Verde announces partnership with leading carbon developer, WayCarbon, to monetise carbon credits

Singapore. Verde AgriTech Ltd (TSX: “NPK”) (“Verde” or the “Company”) is pleased to announce a strategic partnership with WayCarbon to bolster the development and monetization of its carbon removal project.

WayCarbon is 80% owned by Banco Santander, one of Europe’s largest banks. It is a leading developer of carbon removal projects and a pioneer in climate change mitigation and sustainability solutions. The partnership is based on Verde’s specialty multi-nutrient potassium fertilizer K Forte® (the “Product”) and its potential to permanently capture CO2 through Enhanced Rock Weathering.

“This partnership with WayCarbon marks a new chapter for Verde. It represents a crucial step towards monetization of Verde’s own significant carbon removal potential and allows the Company to collaborate on new projects with Brazil’s most credible carbon developer. WayCarbon has been active in this sector since 2006 making it a veteran with a success record to match. I believe that the combination of our attributes has the potential to spawn one of the world’s largest carbon removal platforms,” celebrated Cristiano Veloso, Verde’s Founder and CEO.

WayCarbon has a history of high-quality carbon projects in Brazil. Within the partnership, WayCarbon will support Verde with the development, certification, marketing and monetization of its carbon credits. In addition to leveraging Verde’s Product, the partnership extends its scope to encompass Verde’s origination and utilization of other minerals capable of carbon capture through Enhanced Rock Weathering.

“We are thrilled about our partnership with Verde AgriTech. At WayCarbon, our mission is to drive the transition to a Net-Zero economy. This transformation is a multi-sectoral endeavour. The distinctive properties of Verde’s products, coupled with Verde’s extensive proven mineral reserves and their strategic proximity to key agricultural regions of the country, present a unique opportunity to advance the decarbonization of the Brazilian agricultural sector,” extolled Breno Rates, WayCarbon’s Founding Partner and head of Carbon Projects.

 

Verde’s Carbon Removal Potential

Located in São Gotardo within the state of Minas Gerais, Brazil, Verde’s operations are underpinned by one of the world’s largest potash resources, at 5.9 billion tons as approved by the Brazilian Mining Agency, of which 3.32 billion tons have been certified under Canadian National Instrument 43-101.[1]  Thereupon, Verde has a total capture potential of 0.7 gigatons of CO2 from the atmosphere,[2] which would establish it as one of the world’s largest carbon capture projects.

As Brazil’s largest potash producer by capacity, Verde has an annual production capacity of 3 million tons.[3] With no further CAPEX investment, the Company is capable of capturing up to 0.36 million tons of CO2 per year based on its existing production facilities.[4]

 

About WayCarbon and Santander

WayCarbon is a global company specializing in solutions aimed at transitioning to a net-zero economy. Founded in 2006, it leverages scientific and business knowledge, enhanced by technology, to support companies and governments in their climate change and sustainability strategies.

WayCarbon boasts a portfolio of over 500 private sector clients, in addition to extensive experience serving multilateral organizations (UNDP, CAF, World Bank, IADB) in areas of mitigation, adaptation, and the structuring of emission reduction and carbon removal projects.

The company’s consultancy services, specialized software, and high-quality carbon projects are designed to support, in an integrated manner, companies and governments on their decarbonization journeys. Its technological solutions are utilized by clients in 40 countries.[5]

In addition to its comprehensive expertise and experience acquired over 18 years in the field of climate change and sustainability, one of WayCarbon’s differentiators is its connection with controlling shareholder, Banco Santander. Headquartered in Spain, Banco Santander is a global financial institution with a significant presence in Brazil. Santander plays an important role in supporting sustainable development and is an active member of the Net Zero Banking Alliance, demonstrating its solid commitment to leading innovation and promoting sustainability.

Santander is already carbon-neutral in its own operations and aspires to achieve net-zero emissions across the entire group by 2050, in support of the Paris Agreement’s goals concerning climate change.[6] With a large and strategic presence in the Brazilian agricultural sector, the Bank aligns itself with the growing demands for responsible and efficient agricultural practices and brings with it vast financial expertise in the sector.

Santander’s proactive approach reflects its commitment to decarbonizing its value chain. This initiative not only reinforces Santander’s position as a leader in sustainability, but also expands the possibilities for companies to collaborate and partner with WayCarbon. As an integral part of this banking ecosystem, WayCarbon is positioned to offer solutions and strategic partnerships that transcend conventional borders. Together, WayCarbon and Santander have the potential to promote a significant transformation of their partners, leading them towards more sustainable, eco-efficient practices, aligned with global decarbonization objectives that boost the growth and competitiveness of their businesses.

 

Enhanced Rock Weathering

Verde has developed partnerships with leading British universities in Soil Science[7] that have proven Verde’s Product has the potential to capture carbon dioxide from the atmosphere through Enhanced Rock Weathering (“ERW”).

ERW refers to a suite of techniques aimed at accelerating natural rock weathering, which involves the breakdown of minerals and the absorption of CO2 from the atmosphere. In nature, the process takes centuries as the rocks’ surface is gradually weathered down and reacts with CO2 to form new stable carbonate minerals or bicarbonate ions, effectively removing CO2 from the atmosphere and storing it for thousands of years.

By crushing and grinding such minerals and spreading it over large areas, ERW significantly accelerates the absorption of CO2. The speed of mineral weathering can be calculated using a ‘shrinking core model’, which assumes that the reaction occurs at the surface of the mineral so that the unreacted core gradually shrinks over time.

As detailed by an independent study conducted at Newcastle University under the leadership of Prof. David Manning, PhD, a renowned soil scientist, the carbon dioxide capture properties of the Products are estimated at 120kg per ton. The potential CO2 removal does not require any change to the Products’ production and farmland application methods, nor does it change the nutritional benefits to plants. Thus, the Products undergo ERW to permanently capture atmospheric CO2 while releasing potassium and other plant nutrients.

In addition, the Product potentially undergoes mineral dissolution in only a matter of months to a year from its application to soils, faster than the most rapid reacting silicate minerals (forsterite), which takes years to decades for a similar dissolution. Mineral dissolution is directly correlated to the capture of carbon dioxide from the atmosphere, the faster the dissolution the faster the absorption of CO2. The conclusion was reached by a commissioned study conducted by Phil Renforth, Ph.D., at Heriot Watt University, based on peer-reviewed publication and commercial data.

 

About Verde AgriTech

Verde Agritech is dedicated to advancing sustainable agriculture through the innovation of specialty multi-nutrient potassium fertilizers. Our mission is to increase agricultural productivity, enhance soil health, and significantly contribute to environmental sustainability. Utilizing our unique position in Brazil, we harness proprietary technologies to develop solutions that not only meet the immediate needs of farmers but also address global challenges such as food security and climate change. Our commitment to carbon capture and the production of eco-friendly fertilizers underscores our vision for a future where agriculture contributes positively to the health of our planet.

Cautionary Language and Forward-Looking Statements

All Mineral Reserve and Mineral Resources estimates reported by the Company were estimated in accordance with the Canadian National Instrument 43-101 and the Canadian Institute of Mining, Metallurgy, and Petroleum Definition Standards (May 10, 2014). These standards differ significantly from the requirements of the U.S. Securities and Exchange Commission. Mineral Resources which are not Mineral Reserves do not have demonstrated economic viability.

This document contains “forward-looking information” within the meaning of Canadian securities legislation and “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995. This information and these statements, referred to herein as “forward-looking statements” are made as of the date of this document. Forward-looking statements relate to future events or future performance and reflect current estimates, predictions, expectations or beliefs regarding future events and include, but are not limited to, statements with respect to:

  • the estimated amount and grade of Mineral Resources and Mineral Reserves;
  • the estimated amount of CO2 removal per ton of rock;
  • the PFS representing a viable development option for the Project;
  • estimates of the capital costs of constructing mine facilities and bringing a mine into production, of sustaining capital and the duration of financing payback periods;
  • the estimated amount of future production, both produced and sold;
  • timing of disclosure for the PFS and recommendations from the Special Committee;
  • the Company’s competitive position in Brazil and demand for potash; and,
  • estimates of operating costs and total costs, net cash flow, net present value and economic returns from an operating mine.

Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives or future events or performance (often, but not always, using words or phrases such as “expects”, “anticipates”, “plans”, “projects”, “estimates”, “envisages”, “assumes”, “intends”, “strategy”, “goals”, “objectives” or variations thereof or stating that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements.

All forward-looking statements are based on Verde’s or its consultants’ current beliefs as well as various assumptions made by them and information currently available to them. The most significant assumptions are set forth above, but generally these assumptions include, but are not limited to:

  • the presence of and continuity of resources and reserves at the Project at estimated grades;
  • the estimation of CO2 removal based on the chemical and mineralogical composition of assumed resources and reserves;
  • the geotechnical and metallurgical characteristics of rock conforming to sampled results; including the quantities of water and the quality of the water that must be diverted or treated during mining     operations;
  • the capacities and durability of various machinery and equipment;
  • the availability of personnel, machinery and equipment at estimated prices and within the estimated delivery times;
  • currency exchange rates;
  • Super Greensand® and K Forte® sales prices, market size and exchange rate assumed;
  • appropriate discount rates applied to the cash flows in the economic analysis;
  • tax rates and royalty rates applicable to the proposed mining operation;
  • the availability of acceptable financing under assumed structure and costs;
  • anticipated mining losses and dilution;
  • reasonable contingency requirements;
  • success in realizing proposed operations;
  • receipt of permits and other regulatory approvals on acceptable terms; and
  • the fulfilment of environmental assessment commitments and arrangements with local

Although management considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect. Many forward-looking statements are made assuming the correctness of other forward looking statements, such as statements of net present value and internal rates of return, which are based on most of the other forward-looking statements and assumptions herein. The cost information is also prepared using current values, but the time for incurring the costs will be in the future and it is assumed costs will remain stable over the relevant period.

