Development, Engineering and
Project Delivery arm of Managem Group ( www.managemgroup.com/en ),
an international and integrated Moroccan mining group, operating
for more than nine decades and established in nine countries across
Africa. For 40 years, Reminex has been able to rely on the
professionalism, expertise, and innovative spirit of its
engineering team to deliver and improve mining assets of Managem
before it recently started delivering projects for external clients
that have operations in Morocco and in West Africa.
Reminex has combined capabilities in process design, mine
design, project engineering, project delivery to a proven track
record in operating mines and process plants in various projects
including salt, gold, silver, copper, cobalt, zinc and lead in
different locations including Morocco, Guinea, Sudan, Gabon, Niger,
DR Congo. More relevant is the recently commissioned $200 million
Tri-K gold mine in Guinea.
For further information, please visit www.emmersonplc.com ,
follow us on Twitter (@emmerson_plc), or contact:
+44 (0) 207 236
Graham Clarke Emmerson plc 1177
Toby Gibbs (Nominated Adviser +44 (0)20 7408
John More and Joint Broker) 4090
Damon Heath Shard Capital +44 (0) 207 628
Isabella Pierre (Joint Broker) 3396
St Brides Partners
Susie Geliher Limited +44 (0)20 7236
Charlotte Page Financial PR/IR 1177
Notes to Editors
Emmerson's primary focus is on developing the Project located in
Morocco. The Project has a large JORC Resource Estimate (2012) of
537Mt @ 9.24% K (2) O and significant exploration potential with an
accelerated development pathway targeting a low capex, high margin
mine. Khemisset is perfectly located to capitalise on the expected
growth of African fertiliser consumption whilst also being located
on the doorstep of European markets. This unique positioning means
the Project will receive a premium netback price compared to
existing potash producers. The need to feed the world's rapidly
increasing population is driving demand for potash and Emmerson is
well placed to benefit from the opportunities this presents. The
Feasibility Study released in June 2020 indicated Khemisset 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 NPV (8) of approximately US$1.4
billion using industry expert, Argus', price forecasts.
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