American Marconi Wireless News - Mosaic Announces Agreement for Sale of Potash Mining Operations in Brazil to VL Mineração

Mosaic's operations at the Taquari mine require capital investments exceeding $25 million to ensure continued viability. Mosaic believes that the capital required to continue to own and operate Taquari has more attractive uses elsewhere within the company. VL Mineração has expressed a strong interest in making the necessary investments to extend the Taquari operations to the benefit of the local economy, employees and the community.

"One of our priorities is to elevate our core business, and one way to do that is by reallocating capital to ensure we're investing where we have the greatest capacity to succeed. This sale advances progress toward that priority - allowing us to focus capital on opportunities where we have a competitive advantage and are expected to generate higher returns," said Bruce Bodine, Mosaic's President and CEO.

"This agreement allows us to contribute to the development of Brazilian agriculture, including maintaining and expanding the domestic potash supply in the fertilizer market, as we are confident the mine will be profitable and efficient under our ownership and operating model," said Daniel Moreira, CEO of VL Holding.

About The Mosaic Company
The Mosaic Company is one of the world's leading producers and marketers of concentrated phosphate and potash crop nutrients. Through its Mosaic Biosciences platform, the company is also advancing the next generation biological solutions to help farmers improve nutrient use efficiency and crop performance sustainably. Mosaic provides a single-source supply of phosphate, potash, and biological products for the global agriculture industry. More information on the company is available at www.mosaicco.com.

About VL Mineraçãoand VL Holding

VL Mineração Ltda is a subsidiary ofVL Holding, a privately-owned Brazilian agribusiness group with 20 years of expertise in farming and genetics. Its shareholders belong to a family with more than 70 years of experience in agriculture and a diversified footprint in mining, food, banking and energy, among several other businesses.

Contacts:

Investors:
Jason Tremblay, 813-775-4282
[email protected]

Joan Tong, CFA, 863-640-0826
[email protected]

Media:
Ben Pratt, 813-775-4206
[email protected]

This release contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Such statements may include, but are not limited to, statements about the anticipated sale of Mosaic Potassio Mineração Ltda, the entity that operates the Taquari-Vassouras potash plant located in Sergipe, Brazil; the expected timing and terms of the transaction; the potential financial and operational impacts of the sale; the occurrence of any event, change or other circumstances that could give rise to the termination of the applicable agreement; and expectations regarding the Company's future and strategic direction. Such statements are based upon the current beliefs and expectations of the Company's management and are subject to significant risks and uncertainties. These risks and uncertainties include, but are not limited to, the ability to complete the transaction on the expected terms and timeline; required regulatory approvals, including approval by the Brazilian Administrative Council for Economic Defense; political and economic instability and changes in government policies and regulations; changes in market conditions; and operational disruptions; as well as other risks and uncertainties reported from time to time in The Mosaic Company's reports filed with the Securities and Exchange Commission. Actual results may differ from those set forth in the forward-looking statements.

SOURCE: The Mosaic Company

View the original press release on ACCESS Newswire

S.Gregor--AMWN