By their very nature, forward-looking statements involve inherent risks and uncertainties, both general and specific, and risks exist that estimates, forecasts, projections and other forward-looking statements will not be achieved or that assumptions do not reflect future experience. We caution readers not to place undue reliance on these forward-looking statements as a number of important factors could cause the actual outcomes to differ materially from the beliefs, plans, objectives, expectations, anticipations, estimates assumptions and intentions expressed in such forward-looking statements. These risk factors may be generally stated as the risk that the assumptions and estimates expressed above do not occur as forecast, but specifically include, without limitation: risks relating to variations in the mineral content within the material identified as Mineral Resources and Mineral Reserves from that predicted; variations in rates of recovery and extraction; the geotechnical characteristics of the rock mined or through which infrastructure is built differing from that predicted, the quantity of water that will need to be diverted or treated during mining operations being different from what is expected to be encountered during mining operations or post closure, or the rate of flow of the water being different; developments in world metals markets; risks relating to fluctuations in the Brazilian Real relative to the Canadian dollar; increases in the estimated capital and operating costs or unanticipated costs; difficulties attracting the necessary work force; increases in financing costs or adverse changes to the terms of available financing, if any; tax rates or royalties being greater than assumed; changes in development or mining plans due to changes in logistical, technical or other factors; changes in project parameters as plans continue to be refined; risks relating to receipt of regulatory approvals; delays in stakeholder negotiations; changes in regulations applying to the development, operation, and closure of mining operations from what currently exists; the effects of competition in the markets in which Verde operates; operational and infrastructure risks and the additional risks described in Verde’s Annual Information Form filed with SEDAR in Canada (available at www.sedar.com) for the year ended December 31, 2021. Verde cautions that the foregoing list of factors that may affect future results is not exhaustive.

When relying on our forward-looking statements to make decisions with respect to Verde, investors and others should carefully consider the foregoing factors and other uncertainties and potential events. Verde does not undertake to update any forward-looking statement, whether written or oral, that may be made from time to time by Verde or on our behalf, except as required by law.

For additional information please contact:

Cristiano Veloso, Chief Executive Officer and Founder

Tel: +55 (31) 3245 0205; Email: investor@verde.ag

www.verde.ag | www.investor.verde.ag

 

 

[1] Combined measured and indicated mineral resource of 1.47 billion tons at 9.28% K2O and an inferred mineral resource of 1.85 billion tons at 8.60% K2O (using a 7.5% K2O cut-off grade). As per the National Instrument 43-101 Standards of Disclosure for Mineral Projects within Canada (“NI 43 -101”), filed on SEDAR in 2022. For further information, see the Pre-Feasibility Study at: https://investor.verde.ag/wp-content/uploads/2022/05/NI-43-101-Pre-Feasibility-Technical-Report-for-the-Cerrado-Verde-Project.pdf 

[2] The carbon capture potential of Verde’s products, through Enhanced Rock Weathering (ERW), is 120 kg CO2e per ton of K Forte®. For further information, see “Verde’s Products Remove Carbon Dioxide From the Air”.

[3] Verde is currently fully licensed to produce up to 2.8 million tons per year of its Products and has submitted mining and environmental applications for an additional 25 million tpy awaiting approval.

[4] One carbon credit is equivalent to one metric ton of carbon dioxide captured.

[5] Learn more at: https://waycarbon.com/sobre-a-waycarbon/

[6] Learn more at: https://www.bancosantander.es/en/santander-sostenible/empresas

[7] See “Verde’s Products Remove Carbon Dioxide From the Air” and “Verde’s Products Remove Carbon Dioxide from Air in Mere Months of Application”.

Verde Announces Life Cycle Assessment Results in Accordance with ISO Standards

Singapore. Verde AgriTech Ltd (TSX: “NPK”) (“Verde” or the “Company”) is pleased to announce the results of its first Life Cycle Analysis (“LCA”)[1], completed by LCA Design Corporation, a leading Canadian consultancy firm.[2] The LCA determines the climate impacts associated with the production of Verde’s potassium fertilizer K Forte® (the “Product”) from cradle-to-grave.[3] The LCA was conducted according to ISO 14040/44:2006 Standard[4] and Puro Earth Enhanced Rock Weathering (“ERW”) Methodology.[5]

The Product’s potential of carbon removal through ERW, determined as carbon dioxide removal certificates (“CORCs”)[6], can reach up to 112.56 kilograms of carbon dioxide equivalent per ton of Product (“CO2e / t”).[7]

The Company assessed several scenarios, encompassing historical production, current production, and planned production capacity ramp-up. The potential for CORCs generation determined by the LCA was assessed based on the following assumptions:

  1. Production capacity: 3 million tons per year (“Mtpy”). This capacity can be achieved by utilizing Verde’s currently installed Plant 1 and Plant 2, both operating at full capacity.
  2. Product distribution: The CO2e emissions vary depending on the product shipment distance from Verde’s production facilities. The greater the shipping distance increases the diesel consumption and, consequently, the carbon footprint.
  3. Transportation mode: The CO2e emissions were calculated with the assumption that the Product transportation would be exclusively done by road. Nevertheless, Verde has an ongoing transition plan for railway transportation, with the objective of constructing a railway branch line that will connect its production facilities to a major freight route in Brazil.[8] The implementation of railway transportation is expected to contribute to a reduction in the CO2 footprint compared to road transportation.[9]

Calculation Methodology

The climate impact assessed in the LCA is quantified in terms of kilograms of CO2e and encompasses all greenhouse gases directly and indirectly associated with the process. This includes:

1.     Mining: This stage encompasses all activities related to raw material extraction, as well as its transportation to Verde’s production facilities, including emissions from fuel, vehicles, and infrastructure.

2.     Processing: This stage encompasses all processes involved in transforming Verde’s raw material into K Forte®, as well as the Product handling on-site (including transportation or conveying within the production facility).

3.     Transport to application site: This stage involves the transportation of the Product to the farms where it will be applied. It encompasses emissions related to fuel consumption, vehicles, and infrastructure.

4.     Application to site: This stage involves the actual application and use of the Product. It assumes that the Product is applied to the soil using agricultural equipment powered by diesel fuel.

5.     Weathering phase: This stage occurs after the application of Product and involves carbon capture through the ERW process.

6.     Carbon fate in environment: This stage considers the potential risk of remission of sequestered carbon into the environment.

Carbon Offset Removal Credits represent the net amount of CO2e removed by the applied rock weathering within a specified time frame, equivalent to 1 ton of CO2e, according to Puro Earth’s ERW Methodology. CORC values are presented in kilograms of CO2e in the LCA.[10]

The overall equation for calculating CORCs generated by ERW activity is as follows:

CORCs = (CO2 Stored) – (CO2 Supply Chain Footprint)

·       CO2 Stored (kg of CO2e): The amount of CO2 captured via ERW is determined by the weathering of the Product after being applied to soil. This process involves the generation of carbonate or bicarbonate ions and has the potential for the precipitation of solid carbonate minerals. CO2 Stored is the amount of CO2 that is sequestered from the atmosphere as a result of the weathering process. The Product’s CO2 Stored is equivalent to 120 kg CO2e per ton of K Forte®. The CO2 Stored calculation was provided by Dr. Manning, determined through an independent study conducted at Newcastle University.[11]

·       CO2 Supply Chain Footprint (kg of CO2e): includes all greenhouse gas emissions that occur throughout the entire supply chain process, from mining activities and processing to transportation to the application site, the actual application to the soil using agricultural machinery, as well as monitoring, sampling, and testing activities during the weathering phase. The CO2 Supply Chain Footprint reflects the greenhouse gas emissions associated with the entire life cycle of the Product. The CO2 Supply Chain Footprint was calculated in the LCA.

In summary, CORCs represent the net CO2e removed by the Product’s weathering through ERW activities.

 

LCA Results

Firstly, the table below displays the CORCs derived from the cradle-to-gate[12] life cycle assessment of K Forte®. This assessment covers activities from raw material extraction to production completion, taking into account the potential for carbon capture through ERW.

Net carbon sequestration for K Forte®’s cradle-to-gate LCA

CORCs
(kg CO2e / t)
  CO2 Stored
(kg CO2e / t)
  CO2 Supply Chain Footprint (kg CO2e / t)
112.56 = 120.00 7.44

The greenhouse gas emissions associated with the cradle-to-gate cycle of K Forte® are relatively low, less than 10% of the amount of carbon captured by the Product. This can be attributed to Verde’s sustainable production process, which is characterized by:

·       100% renewable power supply: Our operations use 100% renewable energy sources from hydropower.​

·       Negligible water demand​: Our production process consumes significantly less water compared to that of other mining or fertilizer production companies.​

·       Lower-impact mining​: The area where we extract our raw materials primarily consists of degraded pastureland, deforested decades ago by local landowners for cattle breeding, minimizing environmental interventions ​

·       No toxic contaminants​: Our product does not contain concerning amounts of the toxic contaminants associated with basalt or olivine, namely nickel and chromium, unlike many other ERW projects.​

·       Zero tailing dams​: Our mineral processing does not require generate tailings nor does require any dams.​

When considering the cradle-to-grave assessment of the Product, the shipping distance between Verde’s production facilities and the application site of the Product significantly impacts the range of greenhouse gas emissions within Verde’s supply chain.

