Highfield Resources Ltd has clarified that the Government of Navarra in Spain has not forfeited the Goyo Mining Concession, an integral part of its flagship Muga Potash Project in northern Spain. This clarification follows a recent court ruling that identified a procedural flaw in the internal administrative coordination concerning the concession’s granting.
Ruling under review
The company has been informed that the government is currently reviewing the ruling to address the procedural issue promptly. Goyo is one of three mining concessions associated with the Muga project, with production expected to commence only after the sixth year of the mine plan.
The Government of Navarra stated: “We have contacted the (Spanish) Ministry and are jointly analyzing the steps to be taken, which must be coordinated between the Ministry and the governments of Aragon and Navarra. Our commitment is to rectify this procedural flaw to move forward as soon as possible, enabling the implementation of this project, which has been thoroughly evaluated and coordinated by all administrations.”
Overview of Muga project
Highfield Resources aims to begin full-scale construction of the low-cost, low-capex Muga Project as soon as possible, having completed initial site preparation and secured all necessary permits and key licenses. The potash tenements—Muga-Vipasca, Pintanos and Sierra del Perdón—are located in the Ebro potash-producing basin in Northern Spain, spanning approximately 250 square kilometers.
The Muga Mining Concession was granted in 2021, followed by the ramp construction license in Aragón in 2022 and the process plant construction license in Navarra in 2023.
A unique opportunity
The Muga Project stands out due to its shallow mineralization and the absence of aquifers above, eliminating the need for a shaft. The region boasts high-quality, readily accessible infrastructure, making it strategically valuable. Additionally, Muga is situated in a vital European agricultural area facing a potash supply deficit.
Since February 2022, geopolitical developments in Russia and Belarus have underscored the strategic importance of the Muga Project for Spain and the European Union, enhancing its profile as a critical resource.
