03 Nov Sirius Minerals raising funds to build UK potash mine
Sirius Minerals (LSE:SXX) is seeking $1.2 billion of funding to develop the first stage a new potash mine in Yorkshire, UK.
This follow’s last week’s announcement that Sirius had secured $300 million in funding from Australia’s richest woman, Hancock Prospecting owner Gina Rinehart. The company will raise the rest of the funds through selling off cheap stocks.
The stage 1 funding will finance the site preparation, mine shafts and tunnel caverns for the first three years. Sirius is targeting production at 10 million tonnes of polyhalite fertiliser at first, with plans to double output in the future.
Sirius Minerals CEO Chris Fraser said: “Once we have received shareholder approval, we want to get on with the job of delivering this compelling value proposition, not only for our shareholders but also for the North Yorkshire community.”
Shares in Sirius were down more than 10% yesterday as a result of the announcement.