Power One strikes gold in historic uranium territory

Karnalyte Resources announced the completion of an updated feasibility study for the Wynyard deposit in central Saskatchewan, which highlights a projected mine life of 70 years and reveals positive economics that establish a foundation for long-term, stable returns from the project.The Wynyard project is located 175 km east of Saskatoon, within a recognized potash belt. This area is in proximity to established producers and has access to infrastructure for serving North American and export markets. The unique project involves mining from a carnallite deposit, which includes both potassium chloride (KCl) and magnesium chloride (MgCl2), allowing for the production of potash as well as magnesium products like hydromagnesite. Karnalyte’s updated feasibility study reflects a strong investment profile, showing an after-tax net present value of C$2.04 billion at an 8% discount rate and an after-tax internal rate of return of 12.5%. The estimated total initial capital cost is C$4.19 billion, which includes C$3.96 billion for potash processing and C$231 million for the hydromagnesite production facility. Operating costs for the potash processing facility are projected to remain competitive at C$134.01 per tonne, while the hydromagnesite production facility is estimated at C$318.04 per tonne.The strategic partnership with Gujarat State Fertilizers and Chemicals Limited (GSFC) ensures a reliable offtake agreement, demonstrating the confidence of key stakeholders in Karnalyte’s ability to provide a stable, long-term supply of potash, the company said. To update the existing feasibility study, Karnalyte engaged Wood Canada, ERCOSPLAN Ingenieurgesellschaft, RESPEC Consulting, and March Consulting Associates to prepare a technical report compliant with National Instrument 43-101 Standards of Disclosure for Mineral Projects. This report, effective November 26, 2025, is titled “NI 43-101 Technical Report on the Feasibility Study of the Wynyard Project, Saskatchewan, Canada.”“The updated feasibility study marks a pivotal milestone for Karnalyte Resources, confirming the expected strength and longevity of our Wynyard deposit,” Karnalyte CEO Danielle Favreau said in a news release.“Our disciplined focus on efficiency and growth has positioned us to advance the project toward successful development as we invest in operational planning. With a strong foundation and clear strategy, we are ready to capitalize on opportunities that further enhance value for all stakeholders.”“Supported by robust estimated mineral resources and mineral reserves, planned potash production capacity, and a secured offtake agreement with our strategic partner, the Wynyard project is designed to deliver stable returns and reliable future cash flow,” Favreau said. “As potash is essential to global food security, our competitive cost structure and positive market fundamentals, backed by strong price forecasts, provide a solid platform for long-term value creation.”Favreau also said Karnalyte is well-positioned in the hydromagnesite market, able to offer a cost-effective alternative to buyers amid limited supply. She noted that the deposit and scalable project design present opportunities for future expansion into higher-value markets, allowing Karnalyte to capture a significant share of the global hydromagnesite market. Karnalyte’s commitment to environmental adherence is evident in its history of obtaining approvals for a comprehensive environmental impact statement in 2013, with plans to submit amendments to account for subsequent phases. As Karnalyte Resources moves forward, it continues to evaluate further opportunities in magnesium compounds, which may enhance its revenue streams, contingent upon potash market strength and financing availability.Weiter zum vollständigen Artikel bei Mining.com Weiter zum vollständigen Artikel bei Mining.comWeiter zum vollständigen Artikel bei Mining.com Weiter zum vollständigen Artikel bei Mining.com