Report

Update: Robust economics in Colluli potash project PFS

The recently released PFS for South Boulder’s (STB) 50%-owned Colluli potash project in Eritrea demonstrates strong economics, underpinning the board’s decision to proceed with the DFS. We have developed a valuation model for the project that has verified the PFS NPV10 (US$846m for Phase 1 and 2) and IRR (24.7% Phase 1 and 2). Here, we summarise the key outcomes of the PFS and present our valuation analysis.
Underlying
Danakali

Danakali is engaged in the exploration and evaluation of mineral resources including the development of the Colluli Potash Project in Eritrea, East Africa. The project is owned by the Colluli Mining Share Company, which is a joint venture between Co. and the Eritrean National Mining Company.

Provider
Edison Investment Research
Edison Investment Research

Edison is an investment research and advisory company, with offices in North America, Europe, the Middle East and AsiaPac. The heart of Edison is our world renowned equity research platform and deep multi-sector expertise. At Edison Investment Research, our research is widely read by international investors, advisors and stakeholders. Edison Advisors leverages our core research platform to provide differentiated services including investor relations and strategic consulting.

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