Fertoz (ASX:FTZ) grows in fertile US market
December 5, 2022Fertoz is on track to deliver 40,000 tonnes of pelletised rock phosphate fertiliser to US farmers early next year.
The phosphatic fertiliser producer has already received initial orders for 18,000 tonnes of its “Fertify” NPK product which will be produced in its soon-to-be-commissioned production facility in Montana.
The facility will ramp up to deliver an expected 120,000 tonnes of the product as part of a 10-year offtake agreement with Replenish Nutrient – a significant supplier in the vast North American market.
The Company said the agreement solidifies Fertoz’s position as the major supplier of high-quality rock phosphate.
“We are extremely pleased with the response by the market to “Fertify” which has quickly exceeded production capacity in the first four months of planned operations,” Managing Director and CEO Daniel Gleeson said.
“With a targeted plant facility start date in late January 2023, we are on track to deliver 18,000 tonnes by April 2023.
“We will book further orders for delivery between May and November when production capacity is available within the current plant and a potential expansion under consideration of an additional plant in 2H 2023.
“This early demand reflects need for the high-quality, value-added product we had envisioned for the market and look forward to making this available more broadly as the demand continues to grow.”
Price Action
The Company’s ASX-listed shares are 18c at Market Open.
About Fertoz
Fertzo is a leading supplier of sustainable fertiliser products across North America. The Company continues to expand, signing an additional offtake agreement for 10 years for 270,000 tonnes of rock phosphate, commencing in 2023. Combining this with the offtake agreement from our Fernie (BC) mine of 10,000 tonnes per year for another four years, we see the transition to more sustainable agriculture accelerating in Canada and the USA. Fertoz is upbeat about playing a vital role in this as the significant supplier of rock phosphate across North America. Hence, our conservative budgeting of 40,000 tonnes in 2023 will become the tipping point for transforming Fertoz into a 300,000+ tonnes per annum rock phosphate operation by 2026, opening even greater opportunities for our business.
Fundamental Data
Please note the following valuable information before using this website.
Independent Research
Market Open Australia is intended to be used only for educational and informative purposes, and any information on this website should not be taken as investment advice or guidance. It is important to conduct your own research before making any investment decisions, which should be based on your own investment needs and personal circumstances. Any investment decisions based on information contained on this website should be taken in line with independent financial advice from a qualified professional or should be independently researched and verified.