The table below shows the CORCs derived from the cradle-to-grave life cycle assessment and market size for K Forte®, according to the distance radius for the Product’s shipment from Verde’s production facilities.


Net carbon sequestration for K Forte®’s cradle-to-grave LCA and market size, according to shipment distance

Distance from Verde’s production facilities (km) Potash Market Size (tons K2O)[13] Product’s Market Size (tons K Forte®) CO2 Stored
(kg CO2e / t)
CO2 Supply Chain Footprint
(kg CO2e / t)
CORCs
(kg CO2e / t)
100 1,350 13,500 120.00 12.41 107.59
200 59,720 597,200 120.00 17.38 102.62
300 129,200 1,292,000 120.00 22.35 97.65
400 301,460 3,014,600 120.00 27.32 92.68

It is important to note that the LCA was carried out using 33-ton trucks for product shipping, while the standard truck capacity in Brazil is 74 tons. This resulted in a significant overestimation of transport emissions, as trucks with higher capacity offer improved fuel consumption efficiency by reducing the overall number of vehicles needed, thereby reducing total emissions.

 

Verde’s ERW Carbon Capture Potential

Scalable and cost-effective ERW carbon capture projects depend on farmers’ willingness to apply minerals on a large scale over their farmland. In that sense, Verde’s has multiple advantages in ERW:

  1. The Product has a fast dissolution rate, as evidenced by agronomic trials and potassium release.
  2. The Product is a source of essential macronutrients for plants, which creates significant motivation for farmers to adopt them in place of traditional chemical fertilizers;
  3. The Product has NI 43-101 certified[14] mineral reserves proving reliably consistency in its mineralogy, carbon capture effectiveness and absence of deleterious elements;
  4. The Product is certified organic by several governmental and non-governmental organizations, including some of the most stringent global standards such as the Washington State Fertilizer Registration and the California Department of Food & Agriculture;
  5. The Product undergo meticulous particle size control when of its manufacturing process, guaranteeing a consistent particle size distribution. This is advantageous because particle size is essential for optimal carbon capture and its calculation.

Few carbon capture projects based on ERW showcase all, if any, of the above advantages which are consistently delivered by Verde.

 

About Verde AgriTech

Verde is an agricultural technology Company that produces potash fertilizers. Our purpose is to improve the health of all people and the planet. Rooting our solutions in nature, we make agriculture healthier, more productive, and profitable.

Verde is a fully integrated Company: it mines and processes its main feedstock from its 100% owned mineral properties, then sells and distributes the Product.

Verde’s focus on research and development has resulted in one patent and eight patents pending. Among its proprietary technologies are Cambridge Tech, 3D Alliance, MicroS Technology, N Keeper, and Bio Revolution.[15] Currently, the Company is fully licensed to produce up to 2.8 million tons per year of its multinutrient potassium fertilizers K Forte® and BAKS®, sold internationally as Super Greensand®. In 2022, it became Brazil’s largest potash producer by capacity. Verde has a combined measured and indicated mineral resource of 1.47 billion tons at 9.28% K2O and an inferred mineral resource of 1.85 billion tons at 8.60% K2O (using a 7.5% K2O cut-off grade).[16] This amounts to 295.70 million tons of potash in K2O. For context, in 2021 Brazil’s total consumption of potash in K2O was 6.57 million[17].

Brazil ranks second in global potash demand and is its single largest importer, currently depending on external sources for over 97% of its potash needs. In 2022, potash accounted for approximately 3% of all Brazilian imports by dollar value.[18]

 

Corporate Presentation

For further information on the Company, please view shareholders’ deck:

https://verde.docsend.com/view/kxdp27m8xprnhy9b

 

Investors Newsletter

Subscribe to receive the Company’s updates at: http://cloud.marketing.verde.ag/InvestorsSubscription

The last edition of the newsletter can be accessed at: http://bit.ly/InvestorNL-August2023

 

Cautionary Language and Forward-Looking Statements

All Mineral Reserve and Mineral Resources estimates reported by the Company were estimated in accordance with the Canadian National Instrument 43-101 and the Canadian Institute of Mining, Metallurgy, and Petroleum Definition Standards (May 10, 2014). These standards differ significantly from the requirements of the U.S. Securities and Exchange Commission. Mineral Resources which are not Mineral Reserves do not have demonstrated economic viability.

This document contains “forward-looking information” within the meaning of Canadian securities legislation and “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995. This information and these statements, referred to herein as “forward-looking statements” are made as of the date of this document. Forward-looking statements relate to future events or future performance and reflect current estimates, predictions, expectations or beliefs regarding future events and include, but are not limited to, statements with respect to:

  • the estimated amount and grade of Mineral Resources and Mineral Reserves;
  • the estimated amount of CO2 removal per tonne of rock;
  • the PFS representing a viable development option for the Project;
  • estimates of the capital costs of constructing mine facilities and bringing a mine into production, of sustaining capital and the duration of financing payback periods;
  • the estimated amount of future production, both produced and sold;
  • timing of disclosure for the PFS and recommendations from the Special Committee;
  • the Company’s competitive position in Brazil and demand for potash; and,
  • estimates of operating costs and total costs, net cash flow, net present value and economic returns from an operating mine.

Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives or future events or performance (often, but not always, using words or phrases such as “expects”, “anticipates”, “plans”, “projects”, “estimates”, “envisages”, “assumes”, “intends”, “strategy”, “goals”, “objectives” or variations thereof or stating that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements.

All forward-looking statements are based on Verde’s or its consultants’ current beliefs as well as various assumptions made by them and information currently available to them. The most significant assumptions are set forth above, but generally these assumptions include, but are not limited to:

  • the presence of and continuity of resources and reserves at the Project at estimated grades;
  • the estimation of CO2 removal based on the chemical and mineralogical composition of assumed resources and reserves;
  • the geotechnical and metallurgical characteristics of rock conforming to sampled results; including the quantities of water and the quality of the water that must be diverted or treated during mining      operations;
  • the capacities and durability of various machinery and equipment;
  • the availability of personnel, machinery and equipment at estimated prices and within the estimated delivery times;
  • currency exchange rates;
  • Super Greensand® and K Forte® sales prices, market size and exchange rate assumed;
  • appropriate discount rates applied to the cash flows in the economic analysis;
  • tax rates and royalty rates applicable to the proposed mining operation;
  • the availability of acceptable financing under assumed structure and costs;
  • anticipated mining losses and dilution;
  • reasonable contingency requirements;
  • success in realizing proposed operations;
  • receipt of permits and other regulatory approvals on acceptable terms; and
  • the fulfilment of environmental assessment commitments and arrangements with local

Although management considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect. Many forward-looking statements are made assuming the correctness of other forward looking statements, such as statements of net present value and internal rates of return, which are based on most of the other forward-looking statements and assumptions herein. The cost information is also prepared using current values, but the time for incurring the costs will be in the future and it is assumed costs will remain stable over the relevant period.

By their very nature, forward-looking statements involve inherent risks and uncertainties, both general and specific, and risks exist that estimates, forecasts, projections and other forward-looking statements will not be achieved or that assumptions do not reflect future experience. We caution readers not to place undue reliance on these forward-looking statements as a number of important factors could cause the actual outcomes to differ materially from the beliefs, plans, objectives, expectations, anticipations, estimates assumptions and intentions expressed in such forward-looking statements. These risk factors may be generally stated as the risk that the assumptions and estimates expressed above do not occur as forecast, but specifically include, without limitation: risks relating to variations in the mineral content within the material identified as Mineral Resources and Mineral Reserves from that predicted; variations in rates of recovery and extraction; the geotechnical characteristics of the rock mined or through which infrastructure is built differing from that predicted, the quantity of water that will need to be diverted or treated during mining operations being different from what is expected to be encountered during mining operations or post closure, or the rate of flow of the water being different; developments in world metals markets; risks relating to fluctuations in the Brazilian Real relative to the Canadian dollar; increases in the estimated capital and operating costs or unanticipated costs; difficulties attracting the necessary work force; increases in financing costs or adverse changes to the terms of available financing, if any; tax rates or royalties being greater than assumed; changes in development or mining plans due to changes in logistical, technical or other factors; changes in project parameters as plans continue to be refined; risks relating to receipt of regulatory approvals; delays in stakeholder negotiations; changes in regulations applying to the development, operation, and closure of mining operations from what currently exists; the effects of competition in the markets in which Verde operates; operational and infrastructure risks and the additional risks described in Verde’s Annual Information Form filed with SEDAR in Canada (available at www.sedar.com) for the year ended December 31, 2021. Verde cautions that the foregoing list of factors that may affect future results is not exhaustive.

When relying on our forward-looking statements to make decisions with respect to Verde, investors and others should carefully consider the foregoing factors and other uncertainties and potential events. Verde does not undertake to update any forward-looking statement, whether written or oral, that may be made from time to time by Verde or on our behalf, except as required by law.

 

For additional information please contact:

Lucas Brown, Vice-President of Corporate Development

Tel: +55 (31) 3245 0205; Email: investor@verde.ag

www.verde.ag | www.investor.verde.ag

 

 

[1] Life-cycle assessment is a process of evaluating the effects that a product has on the environment over the entire period of its life thereby increasing resource-use efficiency and decreasing liabilities. The LCA is a standardized, scientific method that can be used to study the environmental impact of either a product or the function the product is designed to perform. Source: European Environment Agency. The terms “assessment” and “analysis” are used interchangeably by different companies, but with the same objective.

[2] For further information, please see: https://lcadesign.ca/

[3] ‘Cradle-to-grave’ assessment considers impacts at each stage of a product’s life-cycle, from the time natural resources are extracted from the ground and processed through each subsequent stage of manufacturing, transportation, product use, and ultimately, disposal. Source: European Environment Agency.

