Fertiliser Boom, page-4

PHO is in a better position than European producers, and not just geographically. Russia controls Europe’s gas supply. So Russia has European fertilizer by the balls. Not only is Russia the largest supplier of fertilizer in their own right, but they supply Europe the gas they need to produce their own product domestically. It’s a catch 22.

I don’t think PhosCo will face that in Tunisia. Looking at the project location map on the website, there’s gas coming in from the neighbors in Algeria. I don’t imagine gas will affect things much in the rock phosphate phase either which is stage 1 of development. Gas is more important for downstream processing and turning the rock phosphate into fertilizer. And to top things off, PhosCo has already stated they are looking at green options like wind and solar anyway. I think it’s early to be talking about that now, but I imagine we will learn more about that in the PFS stage. Looking forward to seeing what rock phosphate prices do next month!