REG - Keras Resources PLC - Operations Update – Diamond Creek Project

Keras ResourcesAnnouncement

23/09/2024 07:00

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RNS Number : 1401F  Keras Resources PLC  23 September 2024

Keras Resources plc / Index: AIM / Epic: KRS / Sector: Mining

 

23 September 2024

 

Keras Resources plc ('Keras' or the 'Company')

 

Operations Update - Diamond Creek Phosphate Project, USA

 

Keras Resources plc (AIM: KRS) is pleased to provide an update on operations
from its high-grade Diamond Creek organic rock phosphate mine ("Diamond
Creek') and wholly owned Delta integrated processing facility ("Delta
Facility") in Utah, USA.

 

·    The 2024 mining campaign is now underway and will run through till
end November 2024; and

·    The Delta Facility is currently operating at full capacity, on a
single shift basis.

 

The Diamond Creek mining campaign is now underway, starting later than usual
due to focus on the Delta Facility construction, commissioning and production
ramp-up.  The 2024 campaign plans for production of between 6,000 and 8,000
tons of which 3,000 tons to date has already been mined and hauled down to the
laydown area at Diamond Creek.  Crushed run-of-mine ("ROM") ore will
progressively be hauled to the Delta Facility prior to the onset of winter
snowfall for milling to 10 mesh and 50 mesh for direct sales as well as feed
for the recently commissioned granulator plant to produce 240SGN PhoSul® with
the Company's Phosul Utah LLC joint venture ("JV") partners.  This will be
the first winter that all ROM is stored in a dry, under-roof environment which
will significantly benefit the beneficiation process.

 

Since commissioning the Delta Facility, additional minor plant modifications
have continued to improve both consistent overall production and product
quality and is now running at full capacity allowing the JV to now market
PhoSul® granulates into the autumn planting season.

 

Graham Stacey, CEO of Keras commented, "Ramping up of our Delta Facility to
full capacity is the next milestone achieved by the team in Delta in what has
been a transformative year to date.  The new integrated circuit is far more
efficient than the previous plant at Spanish fork and has allowed us to
continue to produce and sell our dry 10 mesh and 50 mesh dry rock phosphate
products as well as producing PhoSul® granulated fertilizer in collaboration
with our JV partners PhoSul LLC.  We believe the additional product
diversification brought by marketing PhoSul®,a finished product for direct
farm application rather than a blend constituent through third-party blending
distributors will open new niche markets in the robust North American organic
fertiliser sector.

 

"The continuation of mining at Diamond Creek during the 2024 summer season to
generate ore for both in-house sales as well as feed to the PhoSul Utah JV
 has progressed well to date and will continue through to end-November which
will set us up for beneficiation and sales in Delta during the winter season
through to May 2025 when mining will recommence.

The Delta Facility has brought the business stability we've been looking for
since acquiring 100% in Falcon Isle which we will continue to build on with
both Falcon Isle products and PhoSul Utah JV granulate sales."

 

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under Article 7 of the Market
Abuse Regulation (EU) No. 596/2014 (as amended) as it forms part of the
domestic law of the United Kingdom by virtue of the European
Union (Withdrawal) Act 2018 (as amended). Upon the publication of this
announcement via the Regulatory Information Service, this inside information
is now considered to be in the public domain.

 

**ENDS**

 

For further information please visit www.kerasplc.com
(http://www.kerasplc.com/) , follow us on Twitter @kerasplc or contact the
following:

 

 Graham Stacey                         Keras Resources plc             info@kerasplc.com

 Nominated Adviser & Joint Broker      SP Angel Corporate Finance LLP  +44 (0) 20 3470 0470

 Ewan Leggat / Caroline Rowe

 Joint Broker                          Shard Capital Partners LLP      +44 (0) 207 186 9900

 Damon Heath / Erik Woolgar

Notes:

Keras Resources (AIM: KRS) wholly owns the Diamond Creek organic phosphate
mine in Utah, US. Diamond Creek is one of the highest-grade organic phosphate
deposits in the US and is a fully integrated mine to market operation with
in-house mining and processing facilities. Keras's 100% held subsidiary Falcon
Isle Resources Corp. ("FIR") recently entered into a 50/50 Joint Venture with
Idaho-based PhoSul LLC to produce PhoSul®, a certified organic 240 SGN
granule tailored specifically to increase P(2)O(5) available to crops, from
FIR's Integrated Processing facility in Delta, Utah. The Integrated Processing
Facility produces a variety of organic phosphate products including milled 10
mesh and 50 mesh P(2)O(5) products as well as PhoSul® granules which can be
tailored to customer organic fertiliser requirements.

 

The Company is focused on continuing to build market share in the fast-growing
US organic fertiliser market and build Diamond Creek into the premier organic
phosphate producer in the US .

 

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