Western Resources Corp. unit Western Potash Corp. entered a binding agreement to supply Archer-Daniels-Midland Co. with the full phase one output from the Milestone potash plant in Saskatchewan.
Under the deal, which covers 146,000 tonnes per annum of potash, Archer Daniels agreed to transport potash from the project to the nearby Port Lajord, reducing costs for Western Resources, according to a Sept. 26 release.
Completion of phase on construction is expected to be complete by mid-2020, with start of potash production targeted in late 2020.
Western Resources adopted a three-phase approach for Milestone. Phase one includes hauling aggregates to the site, site preparation, developing a groundwater source well for the project, utility works and haul road designs.
In March, the company launched a rights offering to raise about C$11 million to develop the project.
