TSXV:AAA.P - Post by User
Comment by
Ethanbrodie123on Sep 22, 2014 6:01pm
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Post# 22960036
RE:RE:RE:SOP and Yara
RE:RE:RE:SOP and YaraRight.. So we have to remember that the Ethiopian Government has been very supportive of this basin and the future potential. It does help that Yara is in it as well and others exploring.. I think what is holding back the government is if and when these projects will be built. Once the funds are in place and the shovels are in the ground, I think they govenement will see that as obviously a commitment and I think allana and friends will have a really nice argument to try and push for the infrastructure. Not only that, but as we are doing a PEA on the SOP it shows more interest. Also, We went from initially doing MOP of 1 mil to MOP and SOP of 1 mil each to ramping MOP up to 2 mil..
a 1 mil SOP is world class alone. 2 mil MOP(in the future) is also a decent sized mine. Together it is a signifiacant world class potash mine. Coupled that with Yara, and you have the attention of the ethiopian government to do something on both fronts.
I am not saying power and rail will come right away. I do think it is inevitable.
If Allana gets funding for 1 mil t of MOP, I think it raises their chances quite a bit for an action plan to bring one of two or both.
If there is a decision to do SOP as well, I think at least one or both will be planned and there will be a timeframe on when it will be done.
If there is the extra 1 mil of MOP, I think there is almost no doubt that the gov will do both.
I do think that we will see some interest after project financing is complete. Especially when ICL YARA and Allana talks about expansions and how rail and power will just make that decision much easier and faster.. It also means more royalties ect for the government.