Sirius Minerals Plc York Potash Project approvals update (0625F)
May 20 2013 - 2:00AM
UK Regulatory
TIDMSXX
RNS Number : 0625F
Sirius Minerals Plc
20 May 2013
20 May 2013
Sirius Minerals Plc
York Potash Project approvals update
-- Objections received from the Environment Agency and Natural
England. Sirius is confident that these are most appropriately
dealt with via conditions to an approval for the York Potash
Project
-- Additional submissions made to the Ministry of Defence with
meetings to take place this week to resolve any outstanding
issues
-- Sirius to provide robust responses to the reports prepared
for the National Park Authority on the potash market and the
tourism industry
The Directors of Sirius Minerals Plc (AIM: SXX, OTCQX: SRUXY)
("Sirius" or the "Company") are pleased to provide an update on the
York Potash Project (the "Project") approval process.
Chris Fraser, Managing Director and CEO of Sirius,
commented:
"The planning case for the York Potash Project remains
compelling as it will deliver many benefits to the local and
national economies, whilst also providing a unique multi-nutrient
form of potash for the agriculture sector. We remain confident in
our submission and believe that detailed planning conditions can
satisfy these objections and provide the reassurance of either no
impact on neighbouring moorland, or achieving an improvement,
without the need for unnecessary delays to the determination of
this important project."
Update on objections received
The Company has been informed that objections have been
submitted by Natural England and the Environment Agency as part of
the North York Moors National Park Authority's ("NYMNPA" or "the
Authority") statutory consultation process. Sirius' understanding
of these objections is that there are four key issues. These follow
the holding objections previously submitted by these bodies and
will have to be taken into account in the decision making process
of the Authority at its special planning committee meeting to be
held on 2 July 2013.
One objection from Natural England is an in-principle objection
on landscape grounds given the proposed location of the mine within
the National Park. This will need to be taken into account by the
Authority in its decision making process and weighed against all
the other policy considerations as part of the planning process,
including the many benefits of the Project. The Company believes it
has submitted a world leading design that demonstrates best
practice for sustainable development. The site for the York Potash
Project benefits from extensive screening which will be enhanced
during construction as part of the development. The landscape
assessment completed as part of the planning application and
updated to reflect the revised spoil placement proposals concludes
that there will be "no long term significant impact" with these
mitigation measures put in place.
Another objection relates to foul drainage plans for the site
and was raised by the Environment Agency. The Company believes this
can be satisfied by a 'planning condition' regarding detailed
design which provides the right level of comfort that operations
will not negatively affect a nearby stream. Further discussions are
being progressed on this point.
The two remaining objections primarily relate to general
hydrological issues and the possible impact on a relatively small
area of protected moorland to the west of the mine site. The
Company has conducted a detailed hydrological risk assessment as
part of its recent submissions but contained in these objections
are opinions that more survey data may be required to better
understand the possible impacts of the construction of the
Company's innovative sub-surface buildings outside of this specific
habitat area. These designs have been adopted to reduce the visual
impact of the Project and, with differences in scale, are very
similar to the existing sub-surface structure located within the
Special Area of Conservation.
The Company will be having detailed discussions with the two
organisations involved and its own experts over the coming days to
seek an appropriate resolution on these points in advance of the 2
July 2013 NYMNPA meeting date. Sirius and its consultants believe
that a detailed set of planning conditions can provide the right
level of assurance to ensure that the groundwater levels in
neighbouring land are monitored and maintained to ensure there is
no negative impact on the ecological environment. In addition, the
Company is willing to agree and fund a detailed management plan for
the area in question which will provide enhancement to this area,
reversing the decline in suitability of the area to support the
designation, and which binds the Project to maintaining and
improving the quality of it for the life of the Project.
Sirius and its consultants believe that any request for
additional survey work is unreasonable in planning terms and will
not provide information of greater value than what has already been
collected and provided. Climate change and the significant variance
in rainfall levels over recent years significantly de-values the
type of surveying being suggested as a basis for an impact
assessment and design of associated mitigation measures. It is the
position of the Company that greater value is obtained from
developing detailed and enforceable management plans to maintain or
improve ecological environments such as the one in question.
Ministry of Defence holding objection update
The Company is in on-going dialogue with the Ministry of Defence
("MoD") regarding reassurances over any interaction between the
York Potash Project and the RAF Fylingdales facility. The Company
and the MoD are meeting this week with a view to resolving any
outstanding concerns. The Company remains confident of a successful
resolution and will provide a further update in due course.
Authority reports
A series of reports have recently been issued by the Authority.
These include the issues report presented to the members of the
NYMNPA planning committee on 16 May 2013, a report on the potash
market by Integer Research, and a report on the potential impact on
tourism of the Project. The Company is undertaking detailed reviews
of these documents and is preparing formal responses to each of
them as, individually, they contain statements and conclusions that
are inaccurate.
The report produced by Integer Research Limited was compiled
without any interaction with the Company and this, in the Company's
opinion, has resulted in a disappointing and inaccurate report on
both the market for potash and polyhalite. The Company has made
significant progress marketing polyhalite as a sustainable
multi-nutrient form of potash and expects to announce progress on
this in the very near future.
The Tourism Report, whilst based on sound quantitative data, in
the opinion of the Company, appears to have been based on some
questionable methodologies and made some inappropriate and
inaccurate extrapolations from the quantitative results.
Irrespective of this, the Company has already committed to working
with the National Park and the regional tourism body to design an
appropriate mitigation strategy around the promotion of the unique
qualities of the local area to offset any negative perceptions.
For further information, please contact:
Sirius Minerals
Plc
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Investor Relations Tel: +44 8455 Email: ir@siriusminerals.com
240 247
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About Sirius Minerals Plc
Sirius Minerals is a globally diversified potash development
company. Its primary focus is to bring on stream major potash
mining facilities through the acquisition and development of
projects overlying recognised potash deposits. Today it holds
properties in the United Kingdom (North Yorkshire), the United
States (North Dakota), and Australia (Queensland). Incorporated in
2003, Sirius Minerals' shares are traded on the London Stock
Exchange's AIM market. Its shares are also traded in the United
States on the OTCQX through a sponsored ADR facility. Further
information on the Company can be found at
www.siriusminerals.com.
This information is provided by RNS
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