Toll Mining Services, which will be Kalium Lakes' partner for a five-year period, will oversee product collection and haulage from the mine site to the Perth depot, as well as management of the product depot for receival, storage and inventory management services.
Additionally, it will handle container loading and delivery for shipping from the depot
to Fremantle or Kwinana Ports. There sulphate of potash (SOP) products will be ready for shipping on a free carrier (FCA) basis.
The deal, awarded via a competitive tender process, has an option for extension for an additional five years. At current, the contract is awaiting a final investment decision and notice from Kalium Lakes to commence haulage operations.
Kalium Lakes CDO Rudolph van Niekerk called the contract a "strategic, fit for purpose and mutually economic product delivery logistics solution" for its project.
"Utilising Toll's existing fleet to backload our product from Beyondie to Perth, without adding more trucks on the road, not only provides for an economical solution, but also demonstrates Kalium Lakes' strategic location, which has provided cost-saving synergies for both companies," he said.
First production, and the first transport of product, is scheduled for next year.
The Beyondie SOP project, east of Newman, is made up of 15 granted exploration licences, two mining leases and several miscellaneous licences covering about 2,400 square kilometres.
The project aims to commence production at 90,000 tonnes per year of SOP before ramping up to 180,000t/y for domestic and international sale. Its initial mine life is between 30 and 50 years.