[4] ISO (2006b), ISO 14040:2006, Environmental management – Life cycle assessment – Principles and framework. ISO (2006c), ISO 14044: 2006, Environmental management – Life cycle assessment – Requirements and guidelines.

[5] Puro Earth ERW Methodology (2022). Puro Standard Edition 2022 V2.

[6] CO2 Removal Certificate (CORC) is an electronic document, which records the Attributes of CO2 Removal from registered Production Facilities. Each CORC represents a Net Carbon Dioxide Removal (CDR) volume of 1 ton of Long-Term CO2 Removal, equivalent to 1 carbon credit. Source: Puro Earth, Puro Standard General Rules, V3.1.

[7] The term CO2e is used to compare the emissions from various greenhouse gases based upon their global warming potential, normalized to the equivalent amount of CO2. Source: UN-REDD Programme.

[8] See: “Railway to freight up to 50Mtpy of Verde’s Product granted construction permit”.

[9] The CO2 emission rate per kilometer for products transported by rail stands at 0.0220 kg of CO2 per ton, significantly lower than the 0.0497 kg of CO2 emitted per ton of products transported via road. Sources: CO2 emission standard per kilometer for train transport (Sphera Professional Database). CO2 emission standard per kilometer for truck transport (EcoInvent Database, Brazil Dataset).

[10] 1,000kg of CO2 is equivalent to 1 CORC.

[11] See “Verde’s Products Remove Carbon Dioxide From the Air”.

[12] Cradle-to-gate is the assessment of a product’s life cycle from raw material extraction (cradle) to its production facility gate. It does not include the carbon footprint associated with product transportation to the final customer. Source: https://circularecology.com/glossary-of-terms-and-definitions.html

[13] The potash market size was determined based on the potential demand for K2O. This calculation was derived from the total planted areas in Brazil in 2021 (Source: IBGE, 2022), considering the typical dosages of potash fertilizers for the main crops: Cotton = 100 kg of K2O/ha; Coffee = 200 kg of K2O/ha; Soybean/Maize System = 150 kg of K2O/ha; Other Crops = 100 kg of K2O/ha.

[14] National Instrument 43-101 Standards of Disclosure for Mineral Projects within Canada.

[15] Learn more about our technologies: https://verde.docsend.com/view/yvthnpuv8jx6g4r9

[16] As per the National Instrument 43-101 Standards of Disclosure for Mineral Projects within Canada (“NI 43 -101”), filed on SEDAR in 2017. See the Pre-Feasibility Study at: https://investor.verde.ag/wp-content/uploads/2021/01/NI-43-101-Pre-Feasibility-Technical-Report-Cerrado-Verde-Project.pdf

[17] Source: Brazilian Fertilizer Mixers Association (from “Associação Misturadores de Adubo do Brasil“, in Portuguese).

[18] Source: Brazilian Comex Stat, available at: http://comexstat.mdic.gov.br/en/geral

Verde AgriTech Advances into phase 2 of Musk-Backed $100M XPRIZE Carbon Removal Challenge

Singapore. Verde AgriTech Ltd (TSX: “NPK”) (“Verde” or the “Company”) is pleased to announce that it has successfully advanced to Phase 2 of the largest incentive prize in history, XPRIZE “$100M Carbon Removal” Challenge (the “Challenge”). This challenge seeks innovative solutions to extract and sequester carbon dioxide from the atmosphere, fighting climate change and rebalancing Earth’s carbon cycle.

Verde has delivered an ambitious proposal to develop one of the world’s largest carbon capture projects through Enhanced Rock Weathering (“ERW”) – a natural weathering process that involves the sequestration of carbon dioxide (“CO2”) from the atmosphere by crushing and spreading reactive rock material on land.

Verde has developed partnerships with British universities, leaders in Soil Science[1], that have proven Verde’s K Forte® and Super Greensand® (“Products”) have the potential to capture CO2 from the atmosphere through ERW. As detailed by an independent study conducted at Newcastle University under the leadership of Prof. David Manning, PhD, a renowned soil scientist, the carbon dioxide capture properties of the Products are estimated at 120kg per tonne.

The Company has combined measured and indicated mineral resources of 1.47 billion tonnes at 9.28% K2O and an inferred mineral resource of 1.85 billion tonnes at 8.60% K2O, compliant with the Canadian National Instrument 43-101.[2] Its total 3.32 billion tonnes of resources put Verde in a unique position of potential scalability to sequester up to 0.40 gigatons of CO2.

XPRIZE is known for its global competitions that drive radical breakthroughs for the benefit of humanity. Backed by Elon Musk and the Musk Foundation, XPRIZE launched the Challenge to inspire and help scale efficient solutions to combat climate change, restoring the Earth’s carbon cycle. The Challenge seeks innovative methods to capture carbon dioxide directly from the atmosphere or ocean and lock it away permanently in an environmentally benign way.

The competition has drawn attention from around the world, with numerous companies vying for the opportunity to showcase their carbon removal solutions. Verde’s selection to Phase 2 stands as a testament to its innovative approach, commitment to sustainability and potential to contribute meaningfully to a more sustainable future through its carbon capture technology.

“We are thrilled to be recognized by XPRIZE for our pioneering efforts in carbon removal. It is not just a recognition of our diligent efforts, but also emphasizes the transformative potential of our technology to create a profoundly positive effect on our planet. We have an established annual production capacity of 3.00 million tonnes, and with this, Verde has the potential to capture up to 0.36 million tonnes of CO2 annually. We are confident that Verde is an outstanding candidate within the XPRIZE Carbon Removal Challenge, not only to our innovative solution, but for the potential of massive scalability”, stated Cristiano Veloso, Verde’s Founder and CEO.

 

About XPRIZE Carbon Removal

XPRIZE Carbon Removal is aimed at tackling the biggest threat facing humanity – fighting climate change and rebalancing Earth’s carbon cycle. Funded by Elon Musk and the Musk Foundation, this $100M competition is the largest incentive prize in history.‎

The climate math is becoming clear that we will need gigaton-scale carbon removal in the coming decades to avoid the worst effects of climate change. The International Panel on Climate Change (IPCC) estimates the need at approximately 10 gigatonnes of net CO2 removal per year by the year 2050 in order to keep global temperature rise under 1.5 or 2C. As governments, companies, investors, and entrepreneurs make plans to meet this challenge, it is clear that we will need a range of carbon removal solutions to be proven through demonstration and deployment to complement work that is already underway. If humanity continues on a business-as-usual path, the global average temperature could increase 6˚(C) by the year 2100.

For further information see: https://www.xprize.org/prizes/carbonremoval

About Verde AgriTech

Verde is an agricultural technology company that produces potash fertilizers. Its purpose is to improve the health of all people and the planet. Rooting our solutions in nature, it makes agriculture healthier, more productive, and profitable.

Verde is a fully integrated Company: it mines and processes its main feedstock from its 100% owned mineral properties, then sells and distributes the Product.

Verde’s focus on research and development has resulted in one patent and eight patents pending. Among its proprietary technologies are Cambridge Tech, 3D Alliance, MicroS Technology, N Keeper, and Bio Revolution.[3] Currently, the Company is fully licensed to produce up to 2.8 million tonnes per year of its multinutrient potassium fertilizers K Forte® and BAKS®, sold internationally as Super Greensand®. In 2022, it became Brazil’s largest potash producer by capacity.[4] Verde has a combined measured and indicated mineral resource of 1.47 billion tonnes at 9.28% K2O and an inferred mineral resource of 1.85 billion tonnes at 8.60% K2O (using a 7.5% K2O cut-off grade).[5] This amounts to 295.70 million tonnes of potash in K2O. For context, in 2021 Brazil’s total consumption of potash in K2O was 6.57 million[6].

Brazil ranks second in global potash demand and is its single largest importer, currently depending on external sources for over 97% of its potash needs. In 2022, potash accounted for approximately 3% of all Brazilian imports by dollar value.[7]

Corporate Presentation

For further information on the Company, please view shareholders’ deck:

https://verde.docsend.com/view/mjxisb9by2xbt5y2

Investors Newsletter

Subscribe to receive the Company’s updates at: https://verde.docsend.com/view/e9f4zncag32eiric

The last edition of the newsletter can be accessed at:

Cautionary Language and Forward-Looking Statements

All Mineral Reserve and Mineral Resources estimates reported by the Company were estimated in accordance with the Canadian National Instrument 43-101 and the Canadian Institute of Mining, Metallurgy, and Petroleum Definition Standards (May 10, 2014). These standards differ significantly from the requirements of the U.S. Securities and Exchange Commission. Mineral Resources which are not Mineral Reserves do not have demonstrated economic viability.

This document contains “forward-looking information” within the meaning of Canadian securities legislation and “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995. This information and these statements, referred to herein as “forward-looking statements” are made as of the date of this document. Forward-looking statements relate to future events or future performance and reflect current estimates, predictions, expectations or beliefs regarding future events and include, but are not limited to, statements with respect to:

  • the estimated amount and grade of Mineral Resources and Mineral Reserves;
  • the estimated amount of CO2 removal per tonne of rock;
  • the PFS representing a viable development option for the Project;
  • estimates of the capital costs of constructing mine facilities and bringing a mine into production, of sustaining capital and the duration of financing payback periods;
  • the estimated amount of future production, both produced and sold;
  • timing of disclosure for the PFS and recommendations from the Special Committee;
  • the Company’s competitive position in Brazil and demand for potash; and,
  • estimates of operating costs and total costs, net cash flow, net present value and economic returns from an operating mine.

Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives or future events or performance (often, but not always, using words or phrases such as “expects”, “anticipates”, “plans”, “projects”, “estimates”, “envisages”, “assumes”, “intends”, “strategy”, “goals”, “objectives” or variations thereof or stating that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements.

All forward-looking statements are based on Verde’s or its consultants’ current beliefs as well as various assumptions made by them and information currently available to them. The most significant assumptions are set forth above, but generally these assumptions include, but are not limited to:

  • the presence of and continuity of resources and reserves at the Project at estimated grades;
  • the estimation of CO2 removal based on the chemical and mineralogical composition of assumed resources and reserves;
  • the geotechnical and metallurgical characteristics of rock conforming to sampled results; including the quantities of water and the quality of the water that must be diverted or treated during mining operations;
  • the capacities and durability of various machinery and equipment;
  • the availability of personnel, machinery and equipment at estimated prices and within the estimated delivery times;
  • currency exchange rates;
  • Super Greensand® and K Forte® sales prices, market size and exchange rate assumed;
  • appropriate discount rates applied to the cash flows in the economic analysis;
  • tax rates and royalty rates applicable to the proposed mining operation;
  • the availability of acceptable financing under assumed structure and costs;
  • anticipated mining losses and dilution;
  • reasonable contingency requirements;
  • success in realizing proposed operations;
  • receipt of permits and other regulatory approvals on acceptable terms; and
  • the fulfilment of environmental assessment commitments and arrangements with local

Although management considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect. Many forward-looking statements are made assuming the correctness of other forward looking statements, such as statements of net present value and internal rates of return, which are based on most of the other forward-looking statements and assumptions herein. The cost information is also prepared using current values, but the time for incurring the costs will be in the future and it is assumed costs will remain stable over the relevant period.

By their very nature, forward-looking statements involve inherent risks and uncertainties, both general and specific, and risks exist that estimates, forecasts, projections and other forward-looking statements will not be achieved or that assumptions do not reflect future experience. We caution readers not to place undue reliance on these forward-looking statements as a number of important factors could cause the actual outcomes to differ materially from the beliefs, plans, objectives, expectations, anticipations, estimates assumptions and intentions expressed in such forward-looking statements. These risk factors may be generally stated as the risk that the assumptions and estimates expressed above do not occur as forecast, but specifically include, without limitation: risks relating to variations in the mineral content within the material identified as Mineral Resources and Mineral Reserves from that predicted; variations in rates of recovery and extraction; the geotechnical characteristics of the rock mined or through which infrastructure is built differing from that predicted, the quantity of water that will need to be diverted or treated during mining operations being different from what is expected to be encountered during mining operations or post closure, or the rate of flow of the water being different; developments in world metals markets; risks relating to fluctuations in the Brazilian Real relative to the Canadian dollar; increases in the estimated capital and operating costs or unanticipated costs; difficulties attracting the necessary work force; increases in financing costs or adverse changes to the terms of available financing, if any; tax rates or royalties being greater than assumed; changes in development or mining plans due to changes in logistical, technical or other factors; changes in project parameters as plans continue to be refined; risks relating to receipt of regulatory approvals; delays in stakeholder negotiations; changes in regulations applying to the development, operation, and closure of mining operations from what currently exists; the effects of competition in the markets in which Verde operates; operational and infrastructure risks and the additional risks described in Verde’s Annual Information Form filed with SEDAR in Canada (available at www.sedar.com) for the year ended December 31, 2021. Verde cautions that the foregoing list of factors that may affect future results is not exhaustive.

When relying on our forward-looking statements to make decisions with respect to Verde, investors and others should carefully consider the foregoing factors and other uncertainties and potential events. Verde does not undertake to update any forward-looking statement, whether written or oral, that may be made from time to time by Verde or on our behalf, except as required by law.

 

For additional information please contact:

Lucas Brown, Vice-President of Corporate Development

Tel: +55 (31) 3245 0205; Email: investor@verde.ag

www.verde.ag | www.investor.verde.ag

 

 

[1] See “Verde’s Products Remove Carbon Dioxide From the Air” and “Verde’s Products Remove Carbon Dioxide from Air in Mere Months of Application”.

[2] Resource Estimate Effective Date: May 12, 2022. Responsible QP: Bradley Ackroyd, B. Sc (Geo), MAIG. Cutoff Content: 7.5% K2O. For further details see the Pre-Feasibility Study: investor.verde.ag/wp-content/uploads/2022/05/NI-43-101-Pre-Feasibility-Technical-Report-for-the-Cerrado-Verde-Project.pdf

[3] Learn more about our technologies: https://verde.docsend.com/view/yvthnpuv8jx6g4r9

[4] See the release at: https://investor.verde.ag/verde-starts-ramp-up-of-plant-2s-second-stage-to-reach-production-of-2-4mtpy/

[5] As per the National Instrument 43-101 Standards of Disclosure for Mineral Projects within Canada (“NI 43 -101”), filed on SEDAR in 2017. See the Pre-Feasibility Study at: https://investor.verde.ag/wp-content/uploads/2021/01/NI-43-101-Pre-Feasibility-Technical-Report-Cerrado-Verde-Project.pdf

[6] Source: Brazilian Fertilizer Mixers Association (from “Associação Misturadores de Adubo do Brasil“, in Portuguese).

[7] Source: Brazilian Comex Stat, available at: http://comexstat.mdic.gov.br/en/geral

Verde appoints Vice President of Corporate Development

Lucas Brown will oversee strategic corporate relations and the expansion of the Company into the carbon market

Verde to host Investor Day on October 16, 2023

 

Singapore. Verde AgriTech Ltd (TSX: “NPK”) (“Verde” or the “Company”) is pleased to announce Lucas Brown as the new Vice President of Corporate Development. Mr Brown will lead Verde’s expansion into the carbon market, in addition to overseeing the Company’s institutional and investor relations. Lucas Brown has dedicated a decade working in Brazil, in the last four years serving as the British Consul to Minas Gerais state. In this role, he was responsible for diplomacy and bilateral trade. Notably, this included leading the British government’s climate strategy in Minas Gerais when the United Kingdom held the presidency of COP26. His efforts culminated with an unprecedented cooperation between the UK and the government of Minas Gerais, and key cities in the region. His efforts culminated in Minas Gerais becoming the first state in Latin America to formalize its commitment to decarbonization and to join the UN campaign “Race to Zero”[1].

“We’re thrilled to welcome Mr Brown as our new Vice President of Corporate Development. With a distinguished trajectory in diplomacy and climate stewardship, he’s perfectly positioned to elevate our carbon capture initiatives. As Verde AgriTech continues to innovate in the realm of sustainable solutions, Mr Brown will amplify our commitment to decarbonization and achieving international certification for carbon credits. Verde is entering a new era of with a broader global impact, Lucas is the leader we’ve been looking to guide us there”, stated Cristiano Veloso, Verde’s Founder and CEO.

“I am incredibly excited to join Verde AgriTech, a Company I have been following for several years and whose ESG values align with my own. I have recently concluded an intense four-year cycle working on the climate agenda with governments, the private sector, and the third sector in Brazil, and I recognize the commitment and opportunities that the country holds to be a global leader in mitigating and adapting to climate change. I see Verde as a disruptive Company with its purpose deeply rooted in sustainability. To achieve our net-zero goals, we will have to exponentially accelerate the implementation of new low-carbon technologies and carbon capture methodologies. The invitation to join Verde to lead this innovative decarbonization project was impossible to refuse.”, stated Mr Brown.

Mr Brown graduated from the University of Liverpool, UK, and holds an MBA from the State University of Pernambuco, Brazil. His early career was devoted to the automotive sector, focused on supply chain management. He was a senior analyst at Stellantis, then FIAT Chrysler, when it built its newest plant in the Northeast of Brazil. Thereafter he transitioned to the UK’s public service at its Department of Business and Trade, culminating his career as British Consul to Minas Gerais, Brazil’s third largest state economically with a GDP of over USD 130 billion in 2020.[2]

 

Verde’s Carbon Capture Project

Verde has developed partnerships with British universities that are leaders in Soil Science[3] that have proven Verde’s K Forte® and Super Greensand® (“Products”) have the potential to capture carbon dioxide (“CO2”) from the atmosphere through Enhanced Rock Weathering (“ERW”).

ERW refers to a suite of techniques aimed at accelerating natural rock weathering, which involves the breakdown of minerals and the absorption of CO2 from the atmosphere. In nature, the process takes centuries as the rocks’ surface is gradually weathered down and reacts with CO2 to form new stable carbonate minerals or bicarbonate ions, effectively removing CO2 from the atmosphere and storing it for thousands of years.

By crushing and grinding such minerals and spreading it over large areas, ERW significantly accelerates the absorption of CO2. The speed of mineral weathering can be calculated using a ‘shrinking core model’, which assumes that the reaction occurs at the surface of the mineral so that the unreacted core gradually shrinks over time.

As detailed by an independent study conducted at Newcastle University under the leadership of Prof. David Manning, PhD, a renowned soil scientist, the carbon dioxide capture properties of the Products are estimated at 120kg per tonne. The CO2 removal does not require any change to the Products’ production and farmland application methods, nor does it change the nutritional benefits to plants. Thus, the Products undergo ERW to permanently capture atmospheric CO2 while releasing potassium and other plant nutrients.

In addition, the Products undergo mineral dissolution in only a matter of months to a year from its application to soils, faster than the most rapid reacting silicate minerals (forsterite), which takes years to decades for a similar dissolution. Mineral dissolution is directly correlated to the capture of carbon dioxide from the atmosphere, the faster the dissolution the faster the absorption of CO2. The conclusion was reached by a commissioned study conducted by Phil Renforth, Ph.D., at Heriot Watt University, based on peer-reviewed publication and commercial data.

