Chatham Rock Phosphate Ltd. has once again advanced the future prospects of its Korella North mine with the supply of lump phosphate samples to a yellow phosphorus producer in Malaysia.
The Malaysian phosphate producer Cahya Mata Phosphates is based in Sarawak and utilizes abundant sustainable hydroelectric power in its three electric arc furnaces. With the three furnaces in full operation Cahya Mata Phosphates has a demand for 440,000 tonnes per annum of lump phosphate.
The plants produce yellow phosphorous, technical grade phosphoric acid and food grade phosphoric acid (to be used as feedstock for animal feed, fertilizer and other products), with an annual production capacity of 48,000 metric tons (MT), 75,000 MT and 60,000 MT, respectively. The recent sample sent to Cayha Mata is the second sample sent to them and subject to further testing, negotiations for an offtake agreement will commence.
The supply of samples to Malaysia follows the earlier supply of lump phosphate samples to a yellow phosphorus producer in China.
The initial Karumba export facility is planned to handle some 200,000 tpa of lump phosphate with the product being transported by road train from the Korella North mine to an area at Karumba to be leased from Ports North.
Meanwhile, to further increase availability of lump phosphate from Korella North studies have commenced into briquetting of the phosphate fines that would normally be sold into the domestic market.
A suitable source of carbon would be included in the briquettes to add further value since yellow phosphorus production requires carbon as a reductant. Currently in China some 20 per cent of the feed for yellow phosphorus plants are briquettes.
China last year imported just under four million tonnes of phosphate, primarily for yellow phosphorus production.
About yellow phosphorus
Yellow phosphorus, also referred to as P4, is used as the base to produce thermal-grade phosphoric acid/purified phosphoric acid that is used in the manufacture of lithium-iron-phosphate batteries.
About Cahya Mata Phosphates Industries Sdn Bhd
Cahya Mata Phosphates Industries Sdn Bhd (also referred to as Cahya Mata Phosphates), formerly known as Malaysian Phosphate Additives (Sarawak) Sdn Bhd, is the first integrated phosphate complex in Malaysia. The plant is located strategically opposite Samalaju Port in Samalaju Industrial Park and will increase the group’s footprint across the Sarawak Corridor of Renewable Energy (SCORE), as well as strengthen its earnings base in the future.
The three electric arc furnaces require an annual supply of 440,000 tonnes of lump phosphate.
