Sage Potash

Overview

Potash is an essential component for growing the food you eat every day. It is a potassium-rich mineral that supports the global agriculture industry. Roughly 95 percent of all potash is used in fertilizers to promote plant growth, boost crop yields, and build disease resistance. As a result, potash is a vital tool to combat food insecurity — a situation that affects 800 million people worldwide — by ensuring the best possible yield of every crop.

The United States is the largest global consumer of this potassium-rich mineral, yet it imports 93 percent of its potash. Except for Canada, most of the world’s potash comes from high-risk jurisdictions, such as Belarus, China, and Russia. The COVID-19 pandemic has shed light on the flaws of the just-in-time (JIT) supply chain that many agricultural companies depend on for potash shipments, leading to a realization that the US agricultural sector needs to increase its domestic production of potash dramatically.

Sage Potash (TSXV:SAGE, OTCQB:SGPTF) is a Canadian company vested solely in the Sage Plain Property and intends, through sustainable mining techniques, to become a prominent domestic potash producer within the Paradox Basin in Utah.

The company’s flagship project, Sage Plain Potash Property, is located in the Paradox Basin, potentially containing roughly two billion tons of potash., as well as super saturated (40 percent minerals, 60 percent water) multi-commodity brines containing valuable minerals including Lithium, Bromine and Potassium. Utah is a mining-friendly jurisdiction with a steady supply of skilled workers. In addition, the project has a robust infrastructure that includes road and electricity access that facilitates faster exploration and development.

Sage Potash understands the importance of a positive environmental, social and governance (ESG) rating. Therefore, the company has embraced a modern method of potash mining that has significantly less impact on the environment than historical methods of mining the mineral.

Rather than underground or strip mining, the company will use in-situ solution extraction of potash-rich brine to the surface for solar or mechanical evaporation and granulation. Using this method, the company is preparing an engineering plan for an initial production of 150,000 tonnes of potash per year. Concurrently, the company will continue to expand overall resource estimates that can support the potential of raising production to 2 to 3 MMT/year.

In an interview, Sage Potash CEO Peter Hogendoorn stated the value proposition of its project’s location. “Utah is a mining-friendly state, and our deposit is ideally situated to meet local and regional potash demand. Local production will save distributors and co-ops $150 to $200 per ton in transportation costs usually incurred from imported potash. Our team has years of experience and knowledge of local fertilizer distribution channels for both off-take and the truckload markets.”

An experienced management team leads Sage Potash towards its goal of becoming a valuable potash supplier in the United States. Peter Hogendoorn has worked in the private and public resource sector for over 30 years and has experienced acquiring and improving assets.

Company Highlights

• Sage Potash (TSXV:SAGE, OTCQB:SGPTF) is an exploration and development company focused on developing a US domestic potash supply.
• Flagship project: Sage Plain Potash Property in the Paradox Basin, known to host extensive, underdeveloped, world-class potash resources (2 billion tons)
• Tier 1 potential with a large-scale and high-grade inferred resource of 280 million metric tonnes (MMT) of potash
• Sage Plain potash property is estimated to produce 150,000 tonnes of potash annually, with plans to expand
• Domestic production will have $150 to $225 per ton price advantage over Saskatchewan due to rising rail costs caused by cancelled oil pipelines.
• Partnered with best-in-class engineering firm RESPEC LLC (responsible for planning and execution for the K+S Potash solution mine, the BHP Jansen project, and many other advanced projects, globally).
• Sage Potash possesses nearly 90,000 acres of potash land in Utah, strategically located in proximity to infrastructure, further lowering transportation costs.
• Experienced management team with expertise in corporate management, finance and the resource sector