Therefore, Verde’s Products capture 1 tonne of CO2 for every 8.3 tonnes applied to fields in a matter of months, a significantly faster timeframe than any other major ERW project worldwide.

Previously, following extensive geological research of the Rock, including over 40,000 meters of drilling and chemical analyses, Verde had commissioned an independent mineral resource and reserve study under the Canadian National Instrument 43-101, which has established a combined measured and indicated mineral resource of 1.47 billion tonnes at 9.28% K2O and an inferred mineral resource of 1.85 billion tonnes at 8.60% K2O (using a 7.5% K2O cut-off grade).[4] This amounts to 295.70 million tonnes of potash equivalent in K2O.[5]

Verde’s total 3.32 billion tonnes of resources have the potential to remove 0.40 gigatons of CO2 from the atmosphere. The Company’s mid-term goal is to achieve an annual production capacity of 50 million tonnes, enabling it to capture up to 6.00 million tonnes of CO2 per year, establishing it as one of the world’s largest carbon capture projects.

As Brazil’s largest potash producer by capacity, Verde has an annual production capacity of 3.00 million tonnes.[6] With no need for further CAPEX investment, Verde is capable to capture and offset up to 0.36 million tonnes of CO2 per year to be sold as carbon credits[7] via its existing production facilities.

The new carbon capture division at Verde that will be led by Mr Brown, who aims to make the Company internationally certified to issue carbon credits.

“Verde is currently engaged in discussions with multiple parties, exploring various options for carbon credit monetization. Leveraging Mr Brown’s expertise in both institutional relations and climate-related matters, his oversight of Verde’s carbon capture project will be of great value for our business development in this challenging yet exciting next stage,” commented Mr Veloso.

 

Other ERW Initiatives compared to Verde’s

Globally, there are several different ERW initiatives, though none stemming originally from a plant-nutrition focus such as Verde’s carbon capture project. These include CarbFix,[8] from Iceland, which utilizes industrial processes to lock CO2 into basaltic rocks; Project Vesta,[9] which spreads olivine-rich minerals on beaches and coastal environments to facilitate carbon sequestration; and UNDO,[10] in the UK, that uses crushed basalt applied to farmland.

Scalable and cost-effective ERW carbon capture projects depend on farmers’ willingness to apply minerals on a large scale over their farmland. In that sense, Verde has multiple advantages in ERW:

  1. The Products have fast dissolution rate, as evidenced by Phil Renforth’s research, in addition to agronomic trials and potassium release rates.
  2. The Products are sources of essential macronutrients for plants, which creates significant motivation for farmers to adopt them in place of traditional chemical fertilizers;
  3. The Company’s resources are compliant with the Canadian National Instrument 43-101 standard, which assures reliable consistency in the Products’ mineralogy, carbon capture effectiveness and absence of deleterious elements;
  4. The Products are certified organic by several governmental and non-governmental organizations, including some of the most stringent global standards such as the Washington State Fertilizer Registration and the California Department of Food & Agriculture;
  5. The Products undergo meticulous particle size control within its manufacturing process, guaranteeing a consistent particle size distribution. This is advantageous because particle size is essential for optimal carbon capture and its calculation.

Few carbon capture projects based on ERW showcase all the above advantages which are consistently delivered by Verde.

 

Enhancing institutional and investor relations through strategic leadership

In addition to spearheading Verde’s expansion into the carbon market, Mr Brown will take charge of the Company’s institutional and investor relations. His role will encompass fostering and maintaining relationships with institutional investors and analysts, leveraging the valuable contacts he has cultivated throughout his career to enhance institutional connections.

Mr Brown will be actively engaged in creating and nurturing these relationships through regular follow-ups and strategic engagement, ensuring timely, transparent and effective communication. These efforts are aimed at amplifying Verde’s global reputation and fortifying investor confidence.

Mr Brown’s comprehensive approach will be instrumental in aligning stakeholders with the Company’s vision and objectives, fostering sustained growth and value creation, particularly during this pivotal phase of business expansion within Verde.

 

Corporate restructuring

Mr Brown joins the Company to conclude its corporate restructuring strategy, underscoring the Company’s steadfast commitment to reaching the milestone of 50 million tonnes in annual production and sales, while simultaneously amplifying its efforts to expedite one of the world’s largest carbon capture projects.

Recent additions within Verde’s corporate restructuring strategy include Newton Nagumo[11] and Gilson Guardiero[12], joining the Company to strengthen its senior leadership team as Chief Marketing Officer and Chief Revenue Officer, respectively.

“With the arrival of Mr Brown, our corporate restructuring is now complete. We have 2 production plants in operation, along with a biomanufacturing plant to produce fertilizers with microorganism input additives. With our installed annual production capacity of 3.00 million tonnes, Verde is able to capture and offset up to 0.36 million tonnes of CO2 per year, with no need for further CAPEX investment. Our focus is to deliver all this CO2 capacity to the market to be sold as carbon credits. I am confident that a new era of expansion and growth is beginning for Verde,” concluded Mr Veloso.

 

Investor day

Verde AgriTech will host an Investor Day on Monday, October 16, 2023, at 11:00 AM Eastern Time. The event will be held virtually and will feature presentations by the company’s senior leadership team, providing updates on Verde’s strategy, followed by a Q&A session.

Subscribe using the link below and receive the event details by email:

Date: Monday, October 16, 2023
Time: 11:00 am Eastern Time
Subscription link:

Detailed registration and event information will be available on Verde’s Investor Relations website.

Questions can be submitted in advance through the following link up to 2 hours before the event:

 

About Verde AgriTech

Verde is an agricultural technology company that produces potash fertilizers. Its purpose is to improve the health of all people and the planet. Rooting our solutions in nature, it makes agriculture healthier, more productive, and profitable.

Verde is a fully integrated Company: it mines and processes its main feedstock from its 100% owned mineral properties, then sells and distributes the Product.

Verde’s focus on research and development has resulted in one patent and eight patents pending. Among its proprietary technologies are Cambridge Tech, 3D Alliance, MicroS Technology, N Keeper, and Bio Revolution.[13] Currently, the Company is fully licensed to produce up to 2.8 million tonnes per year of its multinutrient potassium fertilizers K Forte® and BAKS®, sold internationally as Super Greensand®. In 2022, it became Brazil’s largest potash producer by capacity.[14] Verde has a combined measured and indicated mineral resource of 1.47 billion tonnes at 9.28% K2O and an inferred mineral resource of 1.85 billion tonnes at 8.60% K2O (using a 7.5% K2O cut-off grade).[15] This amounts to 295.70 million tonnes of potash in K2O. For context, in 2021 Brazil’s total consumption of potash in K2O was 6.57 million[16].

Brazil ranks second in global potash demand and is its single largest importer, currently depending on external sources for over 97% of its potash needs. In 2022, potash accounted for approximately 3% of all Brazilian imports by dollar value.[17]

 

Corporate Presentation

For further information on the Company, please view shareholders’ deck:

https://verde.docsend.com/view/mjxisb9by2xbt5y2

 

Investors Newsletter

Subscribe to receive the Company’s updates at: http://cloud.marketing.verde.ag/InvestorsSubscription

The last edition of the newsletter can be accessed at:

 

Cautionary Language and Forward-Looking Statements

All Mineral Reserve and Mineral Resources estimates reported by the Company were estimated in accordance with the Canadian National Instrument 43-101 and the Canadian Institute of Mining, Metallurgy, and Petroleum Definition Standards (May 10, 2014). These standards differ significantly from the requirements of the U.S. Securities and Exchange Commission. Mineral Resources which are not Mineral Reserves do not have demonstrated economic viability.

This document contains “forward-looking information” within the meaning of Canadian securities legislation and “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995. This information and these statements, referred to herein as “forward-looking statements” are made as of the date of this document. Forward-looking statements relate to future events or future performance and reflect current estimates, predictions, expectations or beliefs regarding future events and include, but are not limited to, statements with respect to:

  • the estimated amount and grade of Mineral Resources and Mineral Reserves;
  • the estimated amount of CO2 removal per tonne of rock;
  • the PFS representing a viable development option for the Project;
  • estimates of the capital costs of constructing mine facilities and bringing a mine into production, of sustaining capital and the duration of financing payback periods;
  • the estimated amount of future production, both produced and sold;
  • timing of disclosure for the PFS and recommendations from the Special Committee;
  • the Company’s competitive position in Brazil and demand for potash; and,
  • estimates of operating costs and total costs, net cash flow, net present value and economic returns from an operating mine.

Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives or future events or performance (often, but not always, using words or phrases such as “expects”, “anticipates”, “plans”, “projects”, “estimates”, “envisages”, “assumes”, “intends”, “strategy”, “goals”, “objectives” or variations thereof or stating that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements.

