Elemental Minerals Signs Non-Binding Term Sheet to Accelerate Potash Project Development

Elemental Minerals (ASX:ELM) has signed a non-binding term sheet with Summit Private Equity, providing for a minimum equity injection of US$50 million. The funding would allow Elemental Minerals to pursue a new strategy to accelerate development of its potash projects, and would fund the company through to the commencement of construction at its flagship Kola Sylvinite project.
As quoted in the press release:

Since receiving the proposal the Company has been working with Summit on progressing their due diligence, refining the Proposed Strategy and having detailed discussions with SUMMIT’s partners, including the proposed team of world-class project engineers and project managers Vinci Construction Group, Technip France S.A., Egis Group and Louis Dreyfus Armateurs (collectively known as ‘the Construction Consortium’). The Board is of the view that the Proposed Strategy provides an attractive holistic approach which not only encompasses the completion of the Definitive Feasibility Study for Kola but also takes steps to de-risk and accelerate the construction of the mine thereby improving the overall economics.

Click here for the full press release.