Karnalyte welcomes Canada-India cooperation on potash supply
TSX-listed Karnalyte Resources has welcomed recent commitments by the governments of Canada and India to strengthen collaboration in the fertiliser sector, saying the initiative is expected to support long-term demand for Canadian potash.
The renewed focus on cooperation in mining, exploration and fertiliser supply would help enhance food and agricultural security and reinforce trade ties between the two countries, the company, led by CEO Danielle Favreau, said.
“This renewed interest in deepening collaboration between Canada and India in mining, exploration and potash is a positive step for our industry and for trade between our two nations. We are encouraged by the government's recognition of Canadian potash and the value our sector brings to international trade," she said.
Karnalyte noted that it recently filed an updated feasibility study for its flagship Wynyard potash project in Saskatchewan, confirming a projected mine life of about 70 years and robust project economics.
The company said the project is well positioned to supply growing potash demand in India and North America, supported by a strategic offtake agreement with Gujarat State Fertilizers and Chemicals Limited, which is also Karnalyte’s largest shareholder.
According to the company, the agreement underpins reliable long-term supply to India and highlights Karnalyte’s role in supporting global food security.
The Wynyard project is planned to be developed in phases, with initial production targeted at 675 000 t/y of high-grade granular potash, followed by two expansion phases of 750 000 t/y each, taking total capacity to about 2.175-million tonnes a year.
Karnalyte said all key environmental permits for the project remain valid and that preliminary detailed engineering has been completed.
However, further development remains subject to sustained potash prices and the securing of project financing.
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