By Danakali Limited,
Danakali Ltd (ASX:DNK) is pleased to advise that globally recognised, multi-national engineering and construction firm, Fluor, has been appointed to lead the front end engineering design (FEED) and optimisation process for the Colluli Potash Project following a competitive tendering process initiated in 2016.
Fluor was one of three shortlisted engineering firms that visited Eritrea and the Colluli site for several days in October 2016. The visit included an overview of the country capital, Asmara, an inspection of the Port of Massawa, and a visit to the future Colluli mine site.
Fluor will provide a highly qualified team including project engineer’s skilled in EPC packaging, and a design team with world class process plant and infrastructure experience to the Colluli FEED and optimisation phase.
Fluor also has extensive potash experience in study, optimisation and execution phases. In addition, Fluor has extensive capability and experience in assisting clients to arrange financing for their projects and maintains a specialised group of project finance professionals located in various locations throughout the world. This capability and experience is particularly strong in working with export credit agencies to arrange export credit loans and loan guarantees for major international projects.
Managing Director, Paul Donaldson said “We are delighted to be working with Fluor as we progress the Colluli project. The combination of their values, people, reputation, optimisation approach, mining and metals experience, African experience and potash specific experience, will benefit the project significantly as it progresses towards construction.”
Colluli is one of the most advanced greenfield sulphate of potash (SOP) developments in the world, and demonstrates outstanding economics including industry leading capital intensity, bottom quartile operating costs, close proximity to coast and key markets and unrivalled product diversification potential.
Approval of the social and environmental impact assessment (SEIA) for the project was given by the Ministry of Land, Water and Environment in December 2016. The award of the Mining Agreement and Mining License for the project is well progressed.
Fluor – Globally reputable engineering firm
Fluor is a globally recognised firm underpinned by a strong set of values including commitment to safety and ethical standards. For the past ten years Fluor has been recognised by Ethisphere magazine as a “World’s Most Ethical Company”.
Fluor is a leader in the mining industry in developing projects based on a fixed-price EPC contracting strategy, and strives to deliver quality fit-for-purpose solutions at unmatched value, and is a recognised leader in optimising projects to reduce capital costs for mining clients.
Extensive African Experience
With successful completion of mining, energy and infrastructure projects in Cameroon, Gabon, South Africa, Zambia and Botswana, Fluor has extensive project management experience throughout the African continent.