Tendersinfo keep you informed about the latest events in the national and international Procurement Industry. Procurement News provides in-depth coverage of the procurement industry, including contract awards, contract additions, new contract wins, mergers and acquisitions. Tendersinfo through its tender news section provides an update on all domestic and global tendering opportunities, invitation to bid & trade leads.

Publish Date : 29-Nov-2012

Western Potash Corp., is pleased to announce that, further to its press release dated June 26, 2012, a Definitive Agreement with the City of Regina was signed on November 26th securing the long term, economical and reliable source of process water for the Milestone Potash Project. Under the agreement the Company will have access to 60,000 cubic metres per day of treated effluent for the first 6 years and 42,240 cubic metres for the remaining 39 years. This amount is sufficient to satisfy the requirements for the solution mining process during the entire life of the mine.

As part of the execution of the Agreement, Western paid the City of Regina a $500,000.00 Commitment Fee. Annual payments to the City of Regina will be worth more than $200 million throughout the Agreement’s term. The Company will fund the construction of the pipeline and associated infrastructure to deliver the effluent to the mine site located approximately 30km southeast of Regina. The diversion of effluent from southern Saskatchewan’s watershed will produce a net environmental benefit, while creating economic growth for the Province, making this partnership a true “win-win” for both parties.

“This mutually beneficial agreement is another step towards Regina’s vision of a sustainable community,\" said Regina Mayor Michael Fougere. \"The City of Regina will be compensated for treating a waste product while helping facilitate economic growth in one of Saskatchewan’s key sectors – potash development. In addition, downstream negative effects such as increased algae will also be alleviated, making this is a prime example how creative thinking and partnerships can yield a more promising future for everyone.”

“Executing the Definitive Agreement with the City of Regina is a critical deliverable in progressing the Milestone Project,” says Western Potash Corp. President and CEO Patricio Varas. “Securing a long term, reliable water supply is a key component of the Feasibility Study and crucial to advancing the project on schedule.”

The Milestone Feasibility Study is now drawing to a close with a completion date set for late November 2012. In addition, Western Potash Corp. remains involved in ongoing negotiations with numerous parties, any of which could lead to equity and debt financings, joint ventures, takeovers or other types of merger transactions to advance the development of the Milestone project.

Go to previous page