African Potash, which is developing the Lac Dinga potash project in the Republic of Congo, signed three potash fertilizer supply agreements in late August and early September. On August 24 and September 1, respectively, the company reported signing of agreements to supply 50,000 mt/y of fertilizer each to a Zambian fertilizer supply company and a Malawian fertilizer supply company. On September 3, the company reported signing an agreement to supply 150,000 mt/y of fertilizer to a Zimbabwean fertilizer supply company.
First deliveries under the agreements were targeted for September.
African Potash estimates that 65% of Africa’s labor force is engaged in agriculture and that 60% of the world’s uncultivated land is also in Africa. With a fast-growing population worldwide, the continent has the potential to play a leading role in the world’s food chain.
African Potash’s initial three potash fertilizer supply agreements were made pursuant to a larger trading agreement announced on August 4 to deliver at least 500,000 mt/y of fertilizer to off-takers identified and introduced by COMESA/
ACTESA during an initial three-year period. COMESA/ACTESA director of trade and markets George James Magai commented, “This agreement is the beginning of Africa’s green revolution and marks the arrival of African Potash’s vertical market on the continent.”
