Exclusive: Kanga Potash seeks to raise about $500m for Republic of Congo development

By David Whitehouse
Posted on Wednesday, 27 July 2022 11:05

China is limiting phosphate exports to try to protect domestic fertiliser supply. China Daily via REUTERS

Kanga Potash is seeking to raise about $500m for the first phase of its potash development project north of Pointe Noire in the Republic of Congo, executive chairman Stéphane Rigny tells The Africa Report.

About 60% of the amount will be debt and 40% equity, including some mezzanine finance, Rigny says. A “significant” part of the equity has already been raised, he says, and the company has received letters of intent on debt financing from “several parties.” Kanga Potash is being advised by Vermilion Partners and Natixis.

The project is now moving to pre-construction phase. Kanga Potash this month received its exploitation licence, while its mining convention is awaiting approval by the Republic of Congo parliament. The approval is “an administrative process” which will hopefully be completed by the end of 2022, Rigny says. “I don’t foresee any major roadblocks.”