The incentive recognises the innovative test work activities that have reduced the capital cost estimate for the definitive feasibility study (DFS) on the Lake Wells Sulphate of Potash Project undertaken during the financial year ending June 30, 2019.
The funds will be used to complete work streams feeding in to the DFS which will see the company and the Lake Wells SOP Project well-positioned to play a leading part in the emerging SOP landscape in Western Australia.
Following the release of a scoping study in 2017, the company has been conducting a DFS into the development of the Lake Wells Potash Project.
Australian Potash is aiming to release the findings of the DFS in the second half of 2019.
The Lake Wells project is a paleochannel brine hosted sulphate of potash project with the paleochannels bore fields supplying large volumes of brine to mining operations through Western Australia.
The company aims to use this technically low-risk and commonly used brine extraction model to further develop a bore-field into the paleochannel hosting the Lake Wells SOP resource.