Dual-listed potash developer Danakali, on behalf of the Colluli Mining Share Company, has chosen DRA Global as the preferred engineering, procurement, construction and management provider for the Colluli potash project in Eritrea.

The confirmation of DRA as the preferred EPCM contractor for Colluli, subject to completion of detailed contract term, represents another critical milestone for the project, reinforcing that Colluli is execution ready.

DRA, who is a multi-disciplinary global project management and engineering group with strong African experience and EPCM delivery capability, will be responsible for all aspects of design, project management, procurement, construction management and supervision as well as commissioning of the complete process plant and associated infrastructure, including provision of all temporary construction facilities.

DRA will also be responsible for awarding major contracts such as early works, earthworks, structural, mechanical, piping, electrical and instrumentation works, laboratory and permanent camp (including life support, freight and logistics).

Danakali, on behalf of Colluli Mining Share Company, conducted a competitive EPCM tender process and evaluation for the Project based on the front-end engineering design study. The tenders were assessed by Danakali and multinational engineering consultants Turner & Townsend against strict, established evaluation criteria. DRA was the standout in a premium field of global engineering groups.

“We are very pleased to confirm DRA as the project’s preferred EPCM contractor. We look forward to working with DRA in finalising the last few project sign-off gates and to commence project execution,” says Danakali executive chairman and Colluli Mining Share Company director Seamus Cornelius.

“Danakali and CMSC continue to achieve critical project and corporate milestones on the way to construction, commissioning and production at Colluli.”

“Awarding the execution of this important potash project on the African continent to DRA is testament to DRA’s position as the preferred technical partner for projects in Africa” says DRA Global CEO Wray Carvelas.

“DRA is honoured to have been selected by the Colluli Mining Share Company for the execution of the project. We have put together a very strong team for the successful delivery of the project and both our project manager and proposed in-country manager have experience in delivering projects in Eritrea.”

The EPCM contract is a requirement of potential debt providers and hence is pivotal to the debt fundraising process.