All forward-looking statements are based on Verde’s or its consultants’ current beliefs as well as various assumptions made by them and information currently available to them. The most significant assumptions are set forth above, but generally these assumptions include, but are not limited to:

  • the presence of and continuity of resources and reserves at the Project at estimated grades;
  • the estimation of CO2 removal based on the chemical and mineralogical composition of assumed resources and reserves;
  • the geotechnical and metallurgical characteristics of rock conforming to sampled results; including the quantities of water and the quality of the water that must be diverted or treated during mining         operations;
  • the capacities and durability of various machinery and equipment;
  • the availability of personnel, machinery and equipment at estimated prices and within the estimated delivery times;
  • currency exchange rates;
  • Super Greensand® and K Forte® sales prices, market size and exchange rate assumed;
  • appropriate discount rates applied to the cash flows in the economic analysis;
  • tax rates and royalty rates applicable to the proposed mining operation;
  • the availability of acceptable financing under assumed structure and costs;
  • anticipated mining losses and dilution;
  • reasonable contingency requirements;
  • success in realizing proposed operations;
  • receipt of permits and other regulatory approvals on acceptable terms; and
  • the fulfilment of environmental assessment commitments and arrangements with local

Although management considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect. Many forward-looking statements are made assuming the correctness of other forward looking statements, such as statements of net present value and internal rates of return, which are based on most of the other forward-looking statements and assumptions herein. The cost information is also prepared using current values, but the time for incurring the costs will be in the future and it is assumed costs will remain stable over the relevant period.

By their very nature, forward-looking statements involve inherent risks and uncertainties, both general and specific, and risks exist that estimates, forecasts, projections and other forward-looking statements will not be achieved or that assumptions do not reflect future experience. We caution readers not to place undue reliance on these forward-looking statements as a number of important factors could cause the actual outcomes to differ materially from the beliefs, plans, objectives, expectations, anticipations, estimates assumptions and intentions expressed in such forward-looking statements. These risk factors may be generally stated as the risk that the assumptions and estimates expressed above do not occur as forecast, but specifically include, without limitation: risks relating to variations in the mineral content within the material identified as Mineral Resources and Mineral Reserves from that predicted; variations in rates of recovery and extraction; the geotechnical characteristics of the rock mined or through which infrastructure is built differing from that predicted, the quantity of water that will need to be diverted or treated during mining operations being different from what is expected to be encountered during mining operations or post closure, or the rate of flow of the water being different; developments in world metals markets; risks relating to fluctuations in the Brazilian Real relative to the Canadian dollar; increases in the estimated capital and operating costs or unanticipated costs; difficulties attracting the necessary work force; increases in financing costs or adverse changes to the terms of available financing, if any; tax rates or royalties being greater than assumed; changes in development or mining plans due to changes in logistical, technical or other factors; changes in project parameters as plans continue to be refined; risks relating to receipt of regulatory approvals; delays in stakeholder negotiations; changes in regulations applying to the development, operation, and closure of mining operations from what currently exists; the effects of competition in the markets in which Verde operates; operational and infrastructure risks and the additional risks described in Verde’s Annual Information Form filed with SEDAR in Canada (available at www.sedar.com) for the year ended December 31, 2021. Verde cautions that the foregoing list of factors that may affect future results is not exhaustive.

When relying on our forward-looking statements to make decisions with respect to Verde, investors and others should carefully consider the foregoing factors and other uncertainties and potential events. Verde does not undertake to update any forward-looking statement, whether written or oral, that may be made from time to time by Verde or on our behalf, except as required by law.

 

For additional information please contact:

Lucas Brown, Vice-President of Corporate Development

Tel: +55 (31) 3245 0205; Email: investor@verde.ag

www.verde.ag | www.investor.verde.ag

 

 

[1] Race To Zero is a global campaign to rally leadership and support from businesses, cities, regions, investors for a healthy, resilient, zero carbon recovery that prevents future threats, creates decent jobs, and unlocks inclusive, sustainable growth. It mobilizes a coalition of leading net-zero initiatives, representing 11,309 non-State actors including 8,307 companies, 595 financial institutions, 1,136 cities, 52 states and regions, 1,125 educational institutions and 65 healthcare institutions (as of September 2022). These ‘real economy’ actors join the largest-ever alliance committed to achieving net zero carbon emissions by 2050 at the latest. Source: UN Climate Change.

[2] See more at: https://biblioteca.ibge.gov.br/visualizacao/livros/liv101975_informativo.pdf

[3] See “Verde’s Products Remove Carbon Dioxide From the Air” and “Verde’s Products Remove Carbon Dioxide from Air in Mere Months of Application”.

[4] As per the National Instrument 43-101 Standards of Disclosure for Mineral Projects within Canada (“NI 43 -101”), filed on SEDAR in 2022. See the Pre-Feasibility Study at: https://investor.verde.ag/wp-content/uploads/2022/05/NI-43-101-Pre-Feasibility-Technical-Report-for-the-Cerrado-Verde-Project.pdf  

[5] For context, in 2021 Brazil’s total consumption of potash in K2O was 6.57 million. The country ranks second in global potash demand and is the largest single importer, relying on external sources for over 97% of its potash needs. Source: Brazilian Fertilizer Mixers Association (from “Associação Misturadores de Adubo do Brasil”, in Portuguese).

[6] Verde is currently fully licensed to produce up to 2.8 million tonnes per year of its Products and has submitted mining and environmental applications for an additional 25 million tpy awaiting approval.

[7] One carbon credit is equivalent to one metric tonne of carbon dioxide captured.

[8] https://www.carbfix.com/

[9] https://www.vesta.earth/

[10] https://un-do.com/

[11] See “Verde Appoints Chief Marketing Officer”.

[12] See “Verde Appoints Chief Revenue Officer”.

[13] Learn more about our technologies: https://verde.docsend.com/view/yvthnpuv8jx6g4r9

[14] See the release at: https://investor.verde.ag/verde-starts-ramp-up-of-plant-2s-second-stage-to-reach-production-of-2-4mtpy/

[15] As per the National Instrument 43-101 Standards of Disclosure for Mineral Projects within Canada (“NI 43 -101”), filed on SEDAR in 2017. See the Pre-Feasibility Study at: https://investor.verde.ag/wp-content/uploads/2021/01/NI-43-101-Pre-Feasibility-Technical-Report-Cerrado-Verde-Project.pdf

[16] Source: Brazilian Fertilizer Mixers Association (from “Associação Misturadores de Adubo do Brasil“, in Portuguese).

[17] Source: Brazilian Comex Stat, available at: http://comexstat.mdic.gov.br/en/geral

Verde’s Products Remove Carbon Dioxide from Air in Mere Months of Application

New research shows that Verde’s Products may undergo Enhanced Rock Weathering faster than other minerals

 

Singapore. Verde AgriTech Ltd (TSX: “NPK”) (“Verde” or the “Company”) is pleased to announce that its K Forte® and Super Greensand® (“Products”) undergo mineral dissolution in only a matter of months to a year from its application to soils, faster than the most rapid reacting silicate minerals (forsterite), which takes years to decades for a similar dissolution. Mineral dissolution is directly correlated to the capture of carbon dioxide (“CO2”) from the atmosphere, the faster the dissolution the faster the absorption of CO2. The conclusion was reached by a commissioned study conducted by Phil Renforth, Ph.D., at Heriot Watt University, based on peer-reviewed publication and commercial data (the “Study”).

 

Speed of Enhanced Rock Weathering

Enhanced Rock Weathering (“ERW”) refers to a suite of techniques aimed at accelerating natural rock weathering, which involves the breakdown of minerals and the absorption of CO2 from the atmosphere. In nature, the process takes centuries as the rocks’ surface is gradually weathered down and reacts with CO2 to form new stable carbonate minerals or bicarbonate ions, effectively removing CO2 from the atmosphere and storing it for thousands of years.

By crushing and grinding such minerals and spreading it over large areas, ERW significantly accelerates the absorption of CO2. The speed of mineral weathering can be calculated using a ‘shrinking core model’, which assumes that the reaction occurs at the surface of the mineral so that the unreacted core gradually shrinks over time.

To calculate the Products’ speed of weathering, Verde engaged Dr. Renforth, who leads the carbon dioxide removal research group Heriot Watt University’s Research Centre for Carbon Solutions. Dr. Renforth is a widely respected specialist in enhanced weathering. He is co-chief editor for Frontiers in Climate: Negative Emission Technologies, the world’s first dedicated publication in this space; Dr. Renforth was a contributing author to Chapter 12 of the Working Group III’s 6th Assessment Report from the IPCC; he is also one of 12 judges for the Carbon Removal XPrize, the largest incentive prize in history.[1] Dr. Renforth has extensive research and publications on enhanced weathering, negative emission technologies and alkaline waste.[2]

Dr. Renforth applied the shrinking core model to Verde’s Products to calculate the speed of its dissolution. The shrinking core model considers various factors that influence weathering, such as particle size and surface area of the minerals, temperature, and the rate of mass transfer. By incorporating these parameters into the model, it is possible to estimate the rate at which minerals within Verde’s products dissolve through enhanced weathering.[3] Relating mineral dissolution to carbon dioxide uptake is a challenge for enhanced weathering projects who are implementing a range of strategies from modelling to gathering empirical evidence. A shrinking core model does not simulate complex environmental chemistry but is the first step in understanding the relationship between mineral weathering and CO2 uptake.

The model results projected two scenarios, reflecting different external factors such as temperature and soil pH, resulting in both a fast and a slow dissolution. The results of the modelling on Verde’s Products suggest that under the ‘fast reaction scenario’ its dissolution will reach competition on the order of several months, and for the ‘slow reaction scenario’ its dissolution will reach competition in slightly over 1 year. When applied to olivine, a mineral commonly considered for ERW, the fast scenario took years and the slow scenario spanned decades to reach competition.

Dr. Renforth commented: “To meet their Paris climate targets,[4] governments need scale up methods to curb greenhouse emissions and develop those that remove of atmospheric carbon dioxide, ERW may be a scalable and relatively low-cost tool in this process. Verde Agritech overcomes two of the major obstacles for ERW at scale: first, consistent production of fine milled material and, secondly, uses a mineral that can rapidly dissolve.”

