• CMSC has confirmed DRA as the preferred EPCM contractor for Colluli
  • DRA is a high quality multi‐disciplinary global Project Management and Engineering group with strong
  • African experience and EPCM delivery capability
  • Critical project execution milestone
  • The EPCM contract is a requirement of potential debt providers

Danakali Limited (ASX: DNK, LSE: DNK) (Danakali, or the Company) on behalf of the Colluli Mining Share Company (CMSC), is pleased to advise that DRA Global (DRA) has been confirmed as the preferred Engineering, Procurement, Construction & Management (EPCM) provider for the Colluli Potash Project (Colluli, or the Project), subject to completion of detailed contract terms. The confirmation of DRA as preferred EPCM contractor for Colluli represents another critical milestone for the Project, reinforcing that Colluli is execution ready.

DRA will be responsible for all aspects of design, project management, procurement, construction management and supervision as well as commissioning of the complete process plant and associated infrastructure, including provision of all temporary construction facilities. DRA will also be responsible for awarding major contracts such as early works, earthworks, structural, mechanical, piping, electrical and instrumentation works, laboratory and permanent camp (including life support, freight and logistics).

Phase 1

FEED review

  • Mobilise EPCM owner's team
  • Critical review of FEED in context of APCM methodology
  • Finalise geotechnical test work
  • Purchase critical equipment including RO plant

Phase 2

Capital estimate and schedule

  • Complete updates to scope of work
  • Investigate optimisation opportunities
  • Develop optimal execution strategy
  • Review and agree on capital estimate and schedule

Phase 3

Detailed Engineering

  • Mine road upgrade
  • Engineering design, development and drafting completed
  • Develop vendor packages and purchase vendor data
  • Development and finalisation of site contracts

Phase 4-6

Procurement, construction and project management

  • Complete procurement
  • Commence and complete construction
  • Commissioning and ramp-up


Danakali, on behalf of CMSC, conducted a competitive EPCM tender process and evaluation for the Project based on the Front End Engineering Design study. The tenders were assessed by Danakali and multinational engineering consultants Turner & Townsend against strict, established evaluation criteria. DRA was the standout in a premium field of global engineering groups.

1 RO plant = Reverse Osmosis plant

Danakali Executive Chairman and CMSC Director, Seamus Cornelius said:

“We are very pleased to confirm DRA as the Project’s preferred EPCM contractor, a global engineering firm of strong repute with extensive experience operating in Africa. We look forward to working with DRA in finalising the last few project sign‐off gates and to commence project execution. Danakali and CMSC continue to achieve critical project and corporate milestones on the way to construction, commissioning and production at Colluli.”
“Awarding the execution of this important Potash project on the African Continent to DRA is testament to DRA’s position as the preferred technical partner for projects in Africa” said Chief Executive Officer of DRA Global,
Wray Carvelas. “DRA is honoured to have been selected by the Colluli Mining Share Company for the execution of the project. We have put together a very strong team for the successful delivery of the project and both our Project Manager and proposed in‐Country Manager have experience in delivering projects in Eritrea.”

The EPCM contract is a requirement of potential debt providers and hence is pivotal to the debt fundraising process.

For more information, please contact:


Seamus Cornelius
Executive Chairman
+61 8 6315 1444

William Sandover
Head of Corporate Development & External Affairs
+61 499 776 998

DRA Global

Christo Visser
Senior Vice President: DRA Global
+61 402 901 555

Corporate Broker – Numis Securities
John Prior / Matthew Hasson / James Black / Paul Gillam
+44 20 7260 1000

UK IR/PR – Instinctif Partners
David Simonson / George Yeomans / Sarah Hourahane
+44 207 457 2020

DRA is a diversified global engineering, project delivery and operations management group, with an impressive +30‐year track record. Known for its collaborative approach and extensive experience in project origination and delivery, as well as turnkey operations and maintenance services, DRA delivers optimal solutions that are tailored to meet clients’ needs.

With expertise in the areas of project development, mining, mineral processing, plant optimisation, operations & maintenance and related water, energy, and infrastructure requirements, DRA delivers truly comprehensive solutions to the resources sector. DRA employs over 4,000 people and offers flexible engineering & operations management services worldwide through 16 offices.

For more information, visit www.draglobal.com.