K+S Group, Kassel, Germany, has entered into a nonbinding sulfate of potash (SOP) offtake agreement with Australian junior company Kalium Lakes. The proposed supply is for Stage 1 production (75,000 mt/y) from the Beyondie Sulfate of Potash Project in Western Australia. The term is for an initial 10 years.
The deal is still subject to the execution of a formal binding offtake agreement and the satisfaction of certain conditions precedent, including the completion of due diligence by K+S. K+S will provide Kalium with its expertise and technical support in relation to the design, construction and commissioning of the project.