Circum’s Danakil Potash Project is capable of producing both muriate of potash (MOP) and sulfate of potash (SOP) from the three potash bearing horizons - sylvinite, carnallite and kainitite.
The Danakil Potash Project is underpinned by a high quality resource base located in a premier new potash basin which benefits from a favorable location to end markets. The Project’s strategic location in the Danakil Basin, close to the Tadjoura Red Sea port in Djibouti, results in substantial transportation advantages to India, China and the rest of Asia. The Tadjoura port is expected to offer the lowest transportation cost of any major potash producing region to the Indian, Malaysian, Indonesian, Thai and South Chinese markets.
Circum also plans to supply the growing fertiliser market in Africa. Africa’s population is expected to reach over 2 billion people by 2050, which will require food production to increase at a greater rate than present to meet the challenge of feeding the people. According to the United Nations, the agricultural output in sub-Saharan Africa has actually dropped by 10% on a per capita basis since 1970, having risen 40% worldwide in the same period. This is reflected in a considerable disparity in fertiliser consumption, which can be as low as 10% of the world average.