A recent report by Ballieu Holst Research highlighted Danakali Ltd. (ASX:DNK; OTC:DNKLY) and the Colluli Sulphate of Potash (SOP) project in Eritrea. The deposit is globally unique and demonstrates industry leading capital intensity for the production of the premium potash type (SOP), and has the ability to produce a broad range of potash products.
Danakali Ltd (ASX:DNK) is focused on the Colluli Project in Eritrea, with Somers and Partners making a site visit. The broker found the country to be safe, and they have assigned a Buy recommendation and $1.03 target price to Danakali.
The following is an extract from the report.
Initiating Coverage: World Class Project but Perceived Country Risk
South Boulder Mines Ltd (ASX: STB) (“South Boulder” or “The Company”) wishes to provide an update on negotiations with the Eritrean Government regarding its participation interest in the Colluli Potash Project.