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Kalium Lakes inks potash off-take deal with K+S for Beyondie project

Kalium Lakes Ltd. entered into a binding off-take agreement with K+S AG for sulfate of potash production from its Beyondie mine in Western Australia.

The company said March 26 that it will provide K+S with 90,000 tonnes of sulfate of potash products per year for an initial 10 years, 100% of the anticipated production from the project's first phase. The deal is expected to bring about A$650 million in revenues.

K+S will receive a marketing fee for selling and distributing the sulfate of potash product under the agreement.

Kalium Managing Director Brett Hazelden said the off-take will allow the company to focus on finalizing a final investment decision, targeted for the second quarter.

Recent optimization at the mine decreased anticipated operating costs and increased production rates, largely due to improved recovery rates of 91%, compared to 72% previously.