Highfield Resources (ASX:HFR) has signed its first memorandums of understanding with 3 fertiliser companies active in the Spanish and French markets.
The MoUs represent up to 320,000 tonnes per annum of K60 Muriate of Potash from its Muga mine.
Ongoing discussions are underway with additional European and North African buyers for the remaining production available.
Managing Director Anthony Hall has indicated the focus on Spain and Southern France is deliberate and is due in part to the potash price premium in the region and the ability of the company to deliver on a ‘just-in-time’ basis.
Highfield Resources reported a net loss of $2.7 million at 31 December 2015.