chinese investors keen on phosphate proposal

Chinese investors keen on phosphate proposal

NADJA HAINKE

May 26th, 2010

A PROPOSED phosphate mine in the Territory could start operating as early as this year after Chinese investors showed interest in the project.

The Georgina Basin, about 250km east of Tennant Creek, is believed to contain Australia's largest phosphate deposits.

Minemakers wants to start an open cut mine with an onsite beneficiation plant.

The ore would be exported through Darwin.

A feasibility study into the potential mine is expected to be completed within the next two weeks.

But Minemakers business development and marketing general manager Mike Erwin said talks with Chinese businesses in Nanjing had shown they were keen to jump on board.

He said investors were crucial to kick-start the project.

"Until we get the financing for the mine we really can't grow," he said.

Mr Erwin was among a Territory delegation, led by NT Resources Minister Kon Vatskalis, that travelled to Nanjing to take part in the NT Investment Seminar yesterday.

The conference attracted about 200 delegates from China, more than twice the number anticipated. It focussed on building friendships, making business and putting the Northern Territory on the map.

Mr Erwin said he was blown away by the interest shown at the meeting.

"To get a lot of Chinese investors in one place is just amazing," he said.

Increasing amounts of phosphate was needed to fertilise food as China's population continues to grow.

The country has massive amounts of the resource, but Mr Erwin said China was forced to look for alternatives with the deposits reaching their limits.