A MINING firm hoping to start a £1.5bn potash project in North Yorkshire says it can now drill deposits of more than 2.6bn tonnes, which will include a higher quality grade of the product.

Sirius Minerals wants to mine vast amounts of polyhalite fertiliser at Sneaton, near Whitby, North Yorkshire, and has an agreement with a leading Swiss fertiliser trader to supply 1.75m tonnes of polyhalite each year.

The firm says its York Potash Project, which will lie beneath the North Yorkshire National Park and create at least 1,000 jobs, now has mineral resources of about 2.6bn tonnes, an increase from previous estimates of 2.2bn.

The results were released by the company to the London Stock Exchange, with bosses saying 820m tonnes of polyhalite had now been upgraded to indicated status by experts, meaning it has internationally-recognised status and is more viable for financial backers to help construct the project.

Chris Fraser, Sirius Minerals' managing director and chief executive, said: “The scale and quality of the York Potash deposit has been known about for some time, but the upgrade to an Indicated status is another key milestone.

“It is one that will give further comfort in the strength of the project and its globally significant deposit.”

A planning decision on the mine is expected from the North York Moors National Park Authority in July.