Fluor Corp. was awarded a front-end engineering, design and optimization (FEED) contract by Danakali Ltd. in Eritrea for the Colluli potash project following a competitive tendering process initiated and completed in 2016. 

“Fluor will provide a highly qualified design and optimization team with world-class process infrastructure credentials for this important fertilizer project,” said Rick Koumouris, president of Fluor’s Mining & Metals business. “In addition to working with Danakali to maximize project capital efficiency during the study and execution phases of this project, Fluor will bring top-notch project financing expertise and assistance to help Danakali advance this project to the next phase.”

“We are delighted to be working with Fluor as we progress the Colluli project,” said Paul Donaldson, managing director of Danakali. “The combination of Fluor’s values, people, reputation, optimization approach, mining and metals expertise, experience in Africa, and potash-specific experience will benefit the project significantly as it progresses toward construction.”

The Colluli deposit is located in the Danakil region of Eritrea, East Africa. Colluli is approximately 177 kilometers (km) southeast of the capital, Asmara, and 180 km from the port of Massawa, which is Eritrea’s key import-export entry.

Approval of the social and environmental impact assessment for the project was given by the Ministry of Land, Water and Environment in December. The award of the Mining Agreement and Mining License for the project is progressing well, according to Danakil.

Danakali owns 50% of the Colluli potash project and is currently developing it in partnership with the Eritrean National Mining Co. (ENAMCO).