Sage Potash: A Sustainable Solution For Food Security

How local potash production is the solution to foreign dependency

Despite having the world's fifth largest potash reserves, the United States imports 95% of its potash, exposing the nation to unnecessary food security risks as global supply chains falter in the aftermath of the Covid-19 pandemic and recent political sanctions. Sage Potash Corp., a recently-listed potash exploration company on the Toronto Stock Exchange (TSXV:SAGE), aims to eliminate these issues by developing a cost-effective sustainable supply of potash locally in the US.

Sage values local, accessible, and efficient potash production to eliminate the costly shipping fees, import charges, and food security risks that come with outsourcing this essential mineral. North American citizens and farmers alike are positioned to benefit from the implementation of an American potash production operation as it would promote cost consistency that American farmers can rely on.

Located in the Paradox Basin in Utah, Sage is optimally positioned to tap into a high-grade and large-scale resource deposit. The Paradox Basin is believed to contain more than 25% of US potash, yet it only produces 3.5% of US demand. The US government has already approved a spending plan of 1 Billion USD aimed at increasing American potash and fertilizer production, further highlighting the essentiality of local potash production, particularly in a region so rich with resources.

Sage's innovative approach involves solution mining, a process that is far more efficient, cost-effective, safe, and environmentally friendly than traditional mining practices. This technique involves injecting a salt saturated brine solution underground to access potash reserves. The upfront capital cost of a solution-mining operation is typically far lower than its conventional mining counterpart, while also allowing for extraction from far greater depths.

By establishing a local and reliable potash supply chain for the US, Sage is dedicated to protecting North Americans from food security risks.

The Growing Opportunity

Sage Potash Corp. provides an opportunity to satisfy the growing demand for locally produced potash in the US while simultaneously keeping food production high and food security concerns under control. Its advanced solution-mining technologies, access to large-scale and high-grade potash resources, and short timeline to production make it an attractive investment opportunity for farmers and investors alike.

Head to www.sagepotash.com for more information, or scan the QR code below.

Reliable information informs policy and is valuable to researchers who are trying to measure practice efficiencies. Bruulsema knows this can be controversial for farmers, but more data needs to be collected and shared, even just with a trusted aggregate rather than a government organization.

“Someone needs to know what’s been done where, so that the science-based models used to estimate greenhouse gas emission have reliable information on what’s been done so that they can predict what the benefit of those practices is in terms of mitigating environmental problems.”

Policy Needs

Federal nitrogen reduction policy has been keeping Bruulsema busy for the last few years. The government announcement in December 2020 was the first anyone in the fertilizer industry heard about plans to set a reduction target, and collaboration with the industry evolved rather slowly.

“We’ve successfully had some good meetings where we exchanged perspectives on how realistic that target was to achieve and what were the obstacles in reaching that target,” he says.

The government has already recognized the cost-sharing potential of nitrogen inhibitors since there are large reductions of emissions without the direct benefit to farmers.

“Nitrous oxide doesn’t have any negative effects directly, specifically on that farm, so it’s really a societal benefit by reducing nitrous oxide emissions. Those are products that are worthy of cost sharing,” says Bruulsema.

Further discussion is happening on which nitrogen inhibitors would be chosen for a cost-sharing program. “Not every product on the market that has the claim to be a nitrification inhibitor is necessarily as efficacious as another. So, there’s a lot of work to be done to sort out some of those questions.”

If farmers are going to reduce their nitrogen inputs, it must be done without “jeopardizing product productivity and profitability of farmers,” says Tenuta. They are working at the University of Manitoba to understand how these costs become barriers to adoption.

Another barrier to adoption is government mandates. This does not sit well with farmers, he says, but if adopting a practice will help farmers save money on their fertilizer bill, that becomes more of an incentive for adoption.

Other Emission Factors

While fertilizer reduction practices have been important to profitability and minimizing losses, Bruulsema also encourages other indirect emission reduction practices, like planting timing, controlling weeds, nitrogen-fixing plants in the crop rotation and avoiding soil compaction.

One other point Bruulsema stresses is that the industry itself is focused on sustainable and environmentally friendly fertilizer production. Development of green and blue ammonia products have become a focus of the industry, with the production process getting its own carbon footprint overhaul through renewable energy sources. There is no clear date for their release into Canadian markets, but Bruulsema is expecting new products in the next three to five years. However, availability and effective pricing has already been a challenge for the industry.

“We need to be prepared for a future where we’re not just simply using the same products that we are used to using now, particularly urea.”