Saskatchewan-based Gensource Potash entered into non-binding memoranda of understanding to form a joint venture company to develop Maverick.
Saskatchewan-based Gensource Potash Corporation (TSXV:GSP) has announced that it has entered into non-binding memoranda of understanding to form a joint venture company that will develop the Maverick project located within the Vanguard area.
As quoted from the press release:
JVCo will construct, own and operate the potash production facility. The Vanguard Area comprises approximately 72,000 acres of crown mineral lease area of known and prospective potash minerals within leases KL-244 and KL-245. The area is named “Vanguard”
to underscore the leading-edge, industry-changing approach to potash production the Company is developing. The Maverick project is being developed alongside the company’s other project, Vanguard One, within the Vanguard area.
Mike Ferguson, President & CEO of Gensource, commented “We are extremely pleased to see Maverick advance as quickly and decisively as it has. The fact that Maverick has received formal interest on offtake as well as equity investment as a “bundle” is significant; significant not only because it underscores the commitment to the project by Maverick’s offtaker and the third-party investor, but also because of the accelerating effect it will have on the completion of the senior financing package for Maverick. Further, Gensource is pleased to have formal commitment now for two of its small-scale, efficient and environmentally sustainable projects, a situation that speaks to the validity of the company’s business model and overall approach to the required change in the potash industry.”