Posts Tagged ‘arizona mining’

Real AZ Corridor Plans for Workforce Needs

Friday, April 12th, 2013

The Real AZ Development Council (RADC) formed a committee to plan for the Real AZ Corridor’s future workfoce needs at its April meeting in Snowflake yesterday. The Workforce Development committee will work with employers in the potash mining, general mining and other labor-intensive industries and local educational institutions and training providers to identify the types of skills that will be needed to sustain economic growth in the region.

The effort was spurred by projections from Passport Potash and American West Potash that they could create as many as 2,500 permanent production-related jobs within the next four to five years. Existing Corridor employers, including Preferred Sands, have a need for trained workers now. RADC is working to ensure that the Corridor can provide a sustainable pipeline of ready, well-trained workers to support the these and other industries. Potash mining is expected to create jobs with an average salary of $70,000. Resource estimates put the projected life of the mines at a minimum of 26 years. Some estimates project several generations of mining in the region.

RADC also formed committees to oversee prospect development in categories that have been identified as related to potash mining and ripe for investment in the Corridor. The committee will create a list of target businesses, and also identify opportunities for new business development or business expansion in the Corridor. … Lori Martinek, ED/c Partners for Real AZ Corridor

 

Potash Projects Make Progress, RADC Targets Growth

Tuesday, April 9th, 2013

Potash Mining in Real AZ Corridor 2013The Real AZ Development Council (RADC) was awarded a Vision Grant from the Arizona Commerce Authority. As part of that grant, RADC produced a Potash Sector Profile (see it online HERE) and a detailed Potash Sector Target Marketing Strategy that identifies how RADC can leverage expected growth in that sector. 

With plan in hand, we are now putting the finishing touches on a Potash Sector Website, which has been built as a sub-domain expansion to the Real AZ Corridor website. The new site will debut at www.azpotash.com on April 22. It will also be linked to a landing page at www.potashsector.com, and appear as a new gateway page on the Corridor’s website at www.realazcorridor.com.

Committees are now being formed to drive implementation of the strategy for this sector. ED/c Partners owner Lori Martinek will attend the April and May RADC meetings in Snowflake to present the Potash Sector strategy to stakeholders and to help RADC get started with developing a prospect list, identifying workforce needs and sourcing a lead tracking and follow up tool.  

A similar process is about to begin for the Future Forest/Forest Management Sector, which will be impacted by the U.S. Forest Service’s 4FRI (Four Forest Restoration Initiative) contract award to Pioneer Forest Products. Pioneer is expected to build a mill and wood processing plant at Winslow, and create nearly 800 short and long-term jobs over the life of the 10-year 4FRI contract.

Potash Sector Profile Shows Big Potential in Arizona

Tuesday, February 19th, 2013

A profile of the Potash sector and its huge potential in the Holbrook Basin and the Real AZ Corridor has been posted on the Corridor’s website: Potash Sector Profile HERE

Potash mining, processing and distribution has the potential to become a major economic driver in northeastern Arizona, creating jobs, capital investment and indirect economic development. Estimates forecast that there could be up to 2.5 billion tons of potash in the region, with a mining life of up to 80 years. Read more online …

An Update on Potash Projects in the Real AZ Corridor

Friday, December 21st, 2012

This is a good overview of what’s happening, and expected to happen, in potash mining development in the Holbrook Basin and the Real AZ Corridor over the next few years:

Passport Potash and Prospect Global are two exploration-stage mining companies with significant claims to the potash rights in and around the Holbrook Basin of eastern Arizona. As previously mentioned, there is a blueprint that greenfield companies follow to move from exploration to production. Both companies are following this blueprint on the same trajectory.

For the most part, the U.S. has potash deposits that, until recently, have not been economically viable to develop. The U.S. imports 80-90% of its potash- an unashamed “net importer.” Potash is mined in small amounts in Utah, Michigan and New Mexico. Intrepid Potash (IPI) operates two potash mines in Utah and one in New Mexico. Mosaic mines potash in Michigan and also New Mexico. Potash from reasonably-priced domestic sources can have a competitive advantage because transportation costs are lower. Additional consideration is given to domestic potash because of the significant strengthening of the U.S. dollar versus the Canadian dollar during the past couple years.

