Potash Ridge Signs Offtake MOU With GSFC Agro Tech Limited
TORONTO, April 27, 2018 (GLOBE NEWSWIRE) -- Potash Ridge Corporation (the “Company”) (TSX:PRK) is pleased to announce that it has signed a Memorandum of Understanding (“MOU”) with GSFC Agro Tech Ltd. (GATL) for supply of 50000 MTPA SOP off take from its Blawn Mountain SOP project in Utah.
Andrew Squires, the Corporation's CEO commented: "Executing an MOU for supply of 50000 MTPA SOP from a 100% subsidiary of a major Indian joint sector fertilizer company is a significant accomplishment for the Company and a key stepping stone in the financing and development of the Blawn Mountain project. The company has been in negotiations with other SE Asia SOEs (State Owned Enterprises) since Q3 2017 and anticipates closing additional offtake MOUs in the very near future with the intent of achieving offtake commitments for a majority portion of the initial 255,000 tons per year of potassium sulphate (SOP) production capacity. The Company will continue to provide updates as these discussions move forward”
About GATL
GATL is wholly owned subsidiary & marketing wing of Gujarat State Fertilizers & Chemicals Ltd., (GSFC), which is engaged, inter alia, in the business of the production of fertilizers & chemicals. Gujarat State Fertilizer and Chemicals ltd. (GSFC) is by revenue the 2nd largest fertilizer company in India. In the 2016-17 fiscal year, GSFC produced more than 1.5 million metric tons of fertilizers and had total revenues of approximately US$ 843 million with after tax profits of about US$ 64 million. Two thirds of GSFCs total revenue or some US$ 567 million was from the production and sale of fertilizers. GSFC is also a producer of industrial chemicals, including caprolactam, a raw material for the production of nylon. Industrial product sales accounted for about US$ 267 million in 2016-17.
To support its production of fertilizers such as urea, ammonium sulphate, diammonium phosphate and complex NPK fertilizers, GSFC is a major importer of phosphate rock, phosphoric acid, ammonia, MOP and sulphur. The company’s future plans include the use of SOP for the production of water soluble and specialty fertilizers. Gujarat Green Revolution Company Ltd., an associate Company of GSFC is engaged in the promotion and use of modern farming techniques, such as micro irrigation to conserve water, and also provides agronomy services to the of farmers in the use of this technology to sustain agricultural production in Gujarat.
In addition to its extensive operations in India, GSFC has offshore investments in the Tunisian Indian Fertilizer Company, a phosphoric acid producer, in Karnalyte Resources, a potential producer of MOP potash in Saskatchewan, and is studying the possibility of constructing an ammonia – urea complex in the Republic of the Congo (Congo Brazzaville).
On behalf of the Board of Directors
POTASH RIDGE CORPORATION
Andrew Squires
President & CEO
Contact Information:
Andrew Squires
President and Chief Executive Officer
Office: 416-362-8640 ext. 104
asquires@potashridge.com
FORWARD LOOKING STATEMENTS: This news release contains forward-looking statements, which relate to future events or future performance and reflect management’s current expectations and assumptions. Such forward-looking statements reflect management’s current beliefs and are based on assumptions made by and information currently available to the Company. Investors are cautioned that these forward looking statements are neither promises nor guarantees, and are subject to risks and uncertainties that may cause future results to differ materially from those expected. These forward-looking statements are made as of the date hereof and, except as required under applicable securities legislation, the Company does not assume any obligation to update or revise them to reflect new events or circumstances.All of the forward-looking statements made in this press release are qualified by these cautionary statements and by those made in our filings with SEDAR in Canada (available at www.sedar.com).