Salt Lake Potash Ltd (ASX:SO4) (LON:SO4) has completed civil earthworks at the process plant and non-process infrastructure site of the Lake Way Project in Western Australia’s Goldfields region.

Non-process infrastructure includes accommodation, power, raw water storage and buildings.

Early process plant construction work is underway and the project remains on schedule for December 2020 commissioning.

Shares in the company have been more than 11% higher to an intra-day high of A39.5 cents.

SO4 has implemented plans to minimise potential impact from COVID-19 at its site operations and has to date seen no material impact to suppliers.

The Lake Way Village construction is 60% complete and will be housing workers from the middle of this month.

Process plant and site map.

“On time and on budget”

Chief executive officer Tony Swiericzuk said: “The current volatile economic environment and a relatively unchanged SOP price highlight the resilience of the global agricultural sector.

“Our Lake Way Project continues to rapidly progress and remains on time and on budget with the achievement of another significant milestone.”

Completed work includes pad preparation for construction of the process plant, power plant, warehouse, workshop, administration and site village, as well as construction of the raw water pond, run-off settlement ponds and site access roads.

First revenue delivery Q1 2021

SO4 has engaged with its suppliers and is not aware of any impact from the COVID-19 shut-down as it plans the delivery of key components within the project schedule.

The company expects to be delivering first revenues in Q1 2021 and notes that in face of the current economic volatility, SOP markets have remained very resilient with no material changes to the published benchmark indexes.