PhosCo’s Tunisian Breakthrough: First 100% Foreign-Owned Phosphate Permit

PhosCo’s Strategic Win in Tunisia

PhosCo Ltd (ASX: PHO) has achieved a significant milestone with the formal granting of the Sekarna phosphate exploration permit in Tunisia. Covering an extensive 128 square kilometres, Sekarna represents the first phosphate permit awarded entirely to a foreign investor by the Tunisian Government, underscoring the growing trust and collaboration between PhosCo and Tunisian authorities.

This development follows closely on the heels of the advanced Gassaat project’s approval and a landmark non-binding Memorandum of Understanding (MoU) signed with the Tunisian Ministry of Industry, Mines and Energy and the European Bank for Reconstruction and Development (EBRD). Together, these moves position PhosCo as a leading player in Tunisia’s phosphate sector, a region known for its rich mineral endowment and strategic importance in global fertilizer supply chains.

Geological Promise and Project Potential

The Sekarna permit is geologically significant, considered an early-stage analogue of the nearby Gassaat deposit, which boasts a substantial resource of 146.4 million tonnes at 20.6% P2O5. Located just 10 kilometres to the southwest, Sekarna shares similar large-scale and straightforward geology, with abundant outcropping rock phosphate visible beneath the upper Eocene cap rock.

Historical data dating back to early 20th century studies and more recent drilling campaigns have identified phosphate mineralisation with grades ranging between 19.7% and 27.8% P2O5. PhosCo’s field teams have mapped phosphate exposures over several kilometres with thicknesses exceeding 5 to 10 metres in key areas, highlighting the deposit’s potential scale and quality.

Exploration and Development Outlook

PhosCo plans to commence detailed fieldwork shortly, focusing on targeted mapping and geochemical sampling to better understand the mineralisation, including a notable base metal overprint of zinc, lead, and barite. This could open avenues for by-product revenue streams or even a standalone base metals project, pending metallurgical test results.

Following this, a scout drilling program is anticipated to further delineate the resource and support future feasibility studies. The company’s Managing Director, Taz Aldaoud, emphasised the momentum building around PhosCo’s Tunisian portfolio, expressing confidence in the government’s support and the strategic value of these permits for investors and the local economy alike.

Broader Implications for PhosCo and Tunisia

The Sekarna permit grant not only enhances PhosCo’s asset base but also signals Tunisia’s openness to foreign investment in its mineral sector, particularly in phosphate, a critical input for global agriculture. The collaboration with the EBRD and Tunisian government through the MoU further strengthens the framework for sustainable development and financing of phosphate projects in the Northern Phosphate Basin.

With the formal granting of the Gassaat permit expected imminently, PhosCo is poised to consolidate its position as a key phosphate developer in the region. This could have meaningful implications for global phosphate supply dynamics, especially amid rising demand for fertilizers driven by food security concerns.