The company received funds from its recent A$28 million placement, as well as debt funds from the final US$33 million tranche of its US$138 million senior debt facility on June 10.Salt Lake's A$18 million guarantee facility with Sequoia has also been executed.
Change of director's interests
On August 10, chairman Ian Middlemas acquired 2.5 million shares worth a total of $875,000 in an indirect interest, increasing the number of securities held after the change to 22.5 million.
Managing director and CEO Tony Swiericzuk acquired 250,000 shares worth $87,500, increasing his number of securities held to 5.45 million in direct and indirect interests.
Non-executive director Peter Thomas purchased 55,000 shares in a direct interest valued at $19,250, increasing his number of securities in that interest to 300,000.
Moving towards first SOP delivery
The company has been moving towards its first SOP delivery as it works through Stage-4 of its load commissioning process for the Lake Way process plant near Wiluna in Western Australia.
Its operations team, together with consultants from the plant designer and component manufacturers have been systematically working through the plant to ensure each unit is working within design parameters and the plant chemistry is established.
The company has also announced plans to implement a revised ramp-up strategy to enable more salts to precipitate before commencing continuous harvesting activities.
There is no anticipated impact on production levels in FY23 and beyond, with full production run-rate from primary salts still anticipated in the June 2022 quarter.
Revised ramp-up strategy
The revised ramp-up strategy involves suspending the initial plant feed program following the processing of the first 90,000-110,000 tonnes of harvest salts, to enable more salts to precipitate before commencing continuous harvesting activities.
As such, forecasted SOP production for the financial year 2022 has been reduced and the company will require further funding.
Discussions have commenced to address the issue and the market will be updated once the talks are completed and agreed.
Salt Lake Potash Ltd directors demonstrate faith in potash strategy through placement participation (*.com.au)
