Mining giant BHP Billiton has picked up approval from Saskatchewan’s environment ministry for development of its major notch in the province’s potash belt.
The Australian/British mining firm on Thursday announced ministerial approval for its potash project at Jansen, Sask., between Saskatoon and Yorkton.
The province’s review has satisfied the ministry that Billiton has “appropriate plans in place to mitigate any adverse impacts while enhancing the benefits of the project,” the company said in a release.
The approval follows Billiton’s announcement the previous week that it had approved another US$488 million to support development of the Jansen project in what the company calls the “feasibility study stage.”
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Mine design and engineering will now be completed, along with “initial surface construction” and the first 350 metres of shaft sinking, the company said.
It’s then expected that final approval to go ahead with Jansen would be sought from Billiton’s board of directors sometime next year, the company added.
Based on that schedule, Jansen is expected to start producing saleable potash in 2015, the company said, and yield about eight million tonnes of “agricultural grade” potash each year for the mine’s expected 70-year operating span.
Tim Cutt, Billiton’s new Saskatoon-based president for diamonds and specialty products, called the ministerial approval a “significant milestone” for the project and pledged to “continue to engage with communities and other stakeholders to seek their input and to keep them informed of progress at Jansen and our other potash development projects.”
Billiton’s other potential projects in the Saskatchewan potash basin include test drilling scheduled to start at Melville in July.