Arizona may be critical to expanding domestic potash production. In addition to being one of the friendliest and safest areas of the world for mining, Arizona’s deserts and plains have favorable year-round climates. Arizona’s Holbrook Basin has between 682 million metric tons to 2.27 billion metric tons of potash deposits, according to the Arizona Geological Survey. This deposit underlies 600 square miles east of Holbrook, Arizona in the northeastern area of the state. The Petrified Forrest National Park is located squarely in the center of the formation. The site is served by railroad, highway, power and water.

Arizona’s Holbrook geophysical formation is not a new discovery. Minerals were discovered here in the 1960s after initial mineral exploration. Exploratory holes have been drilled over the years, and there is a significant amount of historical information. The top of the potash deposit is situated from 700 to 2,000 feet below the ground surface; most of the deposit is found at about 1,200 to 1,300 feet deep. Maximum thickness of the potash is about 40 feet and averages less than 20 feet. In comparison to the large deposits in Saskatchewan, Canada, Arizona’s potash is about 50% less thick yet 50% shallower, meaning that the mine will be about 50% less expensive to build. Reports of the average grade of Arizona’s potash range from 6% to 20%.

As a number of permanent demand changes appear to be sustaining potash around $400 (well above its historical price range of $100), the potash deposits in the Holbrook Basin in Arizona have become economically feasible to develop. Prospect Global and Passport Potash are competing to take advantage of this opportunity by entering production within the next three to four years. Investors, looking for a way to gain exposure to potash exploration in the United States, may want to consider these two junior potash companies.

At this point, both companies are approximately four years away from any mining operations (lengthy preparation is typical in potash mining). However, both have the requisite resources for building a mine: supportive government, enthusiastic blue-collar labor force, no safety concerns, billions in potash deposits, and easy access to power, water, rail and highway. Exploration-stage potash companies are not the right investment option for every investor, but with the U.S. importing 90% of its consumption, there is an obvious need for new domestic producers.

Read the full profile and report here, which includes a detailed timeline and more project information. It’s long, but defiitely worth a few minutes:

http://seekingalpha.com/article/1072401-american-potash-companies-looking-to-capitalize-on-fertilizer-demand?goback=%2Egde_4146073_member_198081969 

Resource Report Identifies Potash in Real AZ Corridor

Friday, September 28th, 2012

A resource report released this week identified potash resources in the Holbrook Basin that were deemed to pursue further testing.

It summarized: ‘In the opinion of the authors, the investigated part of the PASSPORT Property con-tains sufficient resources to start work on a Preliminary Economic Assessment (PEA). Furthermore, the results justify further expenditures of funds to expand the resource.

It is also the opinion of the authors that it is reasonable to conclude that the potash mineralization as identified in the drill holes may extend to the central eastern part of the property and the Fitzgerald Trust Land, where further drilling and seismic survey-ing can be conducted. In order to form a continuous area of higher classified resources as well as to con-firm the continuity of the deposit, ERCOSPLAN recommends drilling as well as as-saying of five to six drill holes while the PEA is being prepared. The focus should be on the “West Block”, which is part of a potential area for a later mine.’

The Real AZ Corridor has the potential to become the largest source of potash in the world. Three global companies have test drilling underway, or are in the permitting stage.

Read the full report on the Real AZ Corridor website HERE

Potash Projects Hold Big Potential For Corridor

Tuesday, November 1st, 2011

The Real AZ Corridor is Arizona’s energy and economic development corridor. It may also turn out to be America’s potash corridor, with multiple potash market development projects at work in the Holbrook area. It is becoming apparent that the Real AZ Corridor could become one of the world’s leading, long-term producers of potash. That could mean hundreds of construction and mining jobs in the Corridor  — and not just now, but for many years to come.

Learn about Passport Potash’s Holbrook Basin project by watching this informative video HERE.

Learn about the American West Potash project, which is also located in the Holbrook Basin, through this company presentation HERE.

Potash is only one of the many resources that put the ‘R’ in the REAL AZ Corridor, where REAL stands for Resources, Energy, Access and Lifestyle.