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Agrimin and Newhaul announce potash joint venture
  • Fertiliser development company Agrimin (AMN) and transportation company Newhaul have announced a haulage joint venture
  • The incorporated venture, Newhaul Bulk, will transport Agrimin’s potash from the Mackay Potash Project to Wyndham Port
  • The project in Western Australia produces Sulfate of Potash which is used in fertilisers for specialty crops such as fruits and vegetables
  • Newhaul Bulk will run a truck driving program to create opportunities for local and Indigenous workers
  • Shares in Agrimin closed 1.02 per cent lower at 48.5 cents each.

Fertiliser development company Agrimin (AMN) and transportation company Newhaul have announced a haulage joint venture.

Newhaul Bulk, will transport Agrimin’s potash from its Mackay Potash Project to Wyndham Port.

The Joint Venture

The incorporated joint venture is 50:50 owned by Agrimin and Newhaul.

Newhaul Bulk employs over 100 people with an emphasis on training local and Indigenous workers.

To achieve this, driver training centres and job readiness programs will be developed in regional communities, including Kununurra and Halls Creek.

The company will operate approximatly 24 road trains in order to transport 426,000 tonnes per annum of potash to the proposed ship loading facility.

A contract for haulage and maintenance for the duration of the estimated 20 year project life will be negotiated between Neewhall Bulk and Agrimin in due course.

The state and federal governments are contributing a combined $118 million to upgrade the Tanami Road which will be used by Newhaul Bulk's road trains.

The CEO of Newhaul Bulk, Craig Mitchell, was the founder and owner of Mitchell Corp, one of the state's largest trucking and bulk logistics service providers to the mining industry. In 2011 it was acquired by Toll Group for close to $110 million.

The Mackay Potash Project

The Mackay Potash Project spans 4370 square kilometres and is located on the largest undeveloped potash-bearing salt lake in the world, Lake Mackay.

A Pre-Feasability Study, considering only the top three metres of the salt lake, put the project life at 20 years. However, a previous geophysical survey estimates deposits could be much deeper.

The project produces Sulphate as Potash (SOP) which is used in fertilisers for specialty crops such as fruits, vegetables and nuts.

SOP fertiliser is lower in chloride than Muriate of Potash fertiliser and is also more suitable for areas with high salinity soils.

Agrimin is expecting demand for SOP fertiliser will increase as the world's population continues to increase and its arable land decreases.

Shares in Agrimin closed 1.02 per cent lower at 48.5 cents each.


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