Junior potash and salt developer Highfield Resources Ltd., Navarre, Spain, has been lining up ports for the anticipated 700,000 mt/y of potash and salt it hopes to produce at its Muga Project (GM May 28, p. 1).
On Aug. 31, the company signed a nonbinding Memorandum of Understanding (MOU) with the Port Authority of Bilbao, while on Aug. 2 it announced the signing of a similar agreement with the Port of Pasaia. Highfield said the two ports in Northern Spain will both be key components of Muga’s supply chain and are central to the project’s competitive logistical advantage.
Under this MOU, the port confirms the availability of sufficient port capacity for up to 700,000 mt/y. Bilbao will facilitate the implementation of the requisite logistics infrastructure and services to meet the project’s needs. The port also commits to have all facilities for product handling and shipping operational for Muga’s Phase 1.
“This MOU is another step in getting the Muga mine into production,” said Highfield CEO Ignacio Salazar. “The port of Bilbao is a major European Atlantic port and will be a key export terminal for Muga given its capacity and its proximity and excellent connections to the mine.”
Bilbao port is located in northwestern Spain, some 220 kilometers by road of the Muga mine, and is among the closest ports to the mine. It is one of Spain’s largest ports and currently handles around 35.5 million mt including 4.7 million mt of dry bulk product annually. Highfield said there are excellent road and rail connections between Muga and the Bilbao port.
Over the years, Highfield has inked nonbinding offtake agreements for both potash and salt (GM May 1, 2020; Feb. 7, 2020; Sept 13, 2019; July 29, 2016).