BCI Minerals (ASX:BCI) awarded a construction contract for a sulphate of potash pilot plant at its Mardie salt operation and potash project in Western Australia to Bluestar Lehigh Engineering Institute, according to a Tuesday filing with the Australian bourse.

Bluestar will design, procure, supply, assemble, deliver, and install the 150-kilogram per hour containerized pilot plant, with engineering consultancy eXcellerate providing independent oversight, per the filing.

BCI Minerals said it will fund the pilot plant expenditure from existing debt facilities, and within the approved Mardie capital budget of about AU$1.44 billion.

The piloting is expected to run for about 12 months, and commissioning is targeted for the start of the second quarter of fiscal 2028.

The company's shares fell 1% in recent Tuesday trade.