Verdant Minerals’ Ammaroo Phosphate Project in Australia Secures Mineral Leases

The Northern Territory (NT) Government has recently granted Verdant Minerals two mineral leases for the Ammaroo Phosphate Project in central Australia. Located approximately 270km north-east of Alice Springs and 220km south-east of Tennant Creek, the project is described as one of the world’s largest undeveloped phosphate resources. It is estimated to contain over one billion tonnes (bt) of phosphate ore (P₂O₅), making it Australia’s largest JORC-compliant phosphate resource. The project is expected to produce around two million tonnes per annum (mtpa) of phosphate concentrate, which will be processed to yield 500,000 tonnes per annum (tpa) of merchant-grade phosphoric acid (100% P₂O₅) and 200,000tpa of ammonia. The ammonia will be used to produce around one million tonnes of ammonium phosphate fertilisers, such as di-ammonium phosphate and mono-ammonium phosphate.

The Ammaroo project is estimated to hold more than 1bt of phosphate ore.

NT Acting Chief Minister and Minister for Mining and Energy Gerard Maley described the granting of the leases as a “critical step” towards bringing the project closer to production. He emphasized that the project will support jobs, drive investment, and strengthen the NT’s position as a leader in resource development. Maley stated, “This is a significant milestone in progressing a world-class resource project that will support jobs, drive investment and strengthen the NT’s position as a leader in resource development.”

The Ammaroo development boasts a mine life of at least 25 years and an estimated capital expenditure of A$700m ($438.2m). The project is nearing the final stages of securing its mining authorisation, which will enable construction to commence. Verdant Minerals managing director Chris Tziolis expressed optimism, stating that with the project now consented to by Native Title Holders and the NT Government granting tenure, Verdant now has crucial certainty to progress the project financing process. The Ammaroo project is expected to create approximately 400 jobs during the construction phase and 250 jobs once operational. Additionally, the project received Major Project status from the Federal government of Australia in 2020.

This news highlights Australia’s growing presence in the phosphate mining industry and its potential to contribute significantly to global phosphate resources.