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Minbos and Sagrind to establish NPK fertilizer blending plant in Angola

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World Fertilizer,

Minbos Resources and Angolan agribusiness Sociedade Agroquímica Industrial, S.A. (Sagrind) have entered into a Memorandum of Understanding (MoU) to establish a NPK fertilizer blending plant and distribution business in Angola’s Malanje region.

The Government of Angola has allocated a 20-hectare site in Malange for the NPK plant.

Sagrind will provide local agricultural management and knowledge, including its network, to fulfill administrative and legal aspects of the projects.

Minbos is expected to provide the scientific and technical knowledge and perform the feasibility studies. Any project partnership company that is formed shall apportion equity ownership at incorporation of 60% Minbos - 40% Sagrind. Minbos anticipates that its financial contribution to the joint venture will not exceed US$1 million in the first 12 months.

Minbos has received indicative costings for a 250 000 tpy blending plant, XRF soil minilab (including handheld scanners), consulting services to optimise soiland fertilizer chemistry with a tender for the blending shed to be undertaken shortly.

The Malanje Corridor is home to more than 6 million hectares of arable and uncultivated land that shares the same latitude, rainfall (1-1.5 meters) and growing potential to Brazil’s Cerrado region.

“The signing of this agreement with our new local partner paves the way for the Company to ramp up its plans for delivering a locally produced NPK fertilizer and associated products within the Malanje growing corridor. Our plans for the region have again been supported by the Government who has allocated us a site for a proposed NPK plant.

Minbos will continue to invest in Nutrient production and distribution businesses that are synergistic with the development of agricultural land and logistics. We will leverage the Cabinda Phosphate projectinto multiplefunded strategic businesses that underpin the offtake and develop our Nutrient business,” said Minbos CEO, Lindsay Reed.

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