The ongoing potash exploration happening in the Yorkton/Melville area is progressing smoothly says John Kilroe, Senior Manager of Exploration, Diamonds and Specialized Products for BHP Billiton, who spoke at a recent Chamber of Commerce Luncheon to discuss current happenings.
Early 2D seismic surveys have been conducted, and the results have been encouraging says Kilroe. The next step will be 3D seismic surveys, and finally drilling to see the quality of the potash in the ground. This is expected to happen in August, and any potential for an area mine will not be known until then.
Whether or not the area is suitable for a mine, the construction would not begin until 2015 at the earliest. This is because the project which is currently furthest along, the Jansen project, will need to be finished before any new projects can begin. The reason is simple logistics, Kilroe explains. With approximately 4,200 people involved in mine construction, it is too difficult to find enough skilled tradespeople and operate two large scale construction projects at once.
The Yorkton/Melville area is not the only one which BHP Billiton is looking at, with surveying also happening in Boulder and Young. Kilroe says the next project, post Jansen, will be whichever area shows the most promise. He emphasizes that survey work would not be taking place if BHP Billiton did not believe that there was potential for a profitable mine in the area.
One message Kilroe had for area land owners was that they should not sit their mineral rights. He emphasized that an unwillingness to sell or lease those rights would affect more than just the individual holder, but also people who surround them. Given the nature of mining, BHP Billiton cannot mine around rights they do not have, so someone keeping their rights could potentially completely change how any potential mine is implemented, if it is at all.