Globally, there are several different ERW initiatives , though none stemming originally from a plant-nutrition focus such as Verde’s. These include CarbFix,[5] from Iceland, which utilizes industrial processes to lock CO2 into basaltic rocks; Project Vesta,[6] which spreads olivine-rich minerals on beaches and coastal environments to facilitate carbon sequestration; and UNDO,[7] in the UK, that uses crushed basalt applied to farmland.

“While we salute all ERW initiatives, we need to move with all deliberate speed to help mitigate the buildup of greenhouse gases in our atmosphere. In a matter of months, Verde’s Products capture 1 tonne of CO2 for every 8.3 tonnes applied to fields and may be significantly faster than any other major ERW project globally. Verde’s Products have a distinguished role to play, a role which is already in progress and will only grow as we increase our output”, commented Cristiano Veloso, Verde’s Founder and CEO.

 

About Verde AgriTech

Verde is an agricultural technology Company that produces potash fertilizers. Our purpose is to improve the health of all people and the planet. Rooting our solutions in nature, we make agriculture healthier, more productive, and profitable.

Verde is a fully integrated Company: it mines and processes its main feedstock from its 100% owned mineral properties, then sells and distributes the Product.

Verde’s focus on research and development has resulted in one patent and eight patents pending. Among its proprietary technologies are Cambridge Tech, 3D Alliance, MicroS Technology, N Keeper, and Bio Revolution.[8] Currently, the Company is fully licensed to produce up to 2.8 million tonnes per year of its multinutrient potassium fertilizers K Forte® and BAKS®, sold internationally as Super Greensand®. In 2022, it became Brazil’s largest potash producer by capacity.[9] Verde has a combined measured and indicated mineral resource of 1.47 billion tonnes at 9.28% K2O and an inferred mineral resource of 1.85 billion tonnes at 8.60% K2O (using a 7.5% K2O cut-off grade).[10] This amounts to 295.70 million tonnes of potash in K2O. For context, in 2021 Brazil’s total consumption of potash in K2O was 6.57 million[11].

Brazil ranks second in global potash demand and is its single largest importer, currently depending on external sources for over 97% of its potash needs. In 2022, potash accounted for approximately 3% of all Brazilian imports by dollar value.[12]

 

Corporate Presentation

For further information on the Company, please view shareholders’ deck:

https://verde.docsend.com/view/zmsspzpkh2hq4mnx

 

Investors Newsletter

Subscribe to receive the Company’s updates at: http://cloud.marketing.verde.ag/InvestorsSubscription

The last edition of the newsletter can be accessed at:

 

Cautionary Language and Forward-Looking Statements

All Mineral Reserve and Mineral Resources estimates reported by the Company were estimated in accordance with the Canadian National Instrument 43-101 and the Canadian Institute of Mining, Metallurgy, and Petroleum Definition Standards (May 10, 2014). These standards differ significantly from the requirements of the U.S. Securities and Exchange Commission. Mineral Resources which are not Mineral Reserves do not have demonstrated economic viability.

This document contains “forward-looking information” within the meaning of Canadian securities legislation and “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995. This information and these statements, referred to herein as “forward-looking statements” are made as of the date of this document. Forward-looking statements relate to future events or future performance and reflect current estimates, predictions, expectations or beliefs regarding future events and include, but are not limited to, statements with respect to:

  • the estimated amount and grade of Mineral Resources and Mineral Reserves;
  • the estimated amount of CO2 removal per tonne of rock;
  • the PFS representing a viable development option for the Project;
  • estimates of the capital costs of constructing mine facilities and bringing a mine into production, of sustaining capital and the duration of financing payback periods;
  • the estimated amount of future production, both produced and sold;
  • timing of disclosure for the PFS and recommendations from the Special Committee;
  • the Company’s competitive position in Brazil and demand for potash; and,
  • estimates of operating costs and total costs, net cash flow, net present value and economic returns from an operating mine.

Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives or future events or performance (often, but not always, using words or phrases such as “expects”, “anticipates”, “plans”, “projects”, “estimates”, “envisages”, “assumes”, “intends”, “strategy”, “goals”, “objectives” or variations thereof or stating that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements.

All forward-looking statements are based on Verde’s or its consultants’ current beliefs as well as various assumptions made by them and information currently available to them. The most significant assumptions are set forth above, but generally these assumptions include, but are not limited to:

  • the presence of and continuity of resources and reserves at the Project at estimated grades;
  • the estimation of CO2 removal based on the chemical and mineralogical composition of assumed resources and reserves;
  • the geotechnical and metallurgical characteristics of rock conforming to sampled results; including the quantities of water and the quality of the water that must be diverted or treated during mining        operations;
  • the capacities and durability of various machinery and equipment;
  • the availability of personnel, machinery and equipment at estimated prices and within the estimated delivery times;
  • currency exchange rates;
  • Super Greensand® and K Forte® sales prices, market size and exchange rate assumed;
  • appropriate discount rates applied to the cash flows in the economic analysis;
  • tax rates and royalty rates applicable to the proposed mining operation;
  • the availability of acceptable financing under assumed structure and costs;
  • anticipated mining losses and dilution;
  • reasonable contingency requirements;
  • success in realizing proposed operations;
  • receipt of permits and other regulatory approvals on acceptable terms; and
  • the fulfilment of environmental assessment commitments and arrangements with local

Although management considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect. Many forward-looking statements are made assuming the correctness of other forward looking statements, such as statements of net present value and internal rates of return, which are based on most of the other forward-looking statements and assumptions herein. The cost information is also prepared using current values, but the time for incurring the costs will be in the future and it is assumed costs will remain stable over the relevant period.

By their very nature, forward-looking statements involve inherent risks and uncertainties, both general and specific, and risks exist that estimates, forecasts, projections and other forward-looking statements will not be achieved or that assumptions do not reflect future experience. We caution readers not to place undue reliance on these forward-looking statements as a number of important factors could cause the actual outcomes to differ materially from the beliefs, plans, objectives, expectations, anticipations, estimates assumptions and intentions expressed in such forward-looking statements. These risk factors may be generally stated as the risk that the assumptions and estimates expressed above do not occur as forecast, but specifically include, without limitation: risks relating to variations in the mineral content within the material identified as Mineral Resources and Mineral Reserves from that predicted; variations in rates of recovery and extraction; the geotechnical characteristics of the rock mined or through which infrastructure is built differing from that predicted, the quantity of water that will need to be diverted or treated during mining operations being different from what is expected to be encountered during mining operations or post closure, or the rate of flow of the water being different; developments in world metals markets; risks relating to fluctuations in the Brazilian Real relative to the Canadian dollar; increases in the estimated capital and operating costs or unanticipated costs; difficulties attracting the necessary work force; increases in financing costs or adverse changes to the terms of available financing, if any; tax rates or royalties being greater than assumed; changes in development or mining plans due to changes in logistical, technical or other factors; changes in project parameters as plans continue to be refined; risks relating to receipt of regulatory approvals; delays in stakeholder negotiations; changes in regulations applying to the development, operation, and closure of mining operations from what currently exists; the effects of competition in the markets in which Verde operates; operational and infrastructure risks and the additional risks described in Verde’s Annual Information Form filed with SEDAR in Canada (available at www.sedar.com) for the year ended December 31, 2021. Verde cautions that the foregoing list of factors that may affect future results is not exhaustive.

When relying on our forward-looking statements to make decisions with respect to Verde, investors and others should carefully consider the foregoing factors and other uncertainties and potential events. Verde does not undertake to update any forward-looking statement, whether written or oral, that may be made from time to time by Verde or on our behalf, except as required by law.

 

For additional information please contact:

Cristiano Veloso, Founder, Chairman & Chief Executive Officer

Tel: +55 (31) 3245 0205; Email: investor@verde.ag

www.verde.ag | www.investor.verde.ag

 

 

[1] For details, see link: $100M Prize For Carbon Removal | XPRIZE Foundation

[2] For a list of Dr. Renforth’s publications, see: https://scholar.google.co.uk/citations?user=TaWhvvgAAAAJ&hl=en&oi=ao

[3] See Palandri, J. L. & Kharaka, Y. K. A Compilation of Rate Parameters of Water-Mineral Interaction Kinetics for Application to Geochemical Modeling. in (2004). doi:10.3133/ofr20041068.

[4] The Paris Agreement is a legally binding international treaty on climate change. It was adopted by 196 Parties at the UN Climate Change Conference (COP21) in Paris, France, on 12 December 2015. It entered into force on 4 November 2016. Its overarching goal is to hold “the increase in the global average temperature to well below 2°C above pre-industrial levels” and pursue efforts “to limit the temperature increase to 1.5°C above pre-industrial levels.” Source: United Nations Climate Change. Available at: https://unfccc.int/process-and-meetings/the-paris-agreement

[5] https://www.carbfix.com/

[6] https://www.vesta.earth/

[7] https://un-do.com/

[8] Learn more about our technologies: https://verde.docsend.com/view/yvthnpuv8jx6g4r9

[9] See the release at: https://investor.verde.ag/verde-starts-ramp-up-of-plant-2s-second-stage-to-reach-production-of-2-4mtpy/

[10] As per the National Instrument 43-101 Standards of Disclosure for Mineral Projects within Canada (“NI 43 -101”), filed on SEDAR in 2017. See the Pre-Feasibility Study at: https://investor.verde.ag/wp-content/uploads/2021/01/NI-43-101-Pre-Feasibility-Technical-Report-Cerrado-Verde-Project.pdf

[11] Source: Brazilian Fertilizer Mixers Association (from “Associação Misturadores de Adubo do Brasil“, in Portuguese).

[12] Source: Brazilian Comex Stat, available at: http://comexstat.mdic.gov.br/en/geral