Sirius Minerals (LON:SXX) updated the market on Thursday, following a “productive quarter” for the fertilizer development company.
The company, which has been recently initiated into the FTSE 250, updated the market on its North Yorkshire project and on the first quarter of the year.
In the statement, the company confirmed that their North Yorkshire polyhalite project remained with budget and on schedule.
“The contract is expected to be executed in early Q3 2017 on terms consistent with those previously articulated to the market,” it explained in its statement.
“The company is in discussions with the Hochtief Murphy Joint Venture in relation to agreements for early works activities which will form the foundation of the broader tunnelling programme.”
First production at the new fertiliser is set to commence during 2021, with peak production expected to be reached by 2026, with output of 20m tonnes of polyhalite annually.
Looking ahead, Sirius is sourcing possibilities to fasten the completion to the components of the shaft and tunnel, and to potentially accelerate progress on the project.
Sirius said they were aiming to “further de-risk the implementation of the construction project and potentially create opportunities for shortening the project schedule”.
In addition, the company is also looking to secure a second round of financing to help foster successful completion.
Moreover, the company continues to engage with potential customers in Europe, Brazil, South East Asia and Africa.
“Each of these opportunities represents material volume opportunities in major long-term markets for Sirius,” the group noted.
“The company is encouraged by the increasing market interest and positive engagement from multiple parties in these key markets,” Sirius continued.
Sirius Minerals was founded back in 2003, and was recently added to the main market of the London Stock Exchange in April 2017.
Despite reporting an encouraging set of results for the quarter, shares in the company are currently down 3.46 percent as of 13.04PM (GMT).