TSX-V-listed Millennial Potash has announced that it has initiated a definitive feasibility study (DFS) at its Banio potash project, in Gabon.

The company has engaged ERCOSPLAN Ingenieurgesellschaft Geotechnik und Bergbau, a pre-eminent global potash specialist consulting company with significant experience in the West African Potash Basin, to complete a DFS for the Banio potash project.

"We are very pleased to have initiated a DFS at Banio after completion of our recent mineral resource estimate (MRE), which yielded measured and indicated mineral resources totalling 2.45-billion tonnes grading 16.6% potassium chloride (KCl), and an inferred resource totalling 3.56-billion tonnes grading 15.6% KCl,” says Millennial chairperson Farhad Abasov.

Abasov says the launch of the DFS and recently initiated environmental- and social-impact assessment (ESIA) mark the transition from the exploration to the development stage.

“We look forward to working with ERCOSPLAN as we continue to develop the Banio potash project in preparation for our mining licence application.

“The company is fully funded to complete the DFS and all associated trade-off studies in partnership with US International Development Finance Corporation (DFC), which has committed $3-million to cover the feasibility study costs."

Millennial says the DFS will evaluate a solution mining operation with a base production scenario of 800 000 t/y, as well as significantly larger production rates of muriate of potash.

Several technical and trade-off studies are currently in progress, including dissolution tests, hydrogeological studies, creep tests, cold versus hot leaching evaluations, port options for the project, as well as high-purity salt marketing studies.

The company notes that the DFS will run in parallel to the company's recently announced ESIA as both are expected to be completed in the second half of this year and will be presented to the government of Gabon as part of the company's application for a mining licence.

The company says it will also continue with further exploration drilling.