Sirius Minerals signs marketing agreement with Keytrade

AIM-listed potash exploration and mining company Sirius Minerals has signed a marketing agreement with Keytrade AG.

Keytrade, which operates as a fertilizer trading, distribution and marketing company, will market up to 1.75m tonnes per annum of Polyhalite produced at the York Potash Project under the new deal.

The project's initial production is currently scheduled to begin from late 2016, with the first phase production target of 5.0m tonnes per annum.

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Keytrade will be marketing in key regions of Central and South America as well as South East Asia and some countries in Europe and Africa.

Chris Fraser, Managing Director and Chief Executive Officer of Sirius said: "As one of the world's leading traders and distributors of fertilizers, Keytrade has an outstanding global platform to reach customers and countries with substantial growth potential and therefore this contract is a significant endorsement of the outstanding potential market for Polyhalite."

Melih Keyman, President and Chief Executive Officer of Keytrade, commented: "Keytrade is very excited about this agreement with Sirius Minerals. We believe that there is big potential to market Polyhalite globally.

"The scale of the York Potash Project resource, coupled with Polyhalite's unique multi-nutrient characteristics, matches the agricultural requirements of our world. Together with Sirius, we believe that there is a significant global market for Polyhalite."

Sirius Minerals' share price was up 3.30% to 23.50p at 09:07 on Monday